Losing the ability to fold default XML comments

When installing this extension, VSC removes the ability to fold comments in their 'base' form.

This is what my VSC shows when loading my XML file without Redhat's XML Language Support enabled. As you can see, there are collapse arrows by the comments.
Another example by a member of a Discord I'm in for a D&D app would be this

where they loaded my very own XML file to confirm the 'missing feature' was on my end.

These 3 are examples of what my VSC looks like with Redhat's extension enabled;

As you can see; no collapse arrows. I have been informed that I can use <!-- #region--><!-- #endregion--> to effectively create my own folding area, but I confess I'm a bit confused on why the extension at its base level removes this functionality that base VSC has.

As an addendum: When doing
the #region functionality, could I add names/titling to them just for my own easier reading?
Something like
<!--#region Weapons--><!--#endregion-->
so that the "regions" are named and different, so I know easily whats contained within?

Start by reproducing the missing comment-folding behavior in VS Code with Red Hat's XML Language Support enabled, comparing it with the base XML behavior shown in the issue. Check the reported #region examples, including the proposed Weapons title, and define done as restoring ordinary comment folding or documenting the supported region-label behavior.