The issue still persists on version 78.0.0.988.310 (78.0.0.988.310).
I have contacted Meta support, and after tedious troubleshooting, they admitted it's a bug in the app and recommended to submit a bug report with the instructions below:
"At this time, you can only submit a bug report through the Meta Horizon App, or within Standalone Mode on your Meta Quest Headset. This can be done on the app by following these steps:
On your phone, open the Meta Horizon app.
TapMenu at the top of your Horizon Feed.
Scroll down to Support, then tap Report an issue.
Tap Report a problem, then type an explanation where prompted.
Tap Send in the top right.
Alternatively, you can submit a bug report on the headset, by following these steps:
PressMeta button/Oculus button on your right Touch controller to open the Navigator.
On the right, selectQuick controls.
SelectReport problem.
Select Include or Don't include to add complete logs and diagnostics.
Follow the instructions to submit your report."