Looks like that coil is cracked. Yes, it is a resistor/condenser/capacitor. It is there for radio interference. The pulsing of the points and coil make RFI [Radio Frequency Interference] that the AM radio picks up as static. Remember these cars were built before FM radio was a thing. I don't know about you but I automatically dump the points distributor and change over to a GM HEI system. No more points to replace and a much better spark.The bigger HEI distributor cap is a tight fit to the firewall but a little massaging with a hammer makes for some room. The only other thing is that the resistance wire from the firewall connector to the coil has to be replaced with a heavy 10 gauge 12 volt wire. It is a black wire with silvery strands. The HEI needs a fat 12 volts to work. The resistance wire is there because the points last longer on 6 volts so that wire reduces the 12 volts to 6 volts. But for easier starting the other wire on the coil is 12 volts. So when you start it gets 12 volts but as soon as you release the key from Start to Run, the 6 volts takes over. You can either remove the bulkhead connector and unpin the resistance wire and replace with a 10 gauge wire, or cut it right there and splice in the 10 gauge wire. On later cars that wire is known as the 'pink' wire. The tilt column is coming along nicely. I found the parts I needed. I have taken it apart so many times I can do it in my sleep. But it is so rare I really want to get it operational. I also got my power top to work. Just wait until you get around to THAT nightmare. I never realized how complicated a convertible is. The tilt thread is here: Tilt column rebuild If you do decide to keep the points then I remember we had the best performance by using something like the Mallory Volt Master Coil and the Mallory Super Condenser. By using that huge condenser the points lasted a very long time without pitting. It is so big it must be mounted outside the distributor.