i have multiple legendary pieces of armor with nothing to do with them but dismantle for crumbs. i put alot of work in to get those to now feel like crap because they are just gathering dust in my vault. Id rather help my brother out whos stuck on lvl 20 with no light what so ever than just scrap the stuff!
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The fact that armor determines your level is probably why it can't be traded. Weapons and other items should be readable though, I'm my own opinion.