So yea i guess its supposed to be the "new and primary way to get the iron banner gear" and so far all ive seen is blue engrams, motes and even empty loot tables on a victory -_- wtf bungie, why dont you just ask gearbox to come fix your loot issues because clearly you guys have no -blam!-ing clue how they work
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You have to hit level 2 to start getting those drops. Most people have been reporting class armor. It's likely that other stuff will drop at higher levels. It's only been live for half a day.