Does this issue occur when all extensions are disabled?: Yes/No N/A

- VS Code Version:

Version: 1.78.2 (user setup)
Commit: b3e4e68
Date: 2023-05-10T14:39:26.248Z
Electron: 22.5.2
Chromium: 108.0.5359.215
Node.js: 16.17.1
V8: 10.8.168.25-electron.0
OS: Windows_NT x64 10.0.22621
Sandboxed: Yes

- OS Version:

OS Name Microsoft Windows 11 Home
Version 10.0.22621 Build 22621

WSL version: 1.2.5.0
Kernel version: 5.15.90.1

Description: Ubuntu 22.04.1 LTS
Release: 22.04
Codename: jammy

Steps to Reproduce:

1. Launch VScode using link to dev container project

VScode launches ok from a shortcut to a project. I then have to select "Open in dev container" after VScode launches. It used to be possible to open directly from a link to the dev container so that the dev container didn't have to be manually launched. This stopped working for no apparent reason. (e.g. the "pinned" links below work, but the "Recent Folders" links don't).

I checked previous issues which looked similar such as #142510

I have tried reinstalling VScode and all extensions, but problem persists.

The developer tools log is in the attachment.
log.txt