Microsoft has announced that they will discontinue Xbox Live points with the launch of the Xbox One later this year allowing users to purchase content on the system using local currencies. The currencies shown to be supported are US Dollar, British Pounds Sterling and Japanese Yen. Presumably other currencies will be announced in due course.
Microsoft Points were traditionally considered an awkward method of payment and proved difficult to convert into actial denominations, their removal as a required system of payment will likely be welcomed by most users of Xbox Live's various stores for the content on offer.