[WSL] Remote connection unstable – “Open Folder” infinite loading + extension host never starts (NoResolverFound / transport provider)

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Hey, this is a known issue. It looks like you have two conflicting WSL extensions installed at the same time: ms-vscode-remote.remote-wsl from the VS Code Marketplace and anysphere.remote-wsl which is Cursor’s native one. The remoteTerminalBackend already registered and No remote extension installed to resolve wsl errors are exactly about this. The resolver gets registered twice and neither one starts correctly.

Try this step by step. This helped a few users in this thread Can't connect to WSL anymore - #14 by pluma

  1. Open the Agents Window (a new agent window) and close any stuck windows.
  2. From the Agents Window, try opening your WSL project again. You should see a popup from anysphere.remote-wsl with an Uninstall & Reload button. Click it. It will remove the conflicting VS Code extension.
  3. If the popup doesn’t show up, open Extensions and manually uninstall ms-vscode-remote.remote-wsl, leaving only anysphere.remote-wsl.
  4. In PowerShell, run wsl --shutdown.
  5. Restart Cursor and connect to WSL again.

If the app window is fully locked up and the Extensions pane won’t load, you can remove the VS Code WSL extension via the Cursor CLI: cursor --list-extensions then cursor --uninstall-extension ms-vscode-remote.remote-wsl.

Let me know if this worked. If not, send a screenshot of the Extensions tab (installed and recommended) and the output of cursor --list-extensions from your terminal.