[Bug] Monaco Playground w/ Local Dev Environment Does Not Work

[Jaxkr]

Reproducible in vscode.dev or in VS Code Desktop?

• [X] Not reproducible in vscode.dev or VS Code Desktop

Reproducible in the monaco editor playground?

• [X] Not reproducible in the monaco editor playground

Monaco Editor Playground Link

No response

Monaco Editor Playground Code

No response

Reproduction Steps

1. Follow the instructions at https://github.com/microsoft/monaco-editor/blob/main/CONTRIBUTING.md#debugging--developing-language-support
2. Start project
3. Get build errors

I have tried every possible combination of environments:

1. Using the workspace file on Windows and WSL
2. NOT using the workspace file on Windows and WSL
3. Using the Docker container

No matter what I do I can't get it to work.

Actual (Problematic) Behavior

I get the following build error:

Could not read source map for file://///home/runner/work/monaco-editor/monaco-editor/website/node_modules/%40react-aria/ssr/dist/module.js: UNC host 'home' access is not allowed
Could not read source map for file://///home/runner/work/monaco-editor/monaco-editor/website/node_modules/messagepack/dist/messagepack.es.js: UNC host 'home' access is not allowed
Could not read source map for file://///home/runner/work/monaco-editor/monaco-editor/website/node_modules/mobx-react/dist/mobxreact.esm.js: UNC host 'home' access is not allowed
Loading "monaco-editor-core" failed
loader.js:249
Error: [object Event]
    at Object.ensureError (C:\Users\Jackson\monaco-editor\node_modules\monaco-editor-core\dev\vs\loader.js:234:18)
    at ModuleManager._createLoadError (C:\Users\Jackson\monaco-editor\node_modules\monaco-editor-core\dev\vs\loader.js:1461:26)
    at ModuleManager._onLoadError (C:\Users\Jackson\monaco-editor\node_modules\monaco-editor-core\dev\vs\loader.js:1472:23)
    at loadNextPath (C:\Users\Jackson\monaco-editor\node_modules\monaco-editor-core\dev\vs\loader.js:1615:11)
    at Object.errorback (C:\Users\Jackson\monaco-editor\node_modules\monaco-editor-core\dev\vs\loader.js:1635:7)
    at OnlyOnceScriptLoader.triggerErrorback (C:\Users\Jackson\monaco-editor\node_modules\monaco-editor-core\dev\vs\loader.js:601:24)
    at C:\Users\Jackson\monaco-editor\node_modules\monaco-editor-core\dev\vs\loader.js:588:107
    at HTMLScriptElement.errorEventListener (https://microsoft.github.io/monaco-editor/node_modules/monaco-editor-core/dev/vs/loader.js:621:5) {phase: 'loading', moduleId: 'monaco-editor-core', neededBy: Array(1), stack: 'Error: [object Event]
    at Object.ensureErr…es/monaco-editor-core/dev/vs/loader.js:621:5)', message: '[object Event]'}

loader.js:250
Here are the modules that depend on it:
loader.js:251
(1) ['vs/language/json/monaco.contribution']

The playground does not work and loads forever:

Expected Behavior

The playground should open as expected.

Additional Context

This problem is nearly identical to https://github.com/microsoft/vscode/issues/175009