Episode 13

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And explain they did.

There are some inconsistencies here:

-If Edgeless Blade's goal was to collect blades and destroy them, he shouldn't be as disinterested as he was initially about helping Shrine Girl. That's right up his alley.

-He gave a preach about how swords can be used to protect/harm depending on the user, when the demon was asking what he could do without a sword. The fact remained that he needed one. He addressed this when he mentioned "replacements", but the prior preach was rather off-topic.

-As Evil Protagonist showed, you can destroy these swords to remove them from the world. The only actual reason to keep them around is to use them (either for collecting more swords, or to destroy demons with).

I'm all up for a sequel, but I'm rather hoping that it'd feature a new cast with the current ones cameo-ing as legendary figures. Kind of like what Return of Condor Heroes was to Legend of Condor Heroes. The current cast has been developed already as far as characters and swordplay goes. There's nothing new to see (besides the other 35 swords).