What it does
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Finds mods
Searches for mods that match your version and loader, and tells you where each one came from.
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Builds the pack
Downloads them and checks every file against the hash the source published. A file that does not match is not used.
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Asks the world
Starts the server and waits until it answers a real ping. Only then does it say the world is ready.
All downloads
Loading releases.