WARNING: The following contains spoilers for Boruto: Naruto Next Generations Episode 193, "Coexistence," now streaming on Crunchyroll.
Since he was brought to Konoha, Kawaki's strange body has been throwing Naruto's science unit for a loop. They've seen Kawaki warp and change form in the battle against Garo, giving himself monstrous limbs and appendages. But what's got the science team truly stuck is the Karma mark on Kawaki's hand, which allows him to absorb any blasts and jutsu thrown at him.
However, thanks to Katasuke, they've now figured out half the problem, and ironically, a lot of it has to do with Konoha's research.
In Episode 193, Katasuke holds court with all the village Kage to let them know what's going on. He shows them footage of Kawaki in battle, along with X-Rays, in order for them to see that he really is a weapon of mass destruction. He also admits that while he knew Kawaki was scientifically engineered, he didn't know to what extent until now.
It turns out that while Katasuke can't reveal news on the Karma mark, he does know Kawaki is a scientific ninja tool. Apparently, his body has been retrofitted with unique nanotech that allows him to change form, combining his chakra with his mind to become half-beast when need be. It's similar to how Naruto harnesses Kurama -- or how any host uses one of the Tailed Beasts -- but in Kawaki's case, it's more potent.
The kicker is, a lot of what's in Kawaki is due to Konoha's own nanotech research, which Jigen and Kara were secretly stealing for some time to use in their own experiments, led by Amado. Katasuke already saw his weapons repurposed for soldiers like Ao, but he didn't know data had been stolen and used to such a degree. This tech was supposed to be used for healing and medicine, but Jigen's team altered it to make Kawaki a true monster.
Katasuke still has a lot to understand about his body and its randomly mutating cells. He simply doesn't know how Kawaki is generating so much power to the point that it's nuclear. Naruto exhibits atomic power, too, but he has to max out with Kurama before he can reach this level -- the same goes for Sasuke when he channels the Susanoo.
Katasuke wants to keep probing Kawaki in order to find answers, especially because he's uncertain if Kara's modifications are actually killing Kawaki. The problem is, Jigen's tech prohibits such scientific wandering, not to mention Kawaki isn't the most willing guinea pig. Sadly, these concerns leave the already-skeptical alliance worried as to whether or not the Hokage can keep the boy in check long enough for them to fully understand his physiology. Instead, they think he might be a Trojan horse waiting to turn on them.