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The one case where I would see it as something that harms the overall experience would be in online games. I used to play Phantasy Star Online, where players would work on leveling up their characters, finding new items such as weapons, armors etc.
In games like that, some of these items were supposed to be rare. When people started to acquire these items through cheats or glitches, they became more common and that would upset the balance of the game. So it affected everyone's game (if they used these items online), not just ones own.
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