I get what you mean by the fact it went on fire, (which yes, is interesting) but no one but the person holding a sword on fire can see the fire but
that person holding it. If it had been the Bloodfire Cutlass, for example, only Samantha Searatte would have been able to see the fire burning on the sword.
Also, I believe that there will be a new skill relating to this post:
http://www.piratesonlineforums.com/f...t=23515&page=3 (look at the post by Kat Five Knives)
My thoughts on the sword....
Right now: Junk
In the future: Epic