Great question.  The Loot protocol and how it is generated and awarded to players is based entirely on their skill in relation to other players.  There is no randomness or chance involved at all.  If you get a better score, you win more Loot.

Skill is tracked per activity in each game.  So your performance in game X and activity Y is always compared to other "XY" players.  Players in game A and activity B are tracked separately against one another as "AB" players.

This works in any game, because its a system of measuring players against each other, regardless of game.  We are testing this right now on taprivals.com with virtual points etc.  Players love it, and they tend to play the games they are best at.