James K
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The expectation is not that Minecraft "close and reopen each file after every write operation" - the expectation is that Minecraft close and reopen each file when a /save-all is issued on the server. This seems completely reasonable. Without this, tools like overviewer are vastly degraded.
Same split screen issue here on Xbox Series X. ‘MainUser’ logs in and opens world. Second player presses start and is prompted to select account. Selecting ‘SecondUser’ just loads into the world as MainUser(2).