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Set bonuses- 2 pieces: 5% item drop rate vs yokai 3 pieces: stealth (yokai enemies) A 4 pieces: melee damage vs yokai +5.5% 5 pieces: life drain (melee kill) 196
I got the smithing text early on, before the second act. I don't remember where though, and I think it dropped from a sohaya. Requires mutated skin for the smithing.