No. There’s no convention anywhere. That’s entirely made up, or a misconception on your part. You should play some of the games listed. Do not confuse popularity with convention.
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Looking forward to read your master thesis “on the color convention on items in ARPGs”
Yes, there is 
M. Schaefer from diablo 2, the guy who made the Torchlight games - have other colors for item tiers.
There is the color convention of Diablo 2 that 3 follows, and which Path of Exile and Last Epoch uses (with some modification, like there are no set items in PoE and there are other tiers of items.
There is the color convetion of TQ which GD and TQ2 follows
There is the color convention of TL games
Each of these subgenres of ARPGs have million of players / copies sold in their own right - there are multiple conventions.
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D2 colours would be a complete dog’s breakfast in Grim Dawn because it has different item tiers.
Current GD:
Rare = Green
Epic = Blue
Legendary = Purple
D2-world:
Rare = yellow
Epic = green or gold or orange (depending on whether set or crafted).
Legendary = green or gold or orange (depending on whether set or crafted).
Also, there are craftable legendary helms that can also drop as loot, so those items would be orange or green/gold depending on how they were acquired.
Yeah, much less confusing.
There absolutely is a common convention, whether you agree with it or not. In most ARPGs, yellow means rare and blue means magic. The fact that some games choose a different system does not mean the common convention suddenly disappears.
Whether you are defending Grim Dawn or any other game, it doesn’t really matter. The fact is that this convention exists, and changing it to something different can make it harder for new players to get into a game.
The best solution would simply be giving players a choice.
That’s it.
Is there an official council of ARPG item color?
People learn, like drivig on the left side of the road instead of the conventional (correct way) right 
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D3 doesn’t entirely follow D2 colours as non-set uniques are orange not gold. (There was probably some massive outrage-to-all-right-thinking-people flamewar about this back in 2012 or so.)
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I think most ppl raged about no runewords in d3 
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No one here is defending anything. It’s just basic observation of the genre and trying tell you that “convention” seems to be a word that you seem to be throwing lightly. Diablo initiated and defined a new game genre. Not its aesthetics.
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Diablo 2 is not " most Arpgs" it’s just single Arpg. I doubt you can name 3 Arpgs that use same tier and colour system
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There are several conventions. And Grim Dawn has sold and still sells multiple copies. If devs thought “we really need to change item colors to match diablo 2 as hard as we can otherwise we wont sell this game”
Diablo-players ditch grim dawn for other reasons than item colors
Crazy, right? 
I never went to D3, stopped right there at D2 when it was still good and we were raging at runes.
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I quit D3 because there were no builds besides the “sets of the season”
This is often said about a lot of issues but I mostly don’t agree. Multiplying options is a waste of dev time and just complicates the game.
Meanwhile, there is an actual existing feature that can solve this: GD is an offline game and can be modded. The community (specifically @WareBare ) has provided colour choice (Rainbow Filter, as I linked above).
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One of those complications would definitely be the sharing of screenshots on game forums.
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Two different games are different, more news at 7 
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BTW, completely off-topic: banger of a game. Highly advise it when you are going through GD detox.
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Yeah we already get some confusion over on the TQ2 discord because some players use the new colour system while others are using the old one.
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Why is “did” capitilized in the title? Is that a convention I am not aware of? Can we all agree that the title is also false? Titan quest changed the usual colors. The usual colors back then was based on ONE game - Diablo 2 
I can write about the history of item colors and arpgs if you guys want
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