Tom,
Not sure what you mean by "giant dimples." Could you post a photo? I just looked at my C-96: pulled the bolt back and pressed the flat back of the bolt against a hard, flat surface - pushing the firing pin forward. With the firing pin flush with the back of the bolt, the firing pin is still slightly recessed behind the bolt head, perhaps a 64th of an inch. Obviously the inertia of the firing pin is necessary to strike the primer.
I never paid much attention to the firing pin marks on spent ammo from the C-96, however, this was an early design for modern ammo. I know that shotguns from the same general period have much larger firing pins than modern shotguns. I shoot an old black powder hammergun reproofed for nitro and the firing pin dents are huge compared to a modern shotgun. Could you be misinterpreting "normal" based on your familiarity with modern firearms? I suggest this because the most modern handgun I own was made in 1918.
You have an interesting C-96 and I hope you can post photos. KFS
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