Mac: Drive File Stream: The item can't be copied because there isn't enough free space

I am trying to copy files to my Cryptomator vault, but anything above ~10GB shows a “can’t be copied because there isn’t enough free space” error. The same occurs when I try to copy back to the local computer, from Cryptomator vault. Anything less than 10GB, and sometimes between 10GB and 11GB goes through.

I am not too sure what’s causing this. I have tried the following so far:

  • Reinstalled Cryptomator app on Mac
  • Installed FUSE as well
  • Ensured that the files on Drive File Stream as “available offline”. In other words, they are not in the “online only” mode.
  • Checked for similar reports on unofficial Cryptomator community on reddit, GitHub, this forum, but I cannot see reports similar to mine.

What might be going on here? Any help appreciated! If it’s important, I am on Big Sur stable version.