Interesting.. it looks like a Retained Cud. The piece breaks off but is still retained in the same position and lives to strike one or more coins. You can see slight weakness on the obverse opposite the Cud, so maybe it's actually more than one break (a smaller piece completely broke off and the larger piece was still there when it struck this coin?).
david29, I'm not sure how much value it adds, but I know error collectors would probably like it! Hopefully one of our experts will pop in here to verify the diagnosis and any premium it adds.
The Three Cent Nickel and Shield nickel series tend to commonly have a lot of cracks, Retained Cuds, and full Cuds. For that reason they usually do not command any great premium unless they are really impressive. I don't think this piece would qualify. Sorry.
Thanks everyone for your comments. I didnt pay any premium for it. I was just going through the dealers type coins and saw the Cud. I figured the price I paid was worth it.
The first 75/25 CuNi coins, the 3CN and Shield nickel, wreaked havoc on the dies and it took them awhile to adjust to the difficulty of working with that alloy. Advances in die steel and tempering/annealing technology eventually helped (mostly)overcome those difficulties.
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