I like the idea of using a pre-existing wreath as a frame for the inscription. It's clearly upside-down, though, which is awkward, but maybe the author did it deliberately to avoid connections to the old design.
(Alternately, there might have been a big reason to avoid having the portrait side upside down that outweighed other considerations.)
I agree that given the style and the level of wear this was very possibly a coin pulled from contemporary circulation.