A well known hacker named Smealum (aka Smea) has just revealed 2 major security flaws with the 3DS title Ironfall: Ascension and the 3DS' YouTube app. In the video, shown below, smealum reveals how users will be able to install their own custom made homebrew launcher, which would allow you to use custom themes, install apps such as emulators and games. It also shows you how to break through the 3DS' much maligned region locking.
Don't worry though: Smea confirmed that like with his previous exploits, you won't be able to play pirated 3DS games on your hacked system. Smea explains:
No. These exploits run strictly in userland, meaning that we do not have full control over the console, and therefore cannot run pirated software. That being said, we have the same amount of access as regular apps and games to the console's hardware, and so we can make some kickass homebrew!
While this does still allow for illegal ROMs of older SNES and NES games, it should help alleviate fears of legal action against the creator. The most innovative part of these two hacks is that it no longer requires an actual retail game to be able to install 3DS homebrew, like with his previous efforts, Ninjhax and OOT3Dhax.
This isn't without downsides, though: if you weren't able to download Ironfall: Ascension before Nintendo pulled the game from the eShop, you will be forced to use Tubehax for homebrew, which would require you to connect to a seperate sever making you unable to access the Nintendo eShop. Smea and his team may try to find a workaround, however. Nintendo has already shown some alarm by banning all mentions of the project on Miiverse. This likely means that Nintendo is already hard at work on fixing both exploits, making sure users who want to keep their homebrew stay on previous 3DS firmware.