When it comes to cheating in online games, my reaction tends to be...what's the point? If there's no prize for having the most pimped out character, what do you get out of it? If it's not even worth it to you to play the game properly, why are you paying $15 every month (or more if you're buying gold)? If you loathe the gameplay so much to the point that you are using exploits to circumvent it, why not play a better game?
That said, I agree with the sentiment that it depends on context. In certain games such as SSBM or the aforementioned F-Zero GX, it could be argued that these exploits actually increase the potential enjoyment of these games. Even if they weren't actually meant to be part of the game, there's no harm in viewing them as such and embracing the added depth they provide. In the opposite situation, in which exploits actually detract from the experience, most gamers end up coming to an understanding amongst themselves to not go out of their way to take away from their own enjoyment. In both cases, the fault is with the designer, but it is the players who decide how to deal with it.
For me it comes down to fun...the reason we play video games in the first place. Therefore, the only contract we have is with the games themselves: we play them, and they make us happy. If that contract is broken by a game for whatever reason, whether the flaw lies within the game or the ones that play it, the most reasonable thing to do is to find another game...one that will keep it.