From the picture alone I would feel comfortable to go up to an EF grading, has some scratches and traces of wear but the centre shield is clear. Some of the patina is removed or maybe the coin had taken a 'bath' and it's not the original one.
Btw, while for use in the whole of Germany the coin is Prussian, mintage of denominations above 1 Mark was a state/country issue until wwi.
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