Appears to be spooned. If it is a zinc cent, the plating has been removed, and that color is zinc, not silver.
I apologise. I have zero experience in coins. A relative passed away and a few coins were with the jewelry. I was hoping someone could give me some info.
Nothing to apologize for. You came to the right place for confirmation. This coin has been damaged it's worth a penny. If there is a sentimental attachment, then you can save it for that reason. When you tap a coin on the edge with a spoon, it gets that rounded edge shape, it's called spooning. Then the center can be drilled out and make a ring out of it.
Also a good idea. ^^^^^ If it was me, I would put a nicer coin in the jewelry. But a bezel is def. possible here. I wasn't thinking as usual.