This question has been asked many times in many different ways. Let me sum up the other conversations for you...
WHAT 1.68 WILL DO
1.68 will be encrypting their packets to and from the server. That means that, for a while at least, applications that are 'packet sniffers' will not work. Even if it is running on a 2nd box using Linux.
WHAT 1.68 WILL ALSO DO
Version 1.68 is also supposed to actively 'look' for anyone changing memory inside the client. I'm fairly certain they are just checking the Checksum / CRC of a few of their more important DLL's since the advent of the little X-axis hack some people were doing.
WHAT 1.68 WILL NOT DO
1.68 cannot perform magic. What I mean by that is, they still have to use memory and they have limited programming resources. So.... even though some of the memory locations may stop working, memory reading programs like XUnleashed will not stop working. Since DAOC also uses DirectX, they cannot get around the hooks XUnleashed uses to draw on top of the screen. It would be MONUMENTALLY difficult for Mythic to determine someone is reading the clients memory. I would say impossible, but I usually find out that nothing is impossible (just really difficult).
So there you have it - In a sentence 'NO, XUNLEASHED WILL NOT BE EFFECTED BY 1.68.'
Hope this helps.
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