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Could a spur/point fit in the steel part between the jaws? That would make it less likely to wobble.
I'm wondering if it was a holder more than a jaw -- keep it steady while carving, routing, etc.
cool looking device anyway you look at it
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Might be a product made for a production lathe, wood or metal. Do the jaws close easily enough that they could have fit on a machine feeding a blank from the opposite end?
Better to follow the leader than the pack. Less to step in.
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If the jaws move in and out together, then it could be for drilling pen blanks.
If they move independently, then it could be for eccentric turning.
Either way, there would have been some sort of insert for the center.
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It's hard to say what the intended use was for this.
The jaws are tight, but still move with no problem. It's self centering, one square drive moves both jaws.
I think there was a center point in there originally. There's a tapped hole for a set screw to hold it.