From Destiny 2 Wiki
Remnants of powerful items. Used to improve gear or trade for other items.
- Dismantling a piece of Legendary equipment yields 3.
- Dismantling a piece of Exotic equipment yields 5.
- Dismantling a Legendary cosmetic item yields 1.
- Legendary Shards may occasionally be obtained as an additional reward from Faction Engrams in quantities of 2 to 7.