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It's actually 3 tools in 1. And it's only 2¼ inches (5.5cm) long.
It's a nipper for cutting & trimming your tippet
It's a Knot Tying Tool. (It's especially handy for tying Nail Knots.)
And it's an "Eye Opener" to remove paint or glue from the hook eye.
(This is also useful for untying pesky knots in your leader or tippet)
So many uses for such a small tool!
Get one for yourself and your fishing buddies.