Given that the current Switch model is hacked on a hardware level, Nintendo now has a vested interest in keeping the hackers from ruining online games on their system, as well as in deterring would-be hackers from messing with their Switches- at least, until they can get a new model out on the market. This stands as doubly true, given the impending launch of the Nintendo Switch Online service later this year.
So, Nintendo has started banning hackers from accessing any online service on their systems- when they attempt to access online services on the console, they receive error code 2124-4007, and a message informing them they should contact customer support. People who are banned cannot access the eShop, friends lists, online gameplay, and social media integration. The news feed still works, and they are still allowed to update games.
So the good news here is, we don’t need to worry that Smash or Pokemon will be overrun with hackers.
[Thanks Nintendo Everything]