In an update on the company blog, Bungi has announced they are banning users that have modified their consoles.
“We routinely review Banhammer actions to ensure that they are applied accurately and fairly. A review of the bans applied over the last week shows that all of the affected accounts had logged into Destiny on a modified console at some point.”
Apparently, users can crack the programming and make coding modifications to various games giving them attributes such as unlimited health and ammo, specialty bullets, etc.
I haven't run into it with Destiny, but I believe I have with Call Of Duty: Advanced Warfare on the PS4.
Some users were getting an exorbitant amount off kills - close to the 200 mark. I'll admit I'm not the best player, but with everyone averaging around 20-30 kills, and then some guy coming in with 168 -- something isn't adding up.
Here is a screen shot I took during one of the games while playing COD: AW: