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I've been getting this in a few jars lately.. just looks like little white dots of something on the individual grains. It never seems to spread from the patch where it's growing and the shroom mycelium doesn't seem to mind colonising over it. Anyone know what it is?
Perhaps a competing fungus but it's hard to tell. I wouldn't trust that substrate, so don't mix it with healthy mycelium. Try making some outdoor bed with it (take it as an experiment), search the faq's, there's plenty of info
Someone recently posted a picture/description very similar to yours. S/he said there was a musty basement smell. The growth rate, mold-like-appearance, and odor were stong indications of Streptomyces spp., common environmental bacteria. I don't recommend smelling an unknown, but depending on the jar's filter system you might be able to smell from the outside.
I don't know of any pathogenic concerns with Streptomyces, but anyone can have particular allergic reactions to large exposures [opening and smelling a jar]. It could also be a mixture, so even if it is Streptomyces, it should be treated with caution.
Due to the degree of contamination, at this point it should be considered an outdoor project at best.