The tailcap is not fully screwed in, you will need to screw the tailcap tightly.
When the tailcap is not fully screwed in, and you press the switch, it will be in the factory reset mode, just as you see now.
However, a small amount of power can trickle through the switch, so pressing the switch powers up the light even when the tail is loose.
When the switch is held at boot time, the light enters factory reset mode. This mode ramps up while blinking, for about 3 seconds, as a warning… then performs a reset and ramps back down. The user can about the reset by letting go early.
So… because the tail was loose, the light was basically stuck in factory reset mode.
There is no other way to do factory reset via the “hold button while tighten tailcap” with this flashlight (and I suggest to explicitly ignore the button event after boot, ToyKeeper). The other way is 13H from off.
It’s not really a programming thing. It’s just a strange quirk of the way the circuit is designed. It can receive power without the battery tube installed at all, if you’re careful. Basically, put a battery between the head and the tail, with the inner tube in place but not the outer tube… then press the button. The light can turn on, but only at relatively low brightness levels.
When doing this though, power flows through the switch. So letting go of the switch forcefully turns the light off by physically disconnecting power.
It might be nicer if the light ignored button events at boot time, but then it would need a way to sense whether the light was actually just turned on, or if it was merely rebooted. That way, the 13H method would work, but the loosen-tailcap-then-hold-button method would not. Maybe the SRAM decay trick could be used for this. Then it would actually be able to tell the difference between a loose tailcap and an intentional reboot.
At the moment though, it has no idea whether the user did a 13H factory reset or a loose-tailcap reset.
I had this same problem and after talking to hank back and forth, he sent me a new head for my light, while this works 99% of the times I see, there is always a chance it wont. Just kind of a heads up.