What's With The Rim On This Lincoln?

I don't think it's pixelation, while I agree of the tan background, on the actul rim, obverse side, there seems or appears to have like the texture of something wrapped around the rim. I have seen such on lincoln cents so it's possible that it is on the cent itself.

its an ex Encased Coin. It used to be in a aluminum ring that said something like "Lucky Penny" like this http://cgi.ebay.com/Las-Vegas-Club-...ny_W0QQitemZ280152395847QQihZ018QQcategoryZ7109QQrdZ1QQssPageNameZWD4VQQcmdZViewItem and this one http://cgi.ebay.com/PATS-OLD-MILL-R...NY_W0QQitemZ160115486598QQihZ006QQcategoryZ139805QQrdZ1QQssPageNameZWD1VQQcmdZViewItem . someone just took it out of the ring. Here is one that has been graded by ANACS http://cgi.ebay.com/ANACS-1931-FROM...ND_W0QQitemZ290158004945QQihZ019QQcategoryZ139804QQssPageNameZWDVWQQrdZ1QQcmdZViewItem

Edit: I looked at the pictures again and I am not 100% sure thats what it actually is, it may just be a picture anomaly but an Encased Coin has a ring around it that looks close to what that looks like

I think he's talking about the obverse of the coin and how it has lines on the edge. I've seen those marks on a '73 mint set , and I'm guessing it from having contact with other coins?

That's what we're talking about too Amazon. It's a type of 'stair-stepping' effect that is present on lesser graphics cards that don't have anti-aliasing.