In a world moving towards "zero trust networking", this appears to be going in the opposite direction, where the network is now being implicitly trusted.

This enables unauthenticated file transfers between hosts on the same network.

Given the world we live in today is that RCE vulnerabilities are relatively common, what happens when host1 gets some malware and uses this to transfer itself onto host2?

I assume this has been considered, and it's been decided that the convenience of the feature outweighs the security and reputation risk considerations?