Those are PCD polycrystalline diamond tipped inserts. Diamond crystals in a cobalt alloy matrix. For very hard materials sometimes, but far more often for extreme wear resistance.
The carbon in the diamond dissolves in iron and steel (and nickel alloys), so they don't last long on steel. You can use CBN cubic boron nitride on steel etc for longer life, about the same price.
Hobby level chaps (and most small-batch pros, indeed most pros) should generally stick to HSS or carbide, unless they are doing something unusual.
No. Carbide inserts can sometimes be touched up with diamond (though it's usually not worth doing unless you want something special), but not PCD or CBN.
Last time I bought any they were £20-odd each, and that was years ago.
Peter Fairbrother