Colada is one of the two best-known swords, along with Tizona

Tizona

Tizona is the name of the sword carried by El Cid which was used to fight the Moors in Spain according to the Cantar de mio CidThe name Tizón translates to burning stick, firebrand....

, of El Cid Campeador

El Cid

Rodrigo Díaz de Vivar , known as El Cid Campeador , was a Castilian nobleman, military leader, and diplomat...

. Won in combat from the Count of Barcelona, the sword was presented (along with Tizona) to his sons in law. According to the heroic verses of the Cantar de mio Cid

Cantar de Mio Cid

El Cantar de Myo Çid , also known in English as The Lay of the Cid and The Poem of the Cid is the oldest preserved Spanish epic poem...

, after his sons-in-law beat his daughters and then abandoned them on the side of the road, El Cid asked his gifts to be returned. Afterward, he bestowed the sword upon one of his knights, Martín Antolínez.
Though its authenticity is doubted, a blade named Colada and traditionally identified with that of El Cid, with the addition of a 16th-century hilt, is preserved in the Royal Palace of Madrid

Royal Palace of Madrid

The Palacio Real de Madrid is the official residence of the King of Spain in the city of Madrid, but it is only used for state ceremonies. King Juan Carlos and the Royal Family do not reside in the palace, choosing instead the more modest Palacio de la Zarzuela on the outskirts of Madrid...

.

According to Sebastián de Covarrubias, Colada clearly means a sword made from "acero colado", a process of alloyed steel without impurities.

As Tizona

Tizona

Tizona is the name of the sword carried by El Cid which was used to fight the Moors in Spain according to the Cantar de mio CidThe name Tizón translates to burning stick, firebrand....

, Colada appears in the epic poem Cantar de mio Cid

Cantar de Mio Cid

El Cantar de Myo Çid , also known in English as The Lay of the Cid and The Poem of the Cid is the oldest preserved Spanish epic poem...

 as a sword that frightens unworthy opponents if wielded by a brave warrior. El Cid

El Cid

Rodrigo Díaz de Vivar , known as El Cid Campeador , was a Castilian nobleman, military leader, and diplomat...

 gives the sword to Martín Antolínez as a present, and

he uses it in the duel against the infante Diego González.

Verses 3648-3665: Martin Antolinez mano metio al espada. Relumbra tod el campo: tanto es limpia e clara. Diol vn colpe, de trauiessol tomaua. El casco de somo apart gelo echaua. Las moncluras del yelmo todas gelas cortaua. Alla leuo el almofar, fata la cofia legaua. La cofia e el almofar todo gelo leuaua. Raxol los de la cabeça, bien a la carne legaua. Lo vno cayo en el campo e lo al suso fincaua. Quando este colpe a ferido Colada la preçiada. Vio Diego Gonçalez que no escaparie con el alma. Boluio la rienda al cauallo por tornasse de cara. Esora Martin Antolinez reçibiol con el espada: Un colpel dio de plano, con lo agudo nol tomaua. Ya Gonçalez espada tiene en mano, mas non la ensayaua. Esora el ynfante tan grandes voces daua: -¡Valme, Dios glorioso, Señor, cúriam deste espada!-

Translation Martín Antolínez took his sword in hand, it lights up all the field, it is so clean and bright, he gave him a blow, he hit him a glancing blow, it broke away the top of the helmet, it cut away all the helmet straps, it tore off the mailed hood, and reached the coif, the coif and the hood all were ripped away, it cut the hairs on his head, and it reached well into the flesh, one part fell to the ground and the other remained. When precious Colada has struck this blow, Diego González saw that he would not escape with his soul, he turned his horse to face his opponent. At that moment Martín Antolínez hit him with his sword, he struck him broadside, with the cutting edge he did not hit him. Diego González has sword in hand, but he does not use it, at that moment the infante began to shout, -Help me, God, glorious Lord, and protect me from this sword!-