Imbue what?

[adeyke]

No I would not favor keeping existing traits. I lke the reroll, just that it is hard to find anything worth using (for me).

Ah. Then I have no great objections to the idea in terms of gameplay. From a story/style point of view, however, it's good that only non-magical items work. The idea behind the Malus is that it adds magical properties to an item that doesn't already have them.

What is a "diadem"?

The are four circlet-type items:
Circlets and Coronets are normal.
Tiaras are exceptional.
Diadems are elite.

Diadems are special in that they always have alvl 99, regardless of their ilvl. That means they'll always have all circlet-type affixes available. So even an ilvl 1 diadem could still get +2 skills. The same could not be said for circlets, coronets, or tiaras.

Are you saying a rare item can be used to imbue? Aren't they magical?

No.

You have to give some non-magical, unsocketed item to imbue. The game then generates a new rare item. The base item and the etherealness are the same as the input item (e.g. you imbue a non-ethereal diadem, you get a rare non-ethereal diadem; you imbue an ethereal dimensional blade, you get a rare ethereal dimensional blade). The ilvl of the output item is clvl + 4.

Etheral stuff cannot be repaired, so how will become indestructible? I give them to the hire as they are not damaged and need no repair.

Thanks for the input BTW.
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Phase blades have no durability, so they're indestructible. However, indestructible items can't usually spawn ethereal. You can get around this by upgrading an ethereal dimensional blade. Upgrading maintains the etherealness of an item, so you'll have an ethereal phase blade. However, since phase blades are indestructible, you'll have an ethereal indestructible weapon.