I left the cup inside a container with water and after a few days I see this white fuzz mold? on the top layer of the soil. I know the humidity was too high, so now im going to to air it out and put some holes in it.

Should I retransplant it to another cup?

Also is the green thing growing near the roots, a bud or a fig embryo? should I remove it?

It looks too wet to me. You want the moisture to be "just barely there" at this stage.

Surprisingly i just noticed theres 2 new roots formed above the soil, does this mean the humidity is at the right level now?

New roots should not form above the soil. Too humid.

No reason to recup, just decrease the humidity and cover that root that is at the soil line. The green thing, leave it be until you know for sure. It's a little too small to make any calls as of yet IMO.

I just covered the top with just just pine bark do i need to add in more perlite for consistency ?