It looks like The Poké­mon Com­pa­ny is imple­ment­ing stricter mea­sures to deal with cheater in Poké­mon Sword and Shield. A state­ment released in Poké­mon Home addressed the issue and out­lined ways the com­pa­ny plans to deal with those who are cheat­ing the game.

The state­ment starts off with acknowl­edge­ment of play­ers alter­ing data and using hacked Pokémon. 

We are aware that some users are play­ing Poke­mon Sword and Poke­mon Shield, as well as using Poke­mon Home, with altered data. Addi­tion­al­ly, cer­tain users have been caus­ing issues that impair the func­tion of games or apps or that cause prob­lems for others.”

They go on to list some actions that will be tak­en against play­ers that are sus­pect­ed of alter­ing data, includ­ing bans from online play in Sword and Shield and stop­ping them from using Poké­mon Home­’s trad­ing fea­tures. The Poké­mon Com­pa­ny states it may even sus­pend hack­ers’ access to Poké­mon Home entire­ly, on both the Switch and mobile devices.

These mea­sures may be applied tem­porar­i­ly or indef­i­nite­ly at The Poke­mon Com­pa­ny’s dis­cre­tion. No refunds or repay­ments will be issued as a result of these mea­sures. Please be aware that sim­i­lar mea­sures will be tak­en reg­u­lar­ly in the future and that addi­tion­al restric­tions and oth­er mea­sure may be imposed with­out notice. We will con­tin­ue to reg­u­lar­ly watch for and address improp­er or dis­rup­tive behav­ior in order to help our users enjoy a wor­ry-free experience.”