There is another problem. If you setblock to water (not flowing water) in air, it stays there. In light blocks, it stays there until you walk one or more blocks away from it.
This also used to hapen in 1.16.220. I easily see it in multiplayer. I agree with you.
All you have to do is connect to your Microsoft (Xbox) account. If you are, make sure your account is not set as a child or unable to play online.
There is another problem. If you setblock to water (not flowing water) in air, it stays there. In light blocks, it stays there until you walk one or more blocks away from it.