No picture attached in your question, but Butler Creek sells what they call a "Hot Shot" nipple that indeed has a hole up on the tapered side, see photo of a #11 type (standard size, not musket) nipple. The intent of the hole is to release gas from the ignition enough to split the standard percussion cap open - for easier removal, but sometimes they just drop off when fired or when the hammer is put to 1/2 cock.
But I wasn't aware they made a "Hot Shot" version for a musket size nipple, as that is a larger diameter nipple and where the cap has '4 wings' on them. Those come off or pull off easily due to the wings.
Perhaps what you have ... is a 'musket' arm with a #11 nipple installed that fits the thread of that percussion arm?
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