Hello, I was redirected to this page as my bug report was seen as a duplicate, even though like Nathaniel, I don't own Xbox Game Pass and have owned my Minecraft Titles for multiple years. I don't believe my issue is a duplicate of this, if this one has been resolved and only affected Xbox Game Pass users. As I still have yet to receive a fix besides using the old launcher.
I disagree on this being a duplicate, as I actually own the games and not a game pass subscriber. Please change this to it's own bug instead.
The only way to stop this issue for me currently is to revert the world back a day. It works for a while but then the issue comes back, which leads you in this sort of loop.
I'm having the same problem in version 1.12.2 when I try to connect to Realms. The problem is intermittent and only seems to happen to me (3-5 people play on my Realms server). For the 10-20 seconds that I am logged into realms, I can move around but I can't interact with any blocks. The world seems to run on, only my actions aren't processed (for example, I will log in, wait 20 seconds, get booted, log back in, and be killed by a hostile mob, then booted again).
The old "Demo" issue unfortunately doesn't seem to apply to me. As my issue is happening on the new launcher. The old launcher works perfectly fine.