It's not a typo, nor gramatical or even syntactical issue, it's more a lack on sensical meaning, the "but" would indicate some exception to the cracked version vs the original psiclone, so saying that it's "but functioning" you're implying that the original is "non-functioning". Without a clarification of what the intended text is suppose to inform the reader of, it's not easy to propose a solution. Even if we change the "but" with "yet" the same issue remains, it still tries to inform about an exception of what it does (doesn't) that the original doesn't (does).
On a side note, since I read the whole text. The part that starts as "We can now understand..." can be rewritten as "We now understand how Psiclone works well enough..."
- "Can" is simply unnecessary
- "The" is a nightmare to handle when dealing with proper nouns. For example, it's used when referring to names of rivers, seas and oceans, but NOT when used with names of lakes or mounts and then you do use it again with mountain ranges. However, in this case I see it used in a similar manner as drug names, they don't use the article "the". Additionally, sometimes you case use the article with proper nouns that don't normally use it for an emphasis effect.