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Bandits are a common enemy within the Starbound universe. Each bandit has a small chance to drop a Bandit's Hood if the bandit is male or a Bandit's Bandana if the bandit is female.
Bandits can be found conversing with each other at a Cafeteria Table, a Campfire, or a Metal Crate until either a player or a merchant stumbles upon them.
Bandits are also commonly found on USCM ships in Space Encounters, with two or three bandits guarding the main treasure.