This is Cheating, But We Don't Mind
We know, we know. There are some folks out there that would be completely opposed to taking advantage of a glitch like this because it is a slap in the face of the pure experience of mining for resources and blah blah blah. There are others of us out there that find the mining to be boring and repetitive and unrewarding and would rather be able to build cool stuff without the need to scrounge around for gold and diamonds to make tools and items.
Until some sort of creative mode is introduced in the XBLA version of Minecraft, we're stuck either mining for hours for the materials we need or we can use a super easy glitch to get all of the gold, iron, and diamonds we want. You can keep digging. We'd rather build. You will still need other raw materials like wood, coal, stone, etc. to build your evil super villain lair / dream house / castle / whatever, but this takes the hardest stuff to find out of the equation. We truly like the game a lot, but mining kinda sucks.
How It Works
This glitch works with any of the materials that can be crafted into solid blocks - Iron, Gold, and Diamonds. Normally this requires 9 diamonds or 9 gold or iron ingots. This trick only requires 3 and magically turns them into 9. You do have to have the 3 to begin with, so some mining is still involved unless you have a super nice friend willing to hand over some precious stones.
All you have to do is line your three diamonds or gold or iron ingots in a horizontal row in your inventory like this - Minecraft XBLA Infinite Diamond Glitch Step 1. Only have those three of that item in your inventory (other items don't matter).
Next, go to a crafting table, on the far right tab, and the third option that lets you make solid blocks like this - Minecraft XBLA Infinite Diamond Glitch Step 2. You'll notice that it will say you can make a solid block, which normally takes 9, even though you clearly only have 3 in your inventory. Make the block.
Now that you have your solid block of diamond or gold or iron - Minecraft XBLA Infinite Diamond Glitch Step 3a -, use the option located in that same tab in the crafting table to turn the solid block into 9 separate pieces. Minecraft XBLA Infinite Diamond Glitch Step 3b Voila! Like magic! You have turned your 3 diamonds or ingots into 9 diamonds or ingots!
Rinse and Repeat
You can keep repeating the process all you want. Just make sure to put the extras you're making into a chest (so you only have a max of 3 diamonds or ingots in your inventory at a time) or it won't work.
This Glitch Will Likely Be Updated Out
This glitch will likely be patched out in a future update, so take advantage of it while you can. Until a real creative mode is (hopefully) introduced where you can just spawn whatever you need to build stuff, we kind of hope 4J Studios (Are these guys the port masters or what? They ported Banjo-Kazooie and Perfect Dark XBLA and did a great job with those too) just leaves this glitch in so we can keep building without too much hassle.
More Minecraft XBLA Tips and Tricks
For more tricks that aren't cheats or glitches, check out our great list of Minecraft XBLA Tips and Tricks.