That is one of the rewards for completing Witch Queen on Legend. There will be a similar set of gear given at the conclusion of the Lightfall Legend campaign.
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Per The TWAB, Jan. 19th, I shouldn't be getting blues, even if they are a "Reward" of 40 lvls below my current. I'm reporting it, "If you find a source that still gives a blue item, please report it in our Help forums so we can squash!" https://www.bungie.net/7/en/News/article/twab_01_19_2023
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The campaign rewards are not considered drops. They are a predetermined reward for achieving a certain thing.
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Edited by Platinum: 2/8/2023 3:07:10 AMIt's not about "drops" it's about getting it period. The TWAB doesn't say "drop" it states "...still gives a blue item..." This qualifies as still giving a blue item.
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You are ignoring a very key piece of that TWAB note: [quote]blue engrams will stop dropping [b]in the world[/b] (whenever that would have happened), and the equivalent amount of additional Glimmer baubles will spray out instead.[/quote] "in the world" indicates world drops or loot from enemies. It does not mean quest rewards or predetermined drops.