Is it possible to get on Xbox Live with the Matrix mod-chip? From what I remember MS will disable your xbox if you go online with the mod-chip on.

XBLive will bann your xbox if the chip is on. But if you use a bios that has the eject trick turned on and your chip is in mode 3 then just hitting the eject button will turn off the matrix mod chip. If you do not have the eject trick turned off then hitting eject will not disable the mode chip. And you would have to get a save game exploit and use the exploit to flash your matrix with a retai bios that will work with your xbox and flash the matrix with the bios and then when you wnat the mod chip back the way it was before use the exploit to flsah the chip again.

You could also add the external switch to turn it off and on. I'm going to head to Radioshack today and buy the switch and tools to do so because it seems relatively simple (I have no experience soldering wires but I have steady hands). There's a few tutorials about this on the site, I'm going to follow them and pray for the best because I'd like to try Xbox live.

At Radioshack the switches used cost 2.99 and a soldering iron is like 7 dollars.

Very interesting. After all those years of using the Matrix i never knew about this feature (probably because i never looked back once i got it working in mode 2).
I i'd love to have the ability to switch between modded and original bios for XBLive reasons using the eject button. But how do i know if i'm using a bios that has the eject trick turned on?

According to the current hash I'm using X2 4974 (i know it's old, but i never updated because i never experienced a problem and find it a bit risky to flash). Is X2 4974 good for using the Matrix chip in mode 3 or do i first have to update the bios?