I used to think the loot boxes were a multiplier but I've recently concluded that it's just an arbitrary indicator of loot grade.
Green chest 1 = loot level 36 (Trina fort)
Green chest 6 = loot level 41 (lake Kaia)
Green chest 10 = loot level 45 (inner mansha forest)
do you see the pattern?
Somewhat of a similar pattern for blue loot and purple loot too. Just that it's in ranges.
Meaning to say,
Green chests = loot level 36 - 45
Blue chests = loot level 46 - (67-69)
Purple chest = loot level 70 - something like the 90's ish (later content)
The game does say that there are better rewards at higher loot levels... This could mean higher drop rates (large quantities of greens or blues) or higher quality of loot (more blues vs green) .
It is not specified, but I'd like to think it's a mix of both.
Some people are reporting that they are getting loot of higher rarity with the +10% buff at character level 60.
This could mean two things: (1) either a different loot table is 'unlocked' for those who reach max level OR (2) different loot tables can only be accessed when the drop rate exceeds a certain percentage (+20% increased drop rate) for example.