If you run the VS Code extension in an empty directory, then click on the AutoStep icon on the left to bring up the Feature pane, an error pops up during the project initialisation.
Failed to load project: Value cannot be null. (Parameter 'source')
Screenshot shows the context:

If you run the VS Code extension in an empty directory, then click on the AutoStep icon on the left to bring up the Feature pane, an error pops up during the project initialisation.
Screenshot shows the context: