It shouldn't be a problem, my LG batteries are the same and I've never really thought of it as a issue. They've never acted up on me, got hot or anything.
As long as about 2mm of the outer top isn't showing you're all good
Yeah, the biggest concern is that that wrap is securing the positive from the negative. Venting isn't really a concern here unless your pulsing 35A. If you stay under CDR it shouldn't vent gas. Electric bike, quadcopters and laptops use the same batteries under CDR and have no vents at all. I've read people pulsing 60A 5 secs on 30 secs off with no damage though I wouldn't recommend it.
Yes, they are fine, I think all of my batteries are like that. Please don't push those batteries too low, 25 amps is the max I would push those batteries. Anything more than that you should use the Sony VTC batteries.
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