[HammyTheSquirrel]

I really joined the game after this update took place, but I can explain a little more about looting to you. Basically, when you kill any enemy, a pouch, chest, or skull chest will drop where it just died. From these, you can find things from new weapons (you can't buy most weapons at a store) to new clothes, to just plain gold. The types of weapon include Crude, Common, Rare, Famed, and Legendary (Legendary being the rarest and best, and Crude being the most common and cheapest). The store weapons are basically useless after you've found new ones in loot.

I guess while I'm at it, I should mention that a very large number of the swords found are "Cursed". You can only find these swords after completing the new Raven's Cove Story Quest. The only places you can find cursed swords are on Isla Tormenta and Raven's Cove.

I don't know if that really made complete sense, but if you start exploring around the game again, you're likely to figure it out pretty quickly.