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Basically what the other bozos on urbandictionary said it was:
"Many people will argue that it started with the popular game Counter Strike, but X's def. is the most correct. According to "The Hacker Crackdown" by Bruce Sterling, it was an invented language used to confuse FBI and NSA sniffing programs during Operation Sundevil, when the government placed "wiretaps" on the Killer server to find hackers. Used extensively after the E911 document scandal and the theft of Korn 78 and other UNIX programs by AT&T. Google "Fry Guy", "Terminus", "Gail Thackery", "Acid Phreak" and "Phiber Optik" for more information. Discontinued among true hackers thanks to encryption engines and PGP keys."

HOWEVER it is something much much more.

It is also a Hamilcar album - 12 TeamSpeak "pranks" featuring members of Niggas in the Struggle (NITS) among others. For more information please visit www.creative-minds.org (check the MISC section)
Yo son, Hamilcar's album "l337" definatly is l337.
Related Words
"Many people will argue that it started with the popular game Counter Strike, but X's def. is the most correct. According to "The Hacker Crackdown" by Bruce Sterling, it was an invented language used to confuse FBI and NSA sniffing programs during Operation Sundevil, when the government placed "wiretaps" on the Killer server to find hackers. Used extensively after the E911 document scandal and the theft of Korn 78 and other UNIX programs by AT&T. Google "Fry Guy", "Terminus", "Gail Thackery", "Acid Phreak" and "Phiber Optik" for more information. Discontinued among true hackers thanks to encryption engines and PGP keys."

Now used by sad individuals, with no grasp on the english language.
You are not 'l337', you're just a stain on the underwear of life.
L337 by aeon linear August 17, 2003
a system of words using numbers, letters, and other computer symbols.
alphabet:
4a 8b (c |)d 3e f 9g |-|h 1i j |<k l /\/\m /\/n 0o
p q r 5s 7t u \/v \/\/w x y z (in
alphabetical order.)
L337 by Evan Macias June 24, 2005
Originally used as a term by many online hackers, l337 simply spells "Leet" shortened from "elite" through use of numbers. l337 can also be used to describe the use of speech in which numbers commonly replace letters. (Such as saying r0x instad of rocks, or 0wn3d instad of owned.) Online gaming addicts tend to use such speech more often.
1. Man, I am t3h l337 of this fricken game.

2. Why does everybody have to write everything in fuckin' l337 speek? Have nothihng better to do with you life?
l337 by Fireandice31 June 13, 2005
Another of the cs game codes, but has now been adopted to other games just for the fun of it.
Meant to be somone that is better than all of the rest (the guy that has 14 more kills than anyone else when you join the server).
Because of the 1^/\/\3r5 that use it it is hardly ever used anymore, ad has become restricted to making fun of people when they arent looking
some guy:1 ^/\/\ 7|-|3 1337 pwner
other guy: i hate you
l337 by alex weeden May 19, 2004
L337 is used now a days as a reason for geeks to unite. Who can make up the most words without using letters on the keyboard? Oh! Lookie there. The geek with the tight pants who will never get laid.
!337 _5345 5_(< @$$.

Translation: L337 users are not my favorite people.
L337 by Laura May 23, 2004