Faction tagged items

So far i just played merchant guild and i dont wanna swap cause there will be so many items i use that i cant use lol. But just wondering how it works if you are CoF. Is absolutely everything you loot tagged CoF or just items that drop extra due to the guild, or how it work?

Just the items that drop as a result of CoF bonuses. Also, if you switch to CoF, while you have to remove all gear, you can then wear the previous gear that isn’t MG marked.

I think only random items are CoF or from prophercy rewards. Lot of item dont have that. I seen few of them in past three days and i think about to sell them (not worthy enough almost everytime - if we talk about purples)