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Here is the pic on the pinion gear from the previous post

This is the only chipped tooth on the ring gear

I found mine even worse years back. It was found at a routine oil change as it came out lumpy. No symptoms, bike felt fine.

I’m presuming with the hardening damaged it’ll just get worse and destroy everything else eventually?

I have to say I wouldn't be happy running it like that... except maybe in an emergency. The main damaged tooth is within the contact area of the pinion and, I'm sure that it would cause major wear quite quickly, first to the gears themselves then, as particles of swarf get into the oil, to bearings.

Rob