Cold-forged steel

Bah. All too technological. Cold Iron gets its name in a lot of game systems because it feels cold to the people who are vulnerable to it–it is the metal of cold, final death. It has nothing to do with the chemical or metallurgical makeup of it. In DragonQuest, the abandoned game system, steel and wrought iron were both Cold Iron. They were rendered non-Cold by being alloyed with silver, gold, or mithril (spellcasters who tried to cast spells whilst wearing Cold Iron received a 15% penalty on their cast chance; silvered iron got a 10%, gilded got 5%, and truesilvered had no penalty).

In case somebody wants to pursue the industrial process rather than the mythological / gaming references, here’s some blurbs on cold forging and the benefits thereof, apparently by some British trade association of cold forgers:

http://www.bcfg.co.uk/MainMenu.htm

Wikket (among others) got it right here. The term is not made up. I suppose that, if the term is used in D&D, it was chosen simply because it sounds cool, but it’s still a real industrial process. From this site:

Second cite differentiating types of forging, just if anyone is interested. Or you can Google on “cold forging”. Following, however,

Cold forging is not necessarily done at room temperature, it’s just at a temperature cold enough for scale not to form. Cite:

Thanks, guys. I suppose question #2 is, is the cold iron thing just from D&D, or is it a traditional bit of fairy lore?

Traditional, especially in the lore of the British isles