I am guessing that this must be some kind of Die Deterioration. Am I correct? The letters in E-Pluribus-Unum appear to run together and the dots appear elongated east/west?
Correct. Look at the fields of the coin. You can see the die flow in the areas where it should be flat. Under STATES and between there and the torch. Above the EPU. Around the bust. Just a coin struck from an aging die.
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