Yes. It looks like a center piece of a surround sound system you put in front of your TV or on top of it. It looks like it has 2 or 3 cameras, I know one of them reads in negative or infared. There is literally nothing you have to hold. You can navigate through the xbox menu by pointing to stuff with your hand. It scans your body and automatically figures out the key points. (Head, hands, feet). You can do a calibration test and it shows you in negative and has dots on all your key points, its really fucking wierd how it knows that.
It's smart enough to know how far away you are too. While your playing if you move out of we'll say your "playing zone". As in if you back up too much it will tell you to scoot forward, and on the screen it shows like a meter of how far back you are. As you scoot closer it shows it on the screen. It can tell depth along with any other angle. If I held perfectly still and just moved my foot, the guy on the screen would be still but his foot would move, its cool as hell.