Me and a couple friends are planning to do the new raid day 1 when it drops and I want to know for returning legacy raids do you need to do the challenges to get the emblem, I don't know as this will be my first attempt at a day 1 raid and hope I don't need to do some extra challenges to get the emblem
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The Day 1 rewards are given after Challenge Mode completion. So yes, you need to complete it once as under Contest and then again as Contest + Challenges.