So basically, yea they are used as "trash". Just a rarer drop that helps you with money.
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"Do or do not, there is no try." - Yoda "Put off today what you can do tomorrow." - Anon "The secret to creativity is knowing how to hide your sources." - Einstein "Life is a long lesson in humility." - James M. Barrie
I have like 120 of them in my stash and I think 40 or so silver lumps as well. Kept them in case they were actually used for something because I see people selling them all the time. Good to know they are worthless as materials, frees up a few slots in my stash.
40 Silver Lumps!!! Those sell to the NPC for 1 Silver each! *oops did I say that out loud?* I'll buy them from you for 500 copper each Just kidding. You're rich!!! ^^