A little history: Damascus blade making (the phrase "Damascus steel" refers to a manufacturing technique, not a type of metal) was developed independently in England, in the Arabian countries, and in Japan, well over a thousand years ago. Why did such different cultures, with almost no contact with each other, separately come up with the same idea of making blades by laminating different species of metal? First, because lamination increases the tensile strength of material (consider laminated wood or plastics, which are manufactured in layers to this day for the same reason: strength). However, they quickly discovered another advantage to laminating metal. All metals (including modern tool steels) are compromises with the laws of physical chemistry. Want more hardness? Fine, but your steel will be more brittle and might chip. Want more toughness? O.K., it will probably not chip, but you won't be able to put quite as sharp an edge on it. Etc., etc. etc. So, in each of the above referenced regions, some genius asked himself a brilliant question: "What if I took two metals, one real tough (but not hard enough) and another one that is real hard (though not tough enough) forged them together, and then folded them over again and again and again until the blade consisted of hundreds of very thin layers of hard-soft-tough-dull metal bound into a single blade?" The result is a miracle of human ingenuity that we call Damascus steel, which is a name Southern European soldiers gave it when they encountered it in the city of Damascus. The old Saxon blade smiths and the Japanese master katana makers had different names and different techniques, but basically the same idea. When forged by a master craftsman using the right metals (formulas kept as family secrets for generations) the result is a blade of legendary strength, startling light weight, and almost unbelievable edge taking and edge holding. Put simply, well-made laminated blades ("Damascus steel" blades, if you prefer) may be the finest cutting implements ever created by human hands. Yes, they really are that good. And, they can be breath-takingly beautiful. However, notice the caveat: "WELL MADE laminated blades." Lamination alone does not turn garbage into diamonds. Like everything else in life, crap in means crap out. Cheap, mass-produced laminated blades are crap. Masterfully forged laminated steal is a work of art with properties that make it superior to any single species steel. The stuff in the middle is, well, in the middle.
Bottom line: if you want the best knife it is possible to own, save up A LOT of money and buy a laminated masterpiece from a master craftsman. Can't afford that, or don't think that is a good use of your hard-earned cash? No problem, bro! Don't waste your money on some cheap imitation of the real thing. Go buy the best knife you can afford with a blade of modern tool steel. Use it with skill and pride, and feel good about the fact that you have a made the right decision for you, and that modern, single-species blade steel is able to deliver excellent service for generations.
Enjoy your search!
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That which does not kill me, delays the inevitable.