The problem: The MCP servers fail due to different reasons. And the only one message that you see in MCP logs output is Failed to reload client: MCP error -32000: Connection closed. It doesn’t help to troubleshoot. You need to guess, what is wrong.
The solution: If MCP server failed silently, you need to write that MCP server failed silently. If MCP server failed with an error, you should pass this error to MCP logs output.
Example, of users, who need this improvement: MCP Feature "Client Closed" Fix - #61 by amrsa1
More detailed explanation and current workaround: MCP Servers and Cursor: Troubleshooting the Problems
It sounds like small improvement, but it can make your users happy. Now, many of them are frustrated, when they can run some MCP server in VS Code, but it fails in Cursor. And they can not figure out why.