Is there any kind of soft limit?

Is there any kind of soft limit on the size of the vault and/or the number of files? Whether from Cryptomator or Dokany? Perhaps due to memory usage?

For example, a 1TB vault with hundreds of thousands (or millions) of files.

I’ve been using Cryptomator with small vaults for years, but I’m evaluating whether to replace Veracrypt with Cryptomator in the entire HD.

No there isn’t with dokany/fuse

Using WebDAV has limitations caused by WebDAV.

Also with WebDAV, the virtual drive will always show the capacity of your system partition instead of the free capacity of your vault location

If you want to encrypt a complete HD and have no intention to store it online, veracrypt is from my point of view the better choice because that’s what veracrypt was designed for. Cryptomator is designed for online purposes.

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Sorry, I should have detailed it more. In my case it’s not exactly an entire HD. I use two partitions, one for Windows / programs and a second one for files. The latter is encrypted with Veracrypt. Obviously, this configuration results in a certain waste of space.

I intend to migrate from Veracrypt (a volume based solution) to a file based solution. I would migrate to a single partition and create a single large vault for files (Windows and programs would obviously be left out).

Something like:

C:.
├───Windows
├───...
├───Program Files
├───...
├───My_1TB_vault
│   ├───d
│   ├───...

Ill stay with my recommendation above. If you just want to work local, you should consider using a solution that is designed for it and might have a “better” system integration.
For example: there are reports in this board where people struggle to run certain exe-files like portable apps directly from the mounted vault drives. Or issues with symlinks (but I have to admit im not sure if this still exists)
That does not mean that you can’t use cryptomator for your setup, Im just thinking there are better options.
If you do not want to “waste” space, why dont you encryption of your complete system?
Then you dont have to decide how much space you need for each purpose. Why excluding Windows and Programms from the encryption?

This can indeed be a problem …

Because that is the source of many headaches … Veracrypt x Windows x MBR x caches x etc

Maybe I can take some of your headaches away:
On my notebook I’m using the build in bitlocker for a complete system encryption since years now. Never had any issues with that. If there wasn’t that additional password I have to enter, I even wouldn’t recognise that there is something encrypted.
(Note: not available with windows 10 home)

Before that I used TrueCrypt (in times where it was still maintenanced), also with not negative experience.

But for my online files I’m using Cryptomator for years now and am more than happy with it (that’s why I try to support others here in the board)