When clicking on “Run …”, the app starts, yet the “Run …” button stays the same. After going to another tab (like Browse or Source Control) the UI updates and shows the changed state, ie. the debug buttons for a running app.
This problem is also visible when the debugger reaches a breakpoint, yet the Run & Debug UI does not update, until navigating back and forth.
Fyi the problems happen on a Flutter app, and I have heard multiple people report the same problem.
Same here, I’m running cursor on Windows and the UI of the debug bar is not updated unless I change the tab and come back.
On Mac it’s working fine.
After some tests, the toolbar do not update his state when it’s docked, if I’m using the floating version it works perfectly. Maybe it’s a vscode bug and not related to Cursor 
I had the same problem on my mac. 
I need to switch to another TAB and then back again for the status bar to change.
AND how to “using the floating version”？？
I noticed the same issue. I’m using on windows and using PHP Debugging the pane doesn’t refresh. I just switched from VSCode and the latest VSCode it worked just fine.
Hitting breakpoints also doesn’t refresh the controls. The hotkeys for example continue is F5 and step through F11 still work, just the UI to click on them doesn’t.
I took a quick video showing that just turning debugging on and off doesn’t refresh the pane until you toggle between another tab.
Hope they can fix it.
I’ve been struggling with this problem for a long time too.
I found a workaround to set the tool bar location to “commandCenter”. And it works perfectly now.
"debug.toolBarLocation": "commandCenter",