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I haven't noticed issues with cracking, but I think I've sold most if not all of the ones I've made.

That's why I use CA glue finishes. It hardens the wood to the point it won't split. At least for me. I've made scales with unstabilyzed burl, and once coated in CA they are fine.

I use shellac, but I've never heard of using alcohol, or rubbing it in. It says on the jar, do not dilute. I'll have to look that up, now you have me worried I've been using it wrong!