I'm not sure how plasma "ruins" blade steel. It does create a decarburized edge, and there is certainly a heat affected zone, and regardless of the materials ability to air harden that edge is hard on tools and abrasives (we cut and machine literally tons, of A36, even in that steel, the edges cause significant tool wear) but what exactly is believed to be going on in that 1/8" profile zone that is thought to "ruin" it?
All but the very edge - .010-.030" should be able to be annealed and re-heat treated.
I don't use it very often because I can use a laser. If I had access to a water jet I wouldn't use the laser. But I've never seen evidence of an 1/8" deep decarb, even in 1" or 1.25" cutting with a 260 amp head. A hand plasma torch and templates, or if you're really ambitious, a pattern tracing jig, is probably the least expensive (in consumable cost, startup cost, vs time spent per blank cut) method available to the typical home shop for blanking out knives. As well as being incredibly useful for other projects.