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Hi, that was indeed a bug, thank you both for catching it. We've uploaded a fix so Blood Fungus should be cuttable now and used as per the instructions :)

Hi! Glad you're enjoying it.
No real trick to it, but it doesn't work on everything. If something can't be cut past a certain amount (or at all), chances are you don't need to cut it.  :) 

Also, only one ingredient can be placed on the board at a time. So everything that's on the board needs to be removed before the next ingredient can be placed (if you have no use for all the parts of a cut ingredient, just toss what you don't need in the trash).