Hey, thanks for the report. To narrow down the cause of the hang when typing @ in chat with the branches/diffs list appearing.
Please:
Check if it reproduces with extensions disabled: launch Cursor from the terminal with the flag: cursor --disable-extensions
Open Process Explorer: Cmd+Shift+P → Developer: Open Process Explorer and take a screenshot during the hang (interested in peaks of extensionHost/ptyHost)
Enable extension monitoring: Settings → Application → Experimental → enable Extension Monitor Enabled, reproduce again and send a screenshot
Record a short video/screenshot of the dropdown list with “diff branch” and exact steps (what you type after @)
Specify the list of installed extensions
If the bug reproduces even without extensions, send the results above - I’ll pass them to the team.