Yes, I think it protects the roots and/or helps them to heal afterward.
Sometimes I have a few seedlings that stay pale yellow-green, and never seem to need watered; those have roots that aren't healing up right.
If you use peroxide to kill the fungus, you might need to re-treat with the mycos. But Gnatrol doesn't kill off mycos.
I have taken to cooking my soil in the oven before using it since stuff can come from the store with gnats.
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