its all grayscale for dropped blocks, items and crafted tools armor and other stuff when held in hand
i dont know if it affects xbox one slim. but it sure does affect the PC Minecrafft Bedrock Edition Beta (1.18.0.22)
visual wise its all normal until the broken block and its in grayscale when held.
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We're tracking this issue in MCPE-145560, so this ticket is being resolved and linked as a duplicate.
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