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You don't go anywhere. When you collect a treasure from a defeated foe, you get the gold the item is worth, and then the item goes on your treasure page in your journal. (something pretty to look at for now) The only "useable" treasures are the playing cards you sometimes get. You can use those to cheat at poker and blackjack by using the "swap a card tabs" while you are playing a card game.
Maybe POTCO will add something in the future so we can make use of the treasures we have collected, but for now...alas...nada.
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