The laser cutting explains a lot. Anytime a carbon or alloy steel is "cut" using heat, there will always be a "heat affected zone" (in other words the steel will harden to a given degree all along the cut, and in many cases, the internal structure of the steel is so adversely affected, it's non-recoverable ). Usually that portion of the steel that is affected by the heat is considered a loss...... and must be ground away. Generally the heat used during a cutting operation is so high/intense, that heat affected zone is non-recoverable...... at least for the average knifemaker.
How large the "heat affected zone" is, depends on the settings/heat of the device used to cut the steel. It can range from just a few thousandths from the cut boundary, to as much as 1/2".
There are basically three options..... 1. Grind away the entire "heat affected zone". 2. Try to anneal the entire piece of steel....which may or may not be sucdessful. 3. Use this as a learning experience, and buy another piece of steel....making sure that it's NOT cut with heat.
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