Hi William,
I have just checked Runway HD and it's help manual. Runway HD shows 'bearingless' Mode C/S targets using concentric warning rings around your aircraft in the same way as SkyDemon. Were you seeing these before you updated your PilotAware licence? Have you checked your PilotAWare Configure settings to make sure 'Mode CS Detect' hasn't been accidentally turned off?
Next, under the 'General' tab on the Runway HD 'Dashboard', check your FLARM settings, though I'm sure they must be OK or you wouldn't be seeing ADSB traffic. Unlike with SkyDemon, I can't see any specific setting to control the display of 'bearingless' targets in Runway HD, though I must stress I am not particularly experienced with this software.
What makes you certain that the aircraft you saw were definitely transmitting Mode C/S? They may have had transponders but not active - or not even fitted.
I take it you are aware that PilotAware doesn't directly receive FLARM traffic and will only display this type of traffic in the vicinity of a PilotAware OGN-R relay station?
Not sure why your iPad Mini is 'slowing down', but I would be very surprised if this is directly related to PilotAware. I run an iPad mini 3 and have never experienced this. I think it's much more likely that the pad has become 'congested' with apps or is running multiple apps in the background causing it to slow down. Try reducing the number of apps running in the background by double clicking the home button and shutting down unnecessary apps.
As Paul has already said, you are correct, the PilotAware Radar display operates as a stand-alone, selected from 192.168.1.1, though it can also be run on a separate device (e.g. an old unused phone) in parallel with your main tablet display.
Regards
Peter