The Bug:
The game freezes and eventually crashes when creating a world with the "spawnChunkRadius" gamerule set to high values.
When attempting to create a world with the "The Void" preset and the "spawnChunkRadius" gamerule being set to 32, the world loading progress remains stuck at 0% and the game occasionally fails to respond. After waiting for around five minutes, the game eventually crashes, but no crash report is generated.
Steps to Reproduce:
Navigate to the singleplayer menu and click the "Create New World" button.
Select the "The Void" preset to make world loading much easier.
Navigate to the game rules menu and set the "spawnChunkRadius" gamerule to 32.
Click the "Create New World" button and watch how the game freezes.
Observed Behavior:
The game freezes and eventually crashes.
Expected Behavior:
The game would not freeze nor crash.
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Upon increasing the game's allocated memory, the world loading progress only remained stuck at 0% for a couple of seconds, and then the world began being created as normal. As partially mentioned by @unknown, this may have something to do with memory.
Avoma
Panda4994
From my perspective it's sounding like the game runs out of memory when trying to load a fresh world with lots of spawn chunks.