What caused this damage

Interesting damage the obverse damage doesn't occur on date looks like it was struck over the damage, the same occurs on the reverse

 

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The mark on the Reverse (from the center of the Memorial to the top of [C]ENT) looks like a die crack to me.

Assuming the vertical marks to the right of the Memorial and the marks on the Obverse that run through the date are raised, they look like die cleaning scratches to me. I don't know how a die can get scratched like that just by wiping it off, but apparently it can.

 

I agree with die cleaning lines. The dies can get abraded quite harshly to remove encrusted debris. Really not sure on the reverse, line under memorial looks to thick for a die crack. Could be more abrading.

 

Are those cuds on Lincoln's eye, earlobe and jawline

 

You mean Die Chips.

Cuds are Die Breaks that start on the Rim and go into the field. These are Cuds..

 

Sorry I meant to say die chip, wasn't sure but thought it may have die chips.