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It's better to use the save editor for that. But no, nothing will happen. It's how most people make new CaC's when they don't want to grind
1 - Report all you want. Steam/VAC doesn't moderate the game. I've been here longer than you and done my share of reporting myself in the game's first year. Nothing happens, but feel free to waste your time.
2 - You're worried about online. Fair enough. Problem is, nothing that you can do with a save editor will give you an advantage over anyone when playing online, apart from perfect QQ bangs. However, perfect QQ bangs mean pretty much nothing because they don't increase player ability
You also seem to be very much out of the loop. The cheating that happened two to three years ago, doesn't happen anymore. Those raid boss moves, auto-dodge, etc. That can't be done these days. PC Xeno 2 these days is the safest platform from cheaters.
There's no real reason to cheat in this game.
They don't support modding in any official capacity.
But the way they plugged EAC into the game and added internal checks to prevent save editing around it to get cheated raid boss super souls and skills suggests to me that they don't feel an urgency to implement permanent bans now or in the future. (Not that bans have been a thing in the past either). They just implemented a system where you have the option to mod if you really want to, but you'll be segregated from online access whiles you do so, until you load the game on with the anti-cheat.
That's only for this particular game though and probably because of how far into the game's life cycle such measures got added in. I heard for Shinobi strikers, they added a report function which does lead to game bans. So while you're probably going to remain fine on this game, i wouldn't count on the policies being necessarily the same for Bandai's other titles.