Its called "Forge Scale" and its just essentially a build up of iron oxide that forms on the outside of a piece of critically heated steel. It's kinda like a layer of sweat that the metal builds up during the heating process that then becomes sacrificed when hammered or smashed in a press. I hope I did an okay job explaining it, I'm not a Blacksmith.
Have you ever seen a real cutlass??? This is about 4 of them…. Why is everything so oversized?? That blade is monstrous… the cutlass is a smaller bladed lighter blade for naval personnel…. This is much more like an Italian storta