Ok, so a little research has led me to the conclusion that the "rot" mentioned above was a result of the celluloid material outgasing, and causing the steel from the blade to corrode.
The question remains, will PVC do this as well?
I'm going to go out on a limb and say no. PVC (polyvinyl chloride) and its closed cell counerpart, Sintra, (from what I understand) do not outgas as such, and will not harm steel. I cant find a scientific explanation to back this up, so for now I guess it's just a gut feeling, but if I'm wrong, I'd love to know. so, someone knowledgeable chime in, please.