Refining Items!!!!!

I don't know if this has been suggested yet, but we could refine the items we have.

Method #1: Combine two of the exact same items (weapons, shields, etc.) and get an improved version of the same item with improved or augmented attributes.
[i.e. Demon Axe Of Violent Rape + Demon Axe Of Violent Rape = +1 Demon Axe Of Violent Rape (or even Demonic Axe of Disemboweling Rape)].

Method #2: Combine an item (weapon, shield, etc.) with an upgrading item (excess ingots of the item's type or maybe a special upgrading gem or crystal) to get the improved version of the item.
[i.e. Demon Axe Of Violent Rape + 200 evil ingots (or 20 'special/magical' crystals of upgrade) = +1 Demon Axe Of Violent Rape (or even Demonic Axe of Disemboweling Rape)].

You could even go further and give the upgrade a certain measure of success or failure based on how much material the individual is willing to devote to the process, giving the upgraded items a certain prestige that will be associated with their holders.
Also you could require special tools for upgrading (like a hearth for tempering or a distillery for distillation of the special ingredients); or require a certain skill level to be reached before upgrading is available.