The souvenir above and to the right was cut from a German observation balloon, most likely a Drachenballon (“kite” or “dragon” balloon). This type of balloon was developed by Austrians Maj. August von Parseval and Capt. Bartsch von Sigsfeld. The Allies nicknamed them “sausages” because of the balloons’ elongated shape.
This object is on display in World War I: The Birth of Military Aviation at the National Air and Space Museum in Washington, DC.