I disagree with calling the crack a defect. I would call anything that would lead to the final failure of the bow a "defect". Those cracks running with the grain don't even effect the performance of the bow. Defect, no. Character, YES, YES, YES.
That bow must have been a tough tillering job with all the knots, lumps, cracks and what have you. You really did a great job on this bow, I congratulate you on a job well done. I bet any one of us on this website would be excited to have a bow like this one. Thanks for posting this to share with us, }|{opukc.