Windows Customization Icons Not Persisting

Nextcloud version (eg, 20.0.5): 29.0.1
Nextcloud Desktop Client Version: 3.13.0
Windows Desktop Version :Windows 10 22h2 Build 19045
Operating system and version (eg, Ubuntu 20.04): Debian 11
Apache or nginx version (eg, Apache 2.4.25): Apache/2.4.59 (Debian)
PHP version (eg, 7.4): 8.2

The issue you are facing:

If a custom icon is applied to a folder in Windows (desktop.ini) that is synced via the Nextcloud Desktop Client, the applied Desktop Icon in Windows Explorer is removed the moment a file or folder inside the folder with the custom icon, the icon is removed from Windows Explorer.

Desktop.ini persists with a yellow icon, and the icon location is listed in desktop.ini, but does not show in Windows Explorer

Is this the first time you’ve seen this error? (Y/N): Y (Started after upgrade to 29.0)

Steps to replicate it:

  1. Create Folder names “Temp” in Nextcloud synced root folder.
  2. Go to Properties of “Temp”, select customize and select custom icon
  3. Create an empty directory or file inside “Temp”
  4. Wait for Sync to complete, refresh Windows Explorer view or close and re-open
  5. Custom Icon set to folder has reverted back to normal folder icon although info is still contained correctly in desktop.ini

I also have the same problem with the Nextcloud client at version 3.13, Nextcloud 28.0.6, in Windows 10 (latest updates).
You customize the folder, create or delete a file within it or update it, and the folder returns to being a basic folder.
This bug should be fixed as soon as possible.