I have had a damaged passport for the last 8 years.
Water (actually rum) damage to the front page with all details including the MRZ, as well as my picture being affected by the water that I kind of looked like the Terminator when he loses half his face. Chip also doesn't work half the time, and rarely scans properly on those self check kiosks.
I've still travelled around the world, including the USA 10+ times. The only grief I've had is departing/arriving home to Australia.

But if you want peace of mind, definitely get a new one.