The Level Cap is higher than 20, but you level up in a different way after level 20. Correct me if I'm wrong but it has something to do with "light"
English
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You get a mote if light ever time you level after level 20 and then you can buy stuff from the speaker.
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Mote of light not mote if light sorry :)
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you are correct though its not permanent levels. if you remove the gear with light then you should de level i think