Anaconda Navigator launches VSCode on startup during "loading applications" and hangs

Windows operating system.
VSCode-win32-x64-1.74.2
Anaconda Navigator 2.3.2

When Anaconda Navigator starts it is launching VSCode during “loading applications” and hangs until VSCode is closed.
Un-installed and re-installed Anaconda and VSCode numerous times problem still exists.
VSCode is a standalone installation (zip file extracted to a folder).
Problem exists with and without Python extensions installed in VSCode.
When VSCode is deleted, no issues with Anaconda Navigator.
Launching VSCode from Anaconda Navigator application tiles also hangs Anaconda Navigator (progress bar never stops).
Is there a best practice configuration to prevent this? Or how can Anaconda Navigator stop launching VSCode on startup?

Launching PyCharm, CMD.exe, and jupyter Notebook from Anaconda Navigator application tiles has no issues.

Did try modifying conda_api.py by changing “data = yaml.full_load(f)” to “data = yaml.safeload(f)” and Anaconda Navigator would start to load then exit.

Also modified following VSCode settings.json to “false”, but there is no change and it gets automatically changed back to “true” when restarting Anaconda Navigator:: “python.terminal.activateEnvironment”: true (automatically changes back to “true” when Anoconda Navigator is restarted)