This is not resolved on PS4, version 1.16.210. First player works as expected, second player logging in (via pressing "options" on second controller) has default skin and is called "Steve". Both players have a valid PSN account and a valid Microsoft account linked to it. If they play alone, each account works flawlessly. Seems as for the second player, the link between PSN account and Microsoft account is not fully established.
This is not resolved on PS4, version 1.16.210. First player works as expected, second player logging in (via pressing "options" on second controller) has default skin and is called "Steve". Both players have a valid PSN account and a valid Microsoft account linked to it. If they play alone, each account works flawlessly. Seems as for the second player, the link between PSN account and Microsoft account is not fully established.