Whatever this issue is, it only effects my world on Realms. When I downloaded the Realm to a local world, everything functioned properly. All the world options were on as they were supposed to be and time progressed properly. The same backup file restored to the Realm had all world options except Days Played unchecked and time was frozen.
The version of the world loaded for both is saved in my Realms storage for reference (created prior to downloading and restoring).
I am experiencing the same issue. Time is frozen on my world. Sleeping does not progress time, nor does just sitting somewhere. I’ve included a link to a video showing the moon frozen. Video from Realms World on Switch
All the world options appeared to have been disabled, which is concerning as I did not change those settings. While I tested on Android, I am still seeing odd mob spawning rates and an inability to sleep (character goes to sleep, but time does not change). However, this may be due to the version of Android I tested with. I will try later on the Switch to confirm this is a true issue.
Reloaded downloaded world into another Realms slot and world functioned normally. Noticed the following settings were disabled on the on-functional world (not disabled by me):
World Options:
Friendly Fire
Show Coordinates
Fire Spreads
Recipes Unlock
TNT Explodes
Respawn Blocks Explode
Mob Loot
Natural Regeneration
Tile Drops
Beds Work
Cheats:
Do Daylight Cycle
Mob Spawning
Mob Griefing
Entities Drop Loot
Weather Cycle
Command Block Enabled
All of these should have been on, and somehow the server disabled them.
Original broken world is in slot 1 and re-uploaded world is in slot 2 on my account to examine.