Not sure how to explain it Panther, since it's kinda complicated. It's a very weird coin. It's a very interesting coin for sure.
To shed some light on it, here's what Mike Diamond said about it's possible causes. From
Quote:"A number of questions spring to mind when contemplating this specimen.
(1) Is this a normal pattern of
Die Deterioration simply taken to its logical extreme? The smooth surface texture of the distorted raised elements and the merging of design details suggests not.
(2) Did the reverse die deteriorate slowly or quickly? The other Harpers Ferry error I spotted on
ebay shows a slightly less distorted reverse design, indicating that the distortion was progressive. Still, the absence of other examples may indicate that the problem developed relatively quickly.
(3) Was the obverse die changed out, with the distorted reverse die inexplicably left in service? Or were both dies installed at the same time, with only the reverse die deteriorating? At this point, I have no way to tell.
If this proves not to be a conventional case of
Die Deterioration taken to its maximum limit, then it should be classified as a die deformation error. Perhaps "detail-erasing die wear" would be a suitable moniker. Poor quality steel, the wrong grade of steel, or improper die preparation (annealing, tempering, quenching) could be responsible for the distortion."