1994 d penny

Any ideas how this would happen?

 

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It has a copper plating issue around the mintmark. This is common on the zinc cents.

 

agreed just damage/issue's from circulation for 26 years very common.

 

This will occur over time..

 

When your coin was struck the copper plating was stretched thin and exposed the zinc underneath which will eventually corrode.

 

There are a ton of copper plated Zinc Cents that look just like this.