To all of you shitters to lazy to read the reddit post, here's the basic stuff
>they can actually perfectly detect whether a digital copy of a game has been legitimately purchased.
>unlike the 3DS, this means that Nintendo can tell what console makes a given request. This means Nintendo can block misbehaving user's certificates, leaving them permanently unable to use any of Nintendo's network.
>TrustZone is, for better or worse, compromised on all system versions due to shofusel2, though. This means the only real benefit here is that dauth provides an ideal place for console bans to be implemented -- almost all interesting online functionality requires a dauth token of some kind, including purchasing and installing new games from the eShop, so consoles that get blocked here can't do much besides install system updates.
>Nintendo can detect whether or not the user connecting has data from a Nintendo-authorized gamecard for the correct title.
>In the digital game case, Nintendo actually perfectly prevents online piracy here. Tickets cannot be forged, and Nintendo can verify that the device ID in the ticket matches the device ID for the client cert connecting (banning on a mismatch), as well as that the account ID for the ticket matches the Nintendo Account authorizing to log in. Users who pirate games definitionally cannot have well-signed tickets for their consoles, and thus cannot connect online without getting an immediate ban -- this is exactly how I would have implemented authorization for digital games, if I were them.
Basically in order to pirate and not get banned you would need to forge a purchase ticket, among other things. That's impossible as of now.