ok here is my take on it. The coating protects the blade from rust. yes. but so do patinas. A high carbon knife will gradually form its own patina over time, eventually it will be black with GOOD oxidation. The red stuff, rust, is bad oxidation. So a patina makes a protevtive barrier between the steel and acts like a nice buffer. Now RUST may form, but in all honesty it takes a LONG time of sitting rusty for it to have any real effect on the knife. honestly, ive had knives in sheaths for months, pulled em out and there was rust, some flitz and they were like new again. Strip and force a patina if your worried, if not just wipe it off and if the sheath gets wet store them apart. easy peasy