Aww snap. That sounds awesome. Hope I find one soon. I've only found like one unique thing, and it lets me swim. For weapons, I used all of the gold ore I found and made myself a gold bow. I use that with the Flaming arrows. It works great. I can kill zombies in 3 hits and demon eyes in 4. And the arrows are super cheap to make (wood and stone, then gel from a dead slime for the flaming part).
I'm still pretty low on ore for everything (copper, silver, gold, iron). It's taking a LONG time to find much. I'm doing a small world, too. I have huge, deep caves. But they are all full of stone and dirt.
Oh, I spent about 2-3 hours yesterday fighting in the corruption (as I later figured out it is called). It was awesome. And terrifying. It also goes on FOREVER. I kept going into it, clearing a bunch (enemies spawn in waves, and they do it every 3 seconds or so), dying, then going back again. I think my gear is still too crappy, though.
I did multiplayer with my brother last night. It's really fun to pull someone into your world. I showed him my hotel. He was awestruck.