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Marking this solved initially as games run now, but I'm unclear why this became a problem in the first place.
Updated my system completely yesterday after about 4 weeks of using kernel version 6.4.6 -> 6.4.10 and noticed that Steam Proton (all versions) games no longer launched. Just prompted they were compiling vulkan shaders then nothing. OpenGL, native, emulators and games ran under wine worked just fine.
Thing I tried that didn't resolve the issue:
Switching from regular to beta Steam (not Flatpak)
Completely reinstalling Steam, deleting .steam and .local/share/Steam
Adding "initcall_blacklist=simpledrm_platform_driver_init" to kernel parameters
Reinstalling lib32-libnm and lib32-libgudev
Using Steam-Native instead of Steam-Runtime
Resetting Steam with steam --reset and steam -clear-beta
Running Steam with -no-cef-sandbox
Integrity check with all affected games and proton versions.
Reinstalling Nvidia drivers and checking the appropriate modules were loaded (KMS, etc...)
Couldn't rollback versions because 1) I cleared my pacman cache (foolishly) and 2) I had no idea what to rollback.
Instead I ran Steam from the terminal and checked kernel logs and noticed a reoccurring error:
Cannot run /usr/bin/bwrap: wait status 256
Search results initially yielded nothing useful until I found this: https://github.com/ValveSoftware/steam- … issues/320
Installing bubblewrap-suid to overwrite bubblewrap seemed to resolve the issue, but I'm not using a hardened linux kernel so I'm unsure why this fixed my issue.
I checked with a friend that updates daily also using the vanilla arch linux kernel, and their Proton games ran just fine.
Sharing this in case anyone runs into the same problem as I did and to hopefully get some insight as to what might've happened.
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