We’ve known it for a long time already, but today Microsoft’s Chief Product Officer for Xbox, Marc Whitten, officially announced that local currencies would be brought to Xbox 360 and Xbox One consoles to replace the soon to be defunct point system. The change was stated as being made as "a direct result of customer feedback."
The change allows customers to purchase content without the need to calculate how much an item actually costs in its default point listing. Microsoft states that you will still be able to purchase content from the Xbox store using current forms of payment presently available in your region. In addition, the new Xbox gift cards will be available for purchase online and through local retailers in late 2013.
If you currently own any Microsoft Point Cards, they will continue to be accepted until further notice. Until that time, the points will be added to your account in "an amount of local currency equal to or greater than the Marketplace value of those points." Once switched across, the Xbox Store will then be on the same page as the Windows Phone and Windows Stores.
We will continue to keep you updated on the transition here at Windows Phone Central.
Source: Xbox Wire