What is up with the blacksmith sign? Outatime
 

I have done everything, if it can't be used then is it for the next game?
Can anyone tell me, that way I can play the game again!

It's just one of those extra items; some games have them. Similar to the algae cakes, it simply just takes up room in your inventory and has no real purpose.

The algae cakes aren't totally useless: You can give one to Doc in his lab to lower his mood to red.