Sand the outside of the cedar chest in random locations with 150-grit sandpaper to give the chest a worn look. To give the chest an authentic, distressed appearance, select and sand areas that would be worn over time, such as the edges and around the handles.
Gouge areas along the edges of the cedar chest with a chisel to give the chest a chipped appearance. Because the work with the chisel will expose the light wood beneath the stain, dab some stain on a rag and rub it in to the area you gouge. The chest will not look authentically dated if it is covered in obvious, new marks.
Swing a heavy chain and hit the top, sides and front and back faces of the chest. The chain method is a common way of distressing furniture because it creates random dents that appear authentic.
Light a blowtorch and pass its flame lightly over the surface of the chest in different areas. The heat affects the chest's stain and gives it a worn, damaged and even dirty look. Apply the heat sparingly; the goal is not to make the chest look burnt.