Dungeon Chests can be of 5 different types and have different lock levels:

Dungeon Chets will spawn hidden. A player can use the skill Detect Hidden to reveal the chest (just for him).

See: Lockpicking
While the player picks the locks, he can stay hidden (the lockpicking sounds can be heared - revealing chance on failure).
When the lock is picked, the chest will become unhidden.
The picker will have loot rights, all other players turn grey on looting.
Only the picker can loot hidden.

• The Dungeon Chest is secured with a Trap.
• The trap can not be defused before the lock is picked.
• Telekinesis will not work
• MagicUnlock Spell will not work
• A random trap out of Explosion or Poison Trap (traplevel=level*13) will be on the Dungeon Chest that can be triggered (10% chance) on lockpick fails.
• When the lock is picked, a final Explosion Trap will be activated that does lvl * 18 damage.

Only the player that picked the lock has looting rights. All other players turn grey.
The picker also can loot hidden, all other players get revealed on looting.