Unfortunately this is a type of wood decay fungus (a more "active" pathogen rather than a passive fungus that only decays already-dead wood). Even if the canopy doesn't yet show signs of decline (decline can begin months or even years before dieback becomes obvious), we recommend that the tree be evaluated by a certified arborist or licensed tree expert. They cannot cure wood decay or reverse its impacts, but can help determine how at-risk a tree may be for failure (falling), and what sources of stress might have predisposed it to attack, in order to protect the health of nearby trees by intervening if needed before a stress factor causes them injury. If they recommend the removal of this tree for safety's sake, you can use the chipped wood or logs without worrying about it posing a threat to other plants in the landscape.

Miri