What the hell is this?

Probably nothing to worry about, I'd let it be😀
Just kidding. Thought I would add to the smart aleck remarks.

No idea what it is but OMG overnight?! Thats amazing.
CW
 
That looks like some kind of fungal infection. I've similar foam on the soil surface on landscape plants' mulching. Yours looks to have originated in the mulch too, as it extends to the soil surface.
 
It peels off and has the meaty consistency of a mushroom. That particular dwarf mugo is sitting on a bed of decomposed pine bark in a flowerbed. It's crazy, because none of the surrounding mugos have a speck of anything on them. It's below a big, invasive Siberian elm. The elm bleeds sap that dries to a similar color. Maybe the tree above blurged on it.
 
It is a type of dog vomit slime mold. I didn't name it, but its apt.
This is exactly right. Usually seen in mulch beds it is called Dog Vomit Fungus, but as Nao TK says, it is actually a slime mold. You must have had some in your soil mix. It is not a pathogen but I can see that it might strangle your seeding so take it off. I have seen this dozens of times on mulch piles and mulch beds, especially irrigated areas.
 
I have the same stuff on a huge rotting birch stump. It has done the same thing to a small ginkgo seedling of mine that's sitting on the stump, almost completely enveloped it.

It started out as a bright yellow fungus, I noticed as I was watering my plants on the stump, I was disturbing the fungus and it was releasing the spores. About a week or two later I noticed the seedling's stems completely covered in the fungus. The seedling seems no worse for wear.
 
This is exactly right. Usually seen in mulch beds it is called Dog Vomit Fungus, but as Nao TK says, it is actually a slime mold. You must have had some in your soil mix. It is not a pathogen but I can see that it might strangle your seeding so take it off. I have seen this dozens of times on mulch piles and mulch beds, especially irrigated areas.
Thanks!!!
 
@Paul G
Such a coincidence with your post... I swear this wasn't here earlier this afternoon... I sprayed some daconil on it to see what would happen...

This is what I have, may not be the same as yours but it does the same thing:
IMG_20200713_202013726.jpg
IMG_20200713_202020452_TOP.jpg

Came up through the drain hole in the pot:
IMG_20200713_202148344.jpg

The effected ginkgo seedling, the fungus is mostly deflated and gone now:
IMG_20200713_202100798.jpg
 

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Yep, that's dog vomit. It is usually more yellow like yours.
Enjoy.
 
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