It’s not really hotter than other fuel-oxidizer fires, *but* it releases almost no gas, so all of the heat stays right there instead of floating away.
As for why metal can burn, pretty much all metals can burn. Metals are not naturally stable and want to react with oxygen, which our atmosphere is full of. Usually the process is pretty slow or even grinds to a halt, but having a ton of oxygen available (in the form of iron oxide) and making the metal a fine powder to expose it more really speeds things up.
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