Board Thread:General Discussion/@comment-5821891-20130128231809/@comment-6207588-20130131132500

We don't know whether he knew about the dagger before or after talking with Neal...they have not made that clear. It's just speculation at this point.

We also have only seen one conversation between Blue Fairy and August in Storybrook itself and we have no idea as to what they may have discussed since they did not show it but he did know about the dagger before then because he had already been to Gold's shop looking for it.