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It’s a Gorgonian covered in algae. I’d take it and put it in a container with tank water and gently clean the algae off it before putting it back in your tank. That algae will kill it if it isn’t already dying
No problem. If you see white when it comes to coral, it isn't a good thing. It is usually a skeleton in corals that build a calcium based skeleton or stress spots when it comes to soft corals.