It's a very good steel, for kitchen use. I wouldn't choose it for an outdoor knife. However, Cold Steel had an entry level bushcrafting / outdoor range of knives in this steel. Go figure... I was very enthused by these knives and I ended up buying them all.
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In the mean time I bought better suited outdoor tools but to this day I still use those knives in the kitchen or at the table (for people who like to saw consistently into their plate, for example, easy to fix the edge...). To sum up, I wouldn't shy away from a well done knife because of this steel.
I have a bunch of knives in 4116, including the top 2 CS knives in the above poster's pic. Here in dry Colorado, they are the only 2 knives I have stored in their sheaths that rusted. Go figure. Of course the finish on the flat is beyond coarse, you can see the semi circular marks from the grinding wheel/stone, so that might have something to do with it.