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This has been possible from day one with the Developer Mode. Anyone can do it on both retail and Dev Mode. It's most definitely real. I may have to update the wiki but we did show and demonstrate how to do it:
https://xosft.dev/wiki/setup-dev-mode/
Read the bottom.
Also to answer this specific question: the main operating system files that are interesting are outside the system apps are more so system services, libraries and drivers.
They are not encrypted when they are mounted and accessed at runtime. This can depend on your application and user privileges and also depending on what flags the target Xbox Virtual Drive is given.
https://xosft.dev/wiki/setup-dev-mode/
Read the bottom.
Also to answer this specific question: the main operating system files that are interesting are outside the system apps are more so system services, libraries and drivers.
They are not encrypted when they are mounted and accessed at runtime. This can depend on your application and user privileges and also depending on what flags the target Xbox Virtual Drive is given.
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