OneDrive stopped syncing after macOS Catalina version 10.15.3 update

OneDrive for Mac (standalone) not syncing after recent macOS Catalina version 10.15.3.

Symptoms:

• Stucked at "Processing #### changes" forever (it's been more than 6 hours)
• None of the files are syncing

Note: I have two machines and both exhibit the same symptoms above. So I doubt that there's an error on my part.

General Settings:

• File on-demand is turned off.

Remediation actions tried to remediate but nothing is working:

• Completely reset OneDrive – doesn't work
• Completely reset OneDrive and uninstall and reinstall OneDrive – doesn't work
• Temporary pausing sync and resume sync – doesn't work
• Completely uninstall Microsoft Office and OneDrive and reinstall them again – doesn't work
• The above steps are done with a complete restart of the operating system.
• The above steps retried with a different office365 account and symptoms are the same.

The only way the works:

• In the end, the only way that works is I had to erase everything in my local folder and had it sync over 100GB of files from the cloud again – this is a huge pain and great loss of time, not only does it takes a long time to sync such huge files, I had to trace files and documents that are not synced so that I may manually update it to my local in order for it to sync properly – I had many files and documents that are modified/created but not synced.

Also, the Files On-Demand, which is enabled by default, is not helpful in this situation as I had to wait for it to fully sync before I can selectively sync my files. This feature should be an opt-in option – I had my colleagues coming to me and telling me their files aren't working all a sudden because of this feature. Files On-Demand feature never worked well (especially for Mac users).

This is not the first time we have issues with OneDrive and it has proven unreliable, time and time again. I really hope this can be improved.