That is called jimping (I believed) and it is to allow purchase for your thumb when cutting. Sgian dubhs are extremely short gripped and don't really have enought room for a full palm on the handle. The jimping offers a very stable place for you to guide the blade through whatever medium you're tackling.
Jay Clan Rose - Constant and True "I cut a stout blackthorn to banish ghosts and goblins; In a brand new pair of brogues to ramble o'er the bogs and frighten all the dogs " - D. K. Gavan
So I stitched up a quick sheath and made my Mom a matching ironwood pin. My Dad's is already wrapped but the one I made for myself is almost identical. It's more of a utility belt dagger than a sgian dubh.
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