diff --git a/fixed_code.kt b/fixed_code.kt
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--- /dev/null
+++ b/fixed_code.kt
@@ -0,0 +1,46 @@
+import arrow.core.Either
+import arrow.core.raise.ExperimentalTraceApi
+import arrow.core.raise.Raise
+import arrow.core.raise.fold
+import arrow.core.raise.traced
+import kotlin.coroutines.cancellation.CancellationException
+
+/**
+ * A helper function for Arrow Core that simplifies writing tests by creating a Raise context
+ * where failures throw AssertionError instead of returning an Either.
+ *
+ * This function properly handles CancellationException by rethrowing it directly instead of
+ * swallowing it, which avoids the warning from Arrow's tracing system.
+ *
+ * @param block The code block to execute within the Raise context
+ * @param Failure The type of failure that can be raised
+ * @param Success The return type of the block
+ * @return The successful result of the block execution
+ * @throws AssertionError If the block raises a failure, with the failure value and trace information
+ * @throws CancellationException If a CancellationException occurs during execution
+ */
+@ExperimentalTraceApi
+inline fun <Failure, Success> failOnRaise(block: Raise<Failure>.() -> Success): Success {
+    // Instead of using either, which catches and wraps CancellationException,
+    // we'll use fold directly with a custom handler that rethrows CancellationException
+    return fold(
+        block = { 
+            traced(block) { trace, error ->
+                throw AssertionError("An operation raised $error\n${trace.stackTraceToString()}")
+                    .apply {
+                        for (suppressed in trace.suppressedExceptions())
+                            addSuppressed(suppressed)
+                    }
+            }
+        },
+        catch = { throwable -> 
+            // Rethrow CancellationException to avoid the warning
+            if (throwable is CancellationException) throw throwable
+            throw throwable // Rethrow other exceptions as well
+        },
+        recover = { error -> 
+            throw AssertionError("Impossible situation: recover was called with $error")
+        },
+        transform = { value -> value }
+    )
+}