Desktop freezes when waking up from sleep and using AMD memory encryption

Waking up from sleep freezes the whole desktop with all Wayland compositor and Xorg in both 570.153.02 and 575.57.08 drivers if I am using AMD memory encryption (mem_encrypt=on kernel parameter).
GPU: RTX 2080 SUPER
CPU: AMD Ryzen 7 3700X
Arch Linux 6.14.10-arch1-1

Stack trace of frozen thread (Xorg):

0x00007fa5c346cbcb in clock_gettime ()
(gdb) bt
#0  0x00007fa5c346cbcb in clock_gettime ()
#1  0x00007fa5c2ea59ad in clock_gettime () at /usr/lib/libc.so.6
#2  0x00007fa5c1a99af1 in ??? () at /usr/lib/xorg/modules/drivers/nvidia_drv.so
#3  0x00007fa5c1a554c9 in ??? () at /usr/lib/xorg/modules/drivers/nvidia_drv.so
#4  0x00007fa5c1ab7574 in ??? () at /usr/lib/xorg/modules/drivers/nvidia_drv.so
#5  0x00007fa5c1a9f6cc in ??? () at /usr/lib/xorg/modules/drivers/nvidia_drv.so
#6  0x00007fa5c1a9dcf0 in ??? () at /usr/lib/xorg/modules/drivers/nvidia_drv.so
#7  0x00007fa5c1a9df6e in ??? () at /usr/lib/xorg/modules/drivers/nvidia_drv.so
#8  0x00007fa5c2346447 in wfbBlt () at /usr/lib/xorg/modules/libwfb.so
#9  0x00007fa5c23466a9 in wfbBltStip () at /usr/lib/xorg/modules/libwfb.so
#10 0x00007fa5c234badc in wfbPutZImage () at /usr/lib/xorg/modules/libwfb.so
#11 0x00007fa5c1ed3791 in ??? () at /usr/lib/xorg/modules/drivers/nvidia_drv.so
#12 0x0000000000001890 in ??? ()
#13 0x0000000000000a33 in ??? ()
#14 0x00007f9fb015e000 in ??? ()
#15 0x00007f9f00001890 in ??? ()
#16 0x000055f115c64ce0 in ??? ()
#17 0x00007fff21c32f50 in ??? ()
#18 0x0000000000000000 in ??? ()

Stack trace of frozen thread (kwin_wayland)

#0  0x00007fd57a811e6d in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#1  0x00007fd57a92c463 in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#2  0x00007fd57a937daf in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#3  0x00007fd57a8b4995 in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#4  0x00007fd57a87dc6d in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#5  0x00007fd57a85772a in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#6  0x00007fd57a857e8d in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#7  0x00007fd57a84b971 in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#8  0x00007fd57a802e75 in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#9  0x00007fd57a825194 in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#10 0x00007fd58d23b710 in ??? () at /usr/lib/libEGL_nvidia.so.0
#11 0x00007fd58d23bf00 in ??? () at /usr/lib/libEGL_nvidia.so.0
#12 0x00007fd58d24e2cc in ??? () at /usr/lib/libEGL_nvidia.so.0
#13 0x00007fd595a09d86 in ??? () at /usr/lib/libEGL.so.1
#14 0x00007fd595a09ee3 in ??? () at /usr/lib/libEGL.so.1
#15 0x00007fd599ad1d85 in KWin::EglContext::create(KWin::EglDisplay*, void*, void*) () at /usr/lib/libkwin.so.6
#16 0x00007fd599d71539 in KWin::AbstractEglBackend::createContext(void*) () at /usr/lib/libkwin.so.6
#17 0x00007fd599cfb906 in ??? () at /usr/lib/libkwin.so.6
#18 0x00007fd59997fe19 in KWin::WaylandCompositor::attemptOpenGLCompositing() () at /usr/lib/libkwin.so.6
#19 0x00007fd599980648 in KWin::WaylandCompositor::createRenderer() () at /usr/lib/libkwin.so.6
#20 0x00007fd599982379 in KWin::WaylandCompositor::start() () at /usr/lib/libkwin.so.6
#21 0x00007fd599982e0a in KWin::WaylandCompositor::composite(KWin::RenderLoop*) () at /usr/lib/libkwin.so.6
#22 0x00007fd596dd37ef in ??? () at /usr/lib/libQt6Core.so.6
#23 0x00007fd59999d056 in KWin::RenderLoop::frameRequested(KWin::RenderLoop*) () at /usr/lib/libkwin.so.6
#24 0x00007fd5999a5633 in KWin::RenderLoopPrivate::dispatch() () at /usr/lib/libkwin.so.6
#25 0x00007fd596dd37ef in ??? () at /usr/lib/libQt6Core.so.6
#26 0x00007fd596de0abf in QTimer::timerEvent(QTimerEvent*) () at /usr/lib/libQt6Core.so.6
#27 0x00007fd596dc0dd6 in QObject::event(QEvent*) () at /usr/lib/libQt6Core.so.6
#28 0x00007fd598101c70 in QApplicationPrivate::notify_helper(QObject*, QEvent*) () at /usr/lib/libQt6Widgets.so.6
#29 0x00007fd596d68118 in QCoreApplication::notifyInternal2(QObject*, QEvent*) () at /usr/lib/libQt6Core.so.6
#30 0x00007fd596f1bc6f in QTimerInfoList::activateTimers() () at /usr/lib/libQt6Core.so.6
#31 0x00007fd596f27129 in QEventDispatcherUNIX::processEvents(QFlags<QEventLoop::ProcessEventsFlag>) () at /usr/lib/libQt6Core.so.6
#32 0x00007fd597b1ad33 in QUnixEventDispatcherQPA::processEvents(QFlags<QEventLoop::ProcessEventsFlag>) () at /usr/lib/libQt6Gui.so.6
#33 0x00007fd596d744b6 in QEventLoop::exec(QFlags<QEventLoop::ProcessEventsFlag>) () at /usr/lib/libQt6Core.so.6
#34 0x00007fd596d6c7c1 in QCoreApplication::exec() () at /usr/lib/libQt6Core.so.6
#35 0x00005603f11735b3 in ??? ()
#36 0x00007fd5966376b5 in ??? () at /usr/lib/libc.so.6
#37 0x00007fd596637769 in __libc_start_main () at /usr/lib/libc.so.6
#38 0x00005603f117a765 in ??? ()

