If you notice those letters are decreasing in width on the bars so I'd call it Die Deterioration. The same is happening to the top of the 2nd S in states.
That's what happens when the die is in the process of wearing out. I don't think an explanation of why this happens to the die has been given as of yet.
I have quite a few 2006 D with this type of doubling because I just love how crisp the 2006-2008 cent look in rd MS. I will upload them here tomorrow so you can compare because I've been wanting to know if it Machine Doubling or Die Deterioration because it always confuses me how nice bold it can be at the same time. Kinda like the brown MS 1991-1992 l can look bold but warn at the same time. Cheers.
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