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Like most other enemies with the ability to pass through tiles, Crimson Axes are unable to spawn if the player is standing in front of valid housing walls.
Like most other Crimson enemies, Crimson Axes can only spawn on top of Crimson grass, Crimstone, Crimsand, or Red Ice Blocks. They can do so even if the player is not specifically in a Crimson biome.
Tips
The Arkhalis or the Terragrim are excellent weapons to deal with this enemy, as even a single hit forces to recharge its spin. In effect, these weapons can act as a shield surrounding the player, completely impassable by the Crimson Axe.
Trivia
The Crimson Axe shares the same sprite as the Blood Lust Cluster, minus the red glow.
The Bestiary entry for the Crimson Axe: "Ensorcelled by the Crimson collective, this weapon moves about and chops its enemies by its own will."
Desktop 1.4.4: Fixing a long standing inconsistency in their spawn code, that resulted in them being dramatically rarer than Enchanted Swords. They should be about as common as Enchanted Swords now