Cross-site scripting (XSS) is a web application vulnerability allowing attackers to inject malicious code into users' browsers, potentially stealing credentials. The document outlines a project for students to exploit XSS vulnerabilities in a modified Elgg application, initiating similar attacks to those seen in the Samy worm incident on MySpace. Various tasks guide students through exploiting the vulnerability by executing scripts that retrieve cookies, modify friend lists, and alter user profiles.