Mushroom mesenterial filaments - Mushroom spitting guts for days.

[Peeptoad]

Sooo, my mushroom rock is not happy. I got the coral last Saturday, acclimated him temp in the bag in my sump for 20min, then drip acclimated him for an hour to match my salinity, etc. (He came from 1.024 pH8.2) then I did a brayer dip (Brayer complete 10mL in 1C of water for 5 minutes, rinse twice in clean tank water all separate containers). When I first put him he opened up and was happy, so I spot fed him some reef frenzy and he had a feeding response! The next day he had white stuff coming out of his mouth/top. I thought he didn't like the food and left him be, Wednesday he starting spitting really bad so I moved him under a ledge thinking the strong light was a problem. The mushroom coral then decided it was a great idea to spit all the filaments all over my tank and cover his entire top in the filaments. So I ran some carbon in my sump. He opens halfway and looks like a bowl of spaghetti, Should I just put him in my sump or what Can I do? Iodine dip? He hasn't harmed my finger leather coral which is in there just happy as can be. I'll post a pic later today. Suggestions needed.

Thank You!

NH3- 0
NO2-0
NO3-5-10
pH-8.0
temp-78*F
SG-1.025
ALK- 7.5dKH
Light- Current LED (50% max intensity, 50blue, 50white)

1-finger leather
1- mushroom rock
1- hermit crab (never goes near coral- stays on rock)
1- purple firefish

Purple firefish and Finger Leather are doing GREAT!

Photo on the left is from Monday, photo on the Right is from today.