50 Pfennig

Königsaue is a small village in Saxony-Anhalt, and like thousands of German municipalities in 1921, it issued its own emergency currency — Notgeld — to compensate for the chronic shortage of small-denomination coins during the inflationary spiral that preceded the catastrophic hyperinflation of 1923. Louis Koch of Halberstadt was a regional printer who handled Notgeld contracts for numerous local authorities across the area, which means the watermarked paper here was a deliberate step up in production quality, not a given for notes at this level.

The DeNG reference places this as variant 1a within the 721 series — suggesting at least one additional variant exists for this issuer.