This is the horn of the creature called a 'Silvertail'. It is rather sharp.
You can turn this horn into a good dagger. To do that you need to collect two additional components;
1. Snake Bile
2. Handle-Shaped Gofle Toe Bone.

Once you have all three components you can combine them in the following way:
- Pick up the 'Snake Bile' onto your cursor.
- Press down the 'Shift' key on your keyboard and left-click the 'Snake Bile' on top of the 'Handle-Shaped Gofle Toe Bone'.
You will receive a message and some experience, and you will end up with an item called a 'Bone Handle'.

- Pick up the 'Bone Handle', hold down 'Shift' and left-click the item on top of the 'Silvertail Horn'.
- Behold your new 'Silvertail Dagger'.

The quality the dagger ends up with is dependant on your skill in Weapon Smithing.

This is the horn of the creature called a 'Silvertail'. It is rather sharp.
You can turn this horn into a good dagger. To do that you need to collect two additional components;
1. Snake Bile
2. Handle-Shaped Gofle Toe Bone.

Once you have all three components you can combine them in the following way:
- Pick up the 'Snake Bile' onto your cursor.
- Press down the 'Shift' key on your keyboard and left-click the 'Snake Bile' on top of the 'Handle-Shaped Gofle Toe Bone'.
You will receive a message and some experience, and you will end up with an item called a 'Bone Handle'.

- Pick up the 'Bone Handle', hold down 'Shift' and left-click the item on top of the 'Silvertail Horn'.
- Behold your new 'Silvertail Dagger'.

The quality the dagger ends up with is dependant on your skill in Weapon Smithing.