Through history ceremonial weapons have often been made and used as displays of power or authority. Most predate their military counterparts, and swords (along with maces, daggers and halberds) tend to be one of the most traditional types of ceremonial weapons.
Most of the time, these weapons were not intended for combat use and were adorned with jewels, inscriptions and/ or made of precious metal. Some rare cases were intended for practical use (such is the case of sacrificial daggers) and were adorned at the hilt ior handle while leaving the blade completely metallic.
One of the most famous ceremonial swords of Japan is the Shichishitō. Another famous ceremonial weapon is the Ame no Murakumo, but since the blade has never been on public display its appearance and existance has been continuously debated.
In Gameplay[]
It's the favored weapon of Sadame and Kihan. Given their unadorned blade and the fact that both prietesses carry the swords with them all the time, the swords may be intended as both a display of their position and for fending off enemies. In combat it's no different from other katana.
See Sadame's and Kihan's pages for combat moveset.