Hunting is the original term that encompassed Bounty Hunting and Guarding.
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Hunting is when you send vehicles out trying to hunt down other vehicles, a Bounty hunter and Guard will hunt down Pirates and Highway men. When a victory is had the winner takes everything that the looser is carrying and moves on, things can be set to be auto trashed so if you are going out looking for one item make sure to auto trash things you don't want so you have room for what you do want.
Also remember Yellows only fight other yellows and can only carry other yellows. This rule does not apply to green+ plus though.
Quite often, a guard will send out a series of Vans, Go Karts, Golf Carts, Milk Trucks, Sidecar Motorcycles, pretty much anything with a reasonable attack power, targeting most colors, without loading any weapons. A guard that loses a battle will only lose anything in his cargo, and since most hunt without weapons, then in general no losses incur, though their vehicles may be damaged.
Another common trick is to chose a very fast vehicle, such as a Sports Car, load it with green weapons, and target low level vehicles. Since none of the low level vehicles can outrun a Sports Car, and few target blue, the Sports Car's color, you can rack up a large amount of bribes like this. If the hunter loses his weapons, they can be replaced for a very low sum of money
Another trick (used quite rarely) is to send a vehicle with high defensive power, like the short bus, filled with Two handed claymores or smoke screens. What many guards don't see is that the highwaymen they are trying to attack are very often aggressive towards them as well and that's where defense comes in. So a short bus filled with yellows will have better overall power than a sidecar motorcycle filled with yellows. Although the sidecar motorcycle would be better if it was filled with greens but most guards don't want to use green weapons because of the price.
On the sea, the system changes somewhat. Since ships can be destroyed in battle, there is a greater risk of using more valuable ones. Also, because Ships have larger cargoes, pirates will load up with more weapons, and it is much more likely you will need weapons in order to beat them. This also increases the risk, because you are more likely to lose the weapons. Last of all, to make the risk even greater, Cannons up the ante incredibly. Your Cannons can't be stolen, but if a pirate has several good cannons and grape shots, it is quite unlikely your weapons will even be needed.
Also note that the main pirate of the sea is considered to be Manifest, who has a record of sinking the only 2 Ferries discovered, and countless valuables stolen.
It is quite unlikely a land pirate will make a lot of gold immediately. The only way to rake in big bounties is to buy very expensive vehicles, and get lucky enough to have greater power than the pirate.
The major pirate of the land is considered to be navan.