Gear question in generel

Do we need to honoring our t1 gear to 802 or do we get better drops on tier 2 content.
And I dont get why there after you unlock chaos dungeon, the game still drop weapons and armor.
Its total waste on a game that basicly is build around 3 armor sets from chaos dungeon,
The game should just drop materials and currency after that point.
Something tells me the Asians just like the more the better since its still in the game, to me it dosnt make any sense.