Dwarves have two words for blood. They don't use "blood" as humans do, as a term for lineage, due to the high importance and many social nuances of family and blood-relation in their culture, blood as a word for them is just blood.
But there are two words for blood. The first just means blood as a thing. It is blood in your body, on a knife, spilled on the ground. That's just blood. The second is the word for blood, but only blood spilled in defense of the home. This term is, therefore, very special. If you are injured, you have blood, but only if you are injured in defense of your home or homeland, then you are injured with blood.
Then, in consideration of both this fact and the fact that dwarves have a very honor driven, conservative culture; consider exactly what sort of weapon could earn the name of Blood Axe.
Dal'Vastk - Legendary Dwarven Axe +2
Stats- Deals 1d8+1d6+2 Damage, 1 in 6 chance for Shockwave on miss
The Dal'Vastk is a short hefted axe with a long cutting head, suited for combat. The design is very angular, with a octagonal shaft made of the same enchanted metal the axe itself is made with. The face and head of the axe is inscribed with an uncountable number of runes in geometric patterns lending the weapon additional strength, protection, and power.
This weapon is almost totally invulnerable, and is a symbol of true craftsdwarfship. It is immune to corrosion, destruction effects, disintegration magic, and even planar disjointing fails against the object. Even against divine or otherworldly levels of power, this weapon receives a saving throw to avoid being broken, disenchanted, or unmade. It never loses its edge and is never off balance. Its grip never slips and the blade never chips. The weapon could be left at the bottom of a river for a thousand years and never rust. It is immune to all such lesser forms of decay. The only weapons that have a stronger tensile hardness or ability to scratch it are those made of Adamantine, and even those cannot truly break the weapon, only mar its otherwise flawless exterior.
Whenever Dal'Vastk strikes something with the back of the axehead with vigorous force (as in, used in an attack or smashed against an object), it will fire off a shockwave. The shockwave pushes the target back 10 to 20 feet based on the weight of the target, and deals an extra 2d4 damage if they are flung into a wall or hard floor, with additional damage or death inflicted if knocked into spikes, off a cliff, etc. This shockwave can also be used to do things like blast down doors, knock down a bookshelf in one swing, shatter a stone, and so on. There is no limit to the number of times this shockwave can be activated once per day, but it can only be activated once per combat round. If your character has multiple attacks, you can perform a normal attack with the axe, then flip it around in your hand to hit enemies with the shockwave, and so on. Finally; when fighting regular, armed, and aware opponents, you still get a 1 in 6 chance to strike them with the shockwave ability even on a missed attack. This is because they may raise a shield, the flat may hit them square in the chest but be deflected, the use their sword to parry but the energy is still directed towards their body, etc.
Finally; Dal'Vastk is a powerful artifact and a symbol of dwarven kind. It is an ego weapon. It much prefers to be wielded by powerful dwarf warriors, but as the dwarves themselves would say- it's about how you act, and not what you are. Anyone who has broken a sworn promise without reconciliation, abandoned a solemn duty, or kill members of their own family are unable to wield this weapon. The weapon will also reject those who do not have an Ego equivalent of a Fighter of 6th level or better.
Anyone who fails to meet the requirements of the ego above are flung backwards by the shockwave the moment they try to swing the axe, even for a practice swing, with the axe being knocked out of their hand and flat onto the ground, waiting for a true dwarf to claim it.