In response to post #3 -
There are several popular misconceptions in this post.
Yes, modern "damascus" is just laminated and patterned steels of different types. Most of the good quality damascus is made from two steels that etch differently, but both are good blade steels in their own right. Some makers use a low carbon or nickel layer to get a very high contrast, but these layers do not cut as well as the harder high carbon layers. By choosing the right steels to layer, the end product can be a very good blade steel.
True Damascus, if you mean the original damascus from the 3rd century BC to the mid 1300's, was wootz. The procedure is not lost or guarded. It was made primarily in India, but also in Russia. It is still made by many people today. The original source material and smelting places are long gone, but the understanding of the steel is well known. This steel was a softer steel with hard carbide bands in it. It made a blade that was much less brittle than a high carbon blade, and had a very aggressive edge due to the layered carbides.
The "Damascus" that is popular in modern knives is actually" Pattern Welded Steel", and is similar to what the Vikings made. It is a layering of different steels to either save costly high carbon steel ( which was very rare at one time) and to gain an attractive pattern.
Damascus Kitchen knives are usually suminagashi, which is basically a san-mai of a decorative laminated steel on a good cutlery steel core. The preferred laminated/damascus sides are nickel and stainless, which has no cutting ability, but makes an attractive side pattern. Suminagashi made with core steels like VG-10 is popular, but the blades made with high carbon Yasuki core steels are far better.
Many of the pattern welded, or damascus blades made by smiths today are excellent cutters, and have fully functional blades. They are better for cutting than slicing because the layers create a micro serrated edge.
Final note - The name Damascus does not come from the steel being made there or sold there. It comes from the Europeans in the 13-15th century referring to the pattern as "damascene", which means having a flowing shimmer to the pattern. The word damascene also means "From Damascus", thus causing later people to think the steel and swords actually came from there