This looks like one of those wireguard based solution like tailscale or netbird though I’m not sure they are using it here. They all use a public relay used for NAT penetration as well as client discovery and in some instance, when NAT pen fails, traffic relay. From the usage, this seems to be the case here as well:
Share the local Minecraft server:
$ holesail --live 25565 --connector “holesailMCServer420”
On other computer(s):
$ holesail “holesailMCServer420”
So this would register a “holesailMCServer420” on their relay server. The clients could then join this network just by knowing its name and the relay will help then reach the host of the Minecraft server. I’m just extrapolating from the above commands though. They could be using DHT for client discovery. But I expect they’d need some form of relay for NAT pen at the very least.
As for exposing your local network securely, wireguard based solution allow you to change the routing table of the peers as well as the DNS server used to be able to assign domain name to IPs only reachable from within another local network. In this instance, it works very much like a VPN except that the connection to the VPN gateway is done through a P2P protocol rather than trough a service directly exposed to the internet.
Though in the instance of holesail, I have heavy doubts about “securely” as no authentication seems required to join a network: you just need to know its name. And there is no indication that choosing a fully random name is enough.
I don’t think that’s the issue. As said in the article, the researchers found the flaw by reading the architecture documentation. So the flaw is in the design of the API the operating system uses to configure the CPU and related resources. This API is public (though not open source) as to allow operating system vendors to do their job. It usually comes with examples and pseudo code on how some operations work. Here is an example (PDF).
Knowing how this feature is actually implemented in hardware (if the hardware was open source) would not have helped much. I would argue you are one level too low to properly understand the consequences of the implementation.
By the vague description in the article it actually looks like a meltdown or specter like issue where some code gets executed with the inappropriate privileges. Such issues are inherent to complex designs and no amount of open-source will save you there. We need a cultural and maybe a paradigm shift on how we design CPU to fully address those issues.