Tsyr said:
I'm more or less indiferent to their actual magic system (some good points, some bad), but I'll agree on the magic items. They were handled very well.
Here's an idea how to simulate this kind of thing:
Create a new Item Creation Feat called: "Create Legendary Item". As a prerequisite, require a character level at which you think your campaign becomes decidedly heroic - 10th level or so might be appropriate for most campaigns. No spellcasting ability is required to take this feat.
The character in question can put aside any amount of XP for the purposes of item creation. When the character does some sufficiently impressive deed, such as slaying a dragon or stabbing the king in the back, the DM can use this XP to make one of the character's possessions enchanted.
The deed in question
must be impressive, however - killing off a couple of kobolds, for example, shouldn't trigger this feat (though killing off several clans might do the trick). And the enchantment should be appropriate to the trigger - slaying the dragon might yield a dragon-bane sword, while the assassin would get some kind of constantly poisonous dagger, or maybe a cloack of hiding if he was particularily sneaky.
The downside to this is that the character cannot choose the specific enchantment - the DM does. Obviously, the player must trust the DM with this. The upside is that this does not require any gold expenditures for the enchantment...
In certain campaign worlds, this could be the
only Item Creation Feat!