Block 2 is complete and block 3 is prepped. I can see a stray thread in the picture but it's just a stray. Block 3 may take me a while.
I zigzagged the edges of the first block and put it in the washer on gentle. I had nothing to lose so just went for it and it came out good. No more halos. I think I gave it neither enough water nor enough time to discharge the fugitive dye in the red so it just bled onto the closest fabric when I dunked it but all's good now.