Nintendo imposes new limits on sharing for digital Switch games
New "Virtual Game Card" system prevents simultaneous online play from a single purchase.

In advance of the Switch 2's planned June launch, Nintendo has released a system update for the original Switch that, among other things, activates the company's new Virtual Game Card system for sharing digital downloads. But Switch owners are finding that this new sharing system is a bit more limiting when it comes to sharing a single digital purchase for online play across multiple consoles.
For those who missed Nintendo's March announcement of the Virtual Game Card system, the new setup allows players to easily "unload" a digital game license from one Switch (or Switch 2) console and "load" it onto another console connected to the same Nintendo Account (or one in the same family group). An Internet connection is required for the initial loading and unloading process, but after that, the system with the Virtual Game Card can play the downloaded game completely offline.
For those who don't want to constantly load and unload their virtual games between systems, Nintendo also offers an "Online License" feature deep in the Switch's system menu. When this feature is turned on, if you load a digital game without a Virtual Game Card present, the Switch will perform an online check to confirm that your Nintendo Account actually has access to that game. Nintendo recommends this feature for players who want to share games across three or more Switch units.