Upside-down. It says 胴落 (dōotoshi). It is a form of "saidanmei", or what is commonly called a cutting-test mei.
It means "body cut", e.g. one body cut down, cut in half.
Love the Samurai movies where they swing the sword at the enemy and it looks like they missed ; than the body falls in half. There are some videos where they cut a thick batch of bamboo and straw in half to test the sword. After watching Kill Bill , I will forever lust after a Hanzo sword , LOL.
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