I've buried waterslides under True Oil just fine. As was mentioned, TO will build a film thickness and cam be lightly wet sanded and leveled.
If your set on a simple Danish oil, you might re think the logo, lots of cool things you can do other than waterslide or decals. Engraved, inlayed, laser etched. use a branding iron, molded, cast, metal. plastic, colored epoxy ......