I assume that tea tree oil can't pass through the gills because its definitely toxic if you swallow it that or its super dilute (it really irks me that aquarium product manufacturers feel that they don't have to put concentrations on their bottles >:l ).
The stuff might actually help lesions heal, hard to say if you're casually observing. I have cuts heal all the time without putting polysporin on them, would putting polysporin on them help? Very probably but I've certainly never "noticed" a difference.
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