This is a good example of a love token. It was made by planing off one side of a coin and having an experienced engraver or jeweler carve a design. They could be used a pocket pieces, turned into a necklace charm, or have a pin soldered on the back to be worn on a shirt.
These were usually created on
Seated dimes, but it can be found on many other designs. They sell for more than melt value, and can really jump in price depending on the coin it is engraved on and the design.
Suffering from bust half fever.
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http://goccf.com/t/434955Shoot me a PM if you are looking to sell bust halves.