I don't have the game installed currently but I can try when I reinstall it as that's one thing that personally bothered me as well which I tried to fix by making the blood additive but 343 put a material system in the game that blends blood into the ground which makes grunt blood looks grey.
its a tool that allows you to use mods in halo infinite singleplayer and it allows you to basically make mods in real time while the game is running.I linked a video tutorial by PinkKnight in the videos section.
No its a singleplayer/multiplayer game and you only get banned if you play online with mods and there are mods for halo infinite but they are not posting them on nexus for some odd reason.
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https://www.youtube.com/watch?v=Ej6Teoe6nwY