Possible conflict between Quarto extension and Dropbox causing corruption

I'm experiencing a frustrating issue where certain actions cause unwanted changes to my Quarto documents in VSCode. Sometimes when I paste code into an R code block in qmd file or save the file, parts of the document will get changed or corrupted. This appears to occur only when both the Quarto and REditorSupport extensions are enabled. If just one of those two is enabled, I don't see the issue. It does not occur on every paste or save and I can't figure out what is the trigger aside from those actions. I presume it is related to code formatting.

As an example, here is a screenshot of a freshly created qmd file:

And here is how it looks after pasting one line of code into the R code block:

My setup:

• VSCode 1.93.1
• Quarto extension 1.114.0
• R extension 2.8.4
• Quarto 1.5.57
• MacOS 14.6.1

Start by reproducing the corruption in a .qmd file with both the Quarto and REditorSupport extensions enabled, using the reported VSCode, Quarto, R extension, Quarto, and macOS versions where possible. Compare pasting into an R code block and saving with each extension enabled separately. Done means identifying the trigger and preventing unwanted document changes.