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Not all high tier equipment is obtainable yet. There are different loot tables for defeating enemies, chests, and arena battles, but currently all enemies drop the same stuff no matter in what battle you defeat them. The bonus battle only gives you an additional reward at the end of the battle.

After finishing the fire raid often enough, you'll get the option to raid solo. After winning a solo raid, you can find a new chest in the area (not at the top where the other treasure chests always appear) in which you get the recipe to use the anvils.

aight it just seemed like the only way of getting stuff like mithril weapons is thru that extra reward at the end of the bonus battle since ive done a lot of normal battles but all I can obtain are good armor pieces and weapons which you can already craft. I guess my luck has just been terrible if you can get those thru normal battles aswell. I mean not like it really matters since you can beat the arena and normal battles with the normal gear quite easily aswell. Also im assuming you mean different loot tables for the different arena difficulties and not multiple loot tables for each arena difficulty since each difficulty gives/drops the same reward everytime.

Havent seen that chest down there yet. Thanks for the advice!

MFG Huncho

The most important determiner of your squads' strength is their level, not their equipment. Early battles are a significant challenge on normal difficulty, and you may need to grind several battles until your squads are all defeated just for the experience points (this is what I did) or use the arena (probably the smarter option, since the arena also awards the items you need to unlock their skills).

I was more speaking about "endgame" where ur squads are around level 11 so the only way of getting experience is to kill the "boss" in the last story battle. When ur at that point the only real way to improve and max out ur squads is by going for the higher tier equipment rather then farming that last battle for ages. Also the easiest way to level up ur squads (in my opinion) is by using the academy untill they are level 7 and then just farm the mid/low tier arena battles and then ur squads are level 10 within minutes.

How to open chest vanguard battle statergy