According to the latest Bungie Weekly Update, Destiny's Iron Banner is getting reworked and will show up as a new and improved 2.0 version.
Here’s a confirmation of everything you’ll need to know if you’re to prosper in the new, improved, and exceedingly dangerous Iron Banner:

Power. Does. Matter! (no, really)
- Only players Level 20 and above can lead a Fireteam
- Players below Level 20 can accompany more powerful friends
- Players within 3 Levels can be competitive with each other
- Your DEFENSE rating affects how you take damage
- Wear your best (highest rated) armor
- Players out of your league will seem like a Boss
- Your ATTACK rating affects how you inflict damage
- Equip your best (highest rated) weapons
- Lower-level players wielding fully-upgraded weapons should still be considered a very credible threat!

Claim victory to gain reputation.
- Lord Saladin now has five ranks to obtain through victory
- Your previous Iron Banner rank has been preserved
- The Tempered buff is a twelve-hour boost in reputation gains
- Activate Tempered later during the event to catch up faster

Acquire exclusive Iron Banner rewards.
- Increase your Rank to unlock better gear
- Reforge weapons to reset progression with new perks
- Earn gauntlets and boots to move you closer to Level 30
- See Lord Saladin for details!

Quitters never win.
- Reputation gains are only awarded only to the winners
- Defeat grants a token to be redeemed after a future win
- You can carry up to five Iron Medallions at any time
- Partial reputation gains are earned instantly upon victory

Strike while the Iron is hot.
- Your reputation will be reset at the conclusion of this Iron Banner
- Like any competitive activity, each new event is a chance to regain your standing

Bungie also mentions that voice chat is going to be more widely available soon and a few other tidbits of information.