The white material is the inlay. At the convention I showed the chip to an chip manufacturing expert. I do not remember his name, but I believe he owns Atlantic Standard. What he said was that there was too much clay in the slug. When they are going to stamp in the mold, the inlay is already positioned on the slug. If there is too much clay, it is forced out the side. There was apparently so much clay, that the inlay was also stretched out of shape into the mold. I was basically told that this is a poorly made chip. First there was too much clay in the slug and secondly the chips should never had gotten past quality control.