User blog comment:Lord Loss/Discussion of the Week: Hammers/@comment-4996937-20120731105033/@comment-5043481-20120910154312

Thats a very silly thing to do, as sharpness does not just affect bouncing. It is part of the damage formula, so keeping your hammer sharp means more damage.

I do see where your coming from though, and its just a concequence of the (admitidly silly) gameplay mechanics.