German navy daggers predate the Third Reich and changed very little over those years. Imperial navy daggers are very beautiful and often found with Damascus blades.
After WW1 the Model 1919 or "First Model" was available. Due to the small size of the German navy at this time, they are very scarce. In 1938 the more familiar "Second Model" was available, with the only major difference being the national eagle and swastika on the pommel nut. Due to the similarities, many officers simply ordered the new pommel to convert their existing daggers to the new standard on the cheap. Both first and second models are most often found with engraved blades and lightning bolt pattern scabbards. Hammered or "pebbled" scabbards are much harder to find and command a premium. Although rarer, custom options do surface from time to time, including Damascus blades, gold inlays and dedications and ivory grips. These features can add up to an impressive and expensive collectible. There were a handful of producers, making this more of a finite area of dagger collecting that certainly begs the Third Reich Navy collector to dip into the Imperial era for new collecting challenges.
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