Stack trace of frozen thread (gnome-shell Wayland)

#0  0x00007f14d0c0e006 in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#1  0x00007f14d0c0e271 in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#2  0x00007f14d0c11e59 in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#3  0x00007f14d0d2c4ad in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#4  0x00007f14d0c89c3a in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#5  0x00007f14d0c8a4cb in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#6  0x00007f14d0c023a5 in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#7  0x00007f14d0c292b5 in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#8  0x00007f14d249a686 in ??? () at /usr/lib/libEGL_nvidia.so.0
#9  0x00007f14d249d4d7 in ??? () at /usr/lib/libEGL_nvidia.so.0
#10 0x00007f14d243562a in ??? () at /usr/lib/libEGL_nvidia.so.0
#11 0x00007f14d249c082 in ??? () at /usr/lib/libEGL_nvidia.so.0
#12 0x00007f14d24493be in ??? () at /usr/lib/libEGL_nvidia.so.0
#13 0x00007f14e427a9e8 in ??? () at /usr/lib/libnvidia-egl-gbm.so.1
#14 0x00007f14e427acd7 in ??? () at /usr/lib/libnvidia-egl-gbm.so.1
#15 0x00007f14d24ab4ae in ??? () at /usr/lib/libEGL_nvidia.so.0
#16 0x00007f14d2449394 in ??? () at /usr/lib/libEGL_nvidia.so.0
#17 0x00007f14e96d19ab in ??? () at /usr/lib/mutter-16/libmutter-cogl-16.so.0
#18 0x00007f14e9e016f4 in ??? () at /usr/lib/libmutter-16.so.0
#19 0x00007f14ea3f4dbb in g_object_unref () at /usr/lib/libgobject-2.0.so.0
#20 0x00007f14ea2d2630 in g_list_foreach () at /usr/lib/libglib-2.0.so.0
#21 0x00007f14ea2d8908 in g_list_free_full () at /usr/lib/libglib-2.0.so.0
#22 0x00007f14e9dfc7c0 in ??? () at /usr/lib/libmutter-16.so.0
#23 0x00007f14e9dfd7d1 in ??? () at /usr/lib/libmutter-16.so.0
#24 0x00007f14e96b6b03 in cogl_onscreen_swap_buffers_with_damage () at /usr/lib/mutter-16/libmutter-cogl-16.so.0
#25 0x00007f14e9caaa79 in ??? () at /usr/lib/libmutter-16.so.0
#26 0x00007f14e9e18628 in ??? () at /usr/lib/libmutter-16.so.0
#27 0x00007f14ea054acc in ??? () at /usr/lib/mutter-16/libmutter-clutter-16.so.0
#28 0x00007f14ea008d18 in ??? () at /usr/lib/mutter-16/libmutter-clutter-16.so.0
#29 0x00007f14ea2dc87d in ??? () at /usr/lib/libglib-2.0.so.0
#30 0x00007f14ea2ddcd7 in ??? () at /usr/lib/libglib-2.0.so.0
#31 0x00007f14ea2de097 in g_main_loop_run () at /usr/lib/libglib-2.0.so.0
#32 0x00007f14e9ce2f1b in meta_context_run_main_loop () at /usr/lib/libmutter-16.so.0
#33 0x00007f14e9002976 in ??? () at /usr/lib/libffi.so.8
#34 0x00007f14e8fff13c in ??? () at /usr/lib/libffi.so.8
#35 0x00007f14e9001f0e in ffi_call () at /usr/lib/libffi.so.8
#36 0x00007f14ea186952 in ??? () at /usr/lib/libgjs.so.0
#37 0x00007f14ea18734f in ??? () at /usr/lib/libgjs.so.0
#38 0x00007f14e81682c2 in ??? () at /usr/lib/libmozjs-128.so
#39 0x00007f14e81f26f1 in ??? () at /usr/lib/libmozjs-128.so
#40 0x00007f14e826579f in JS::Call(JSContext*, JS::Handle<JS::Value>, JS::Handle<JS::Value>, JS::HandleValueArray const&, JS::MutableHandle<JS::Value>) () at /usr/lib/libmozjs-128.so
#41 0x00007f14ea1e3f44 in ??? () at /usr/lib/libgjs.so.0
#42 0x00007f14ea1ec86f in gjs_context_eval_module () at /usr/lib/libgjs.so.0
#43 0x00007f14ea1ec9d9 in gjs_context_eval_module_file () at /usr/lib/libgjs.so.0
#44 0x000055b24c25c566 in ??? ()
#45 0x00007f14e9a376b5 in ??? () at /usr/lib/libc.so.6
#46 0x00007f14e9a37769 in __libc_start_main () at /usr/lib/libc.so.6
#47 0x000055b24c25c9d5 in ??? ()

Stack trace of sway using the Vulkan backend

#0  0x00007fdbb6c61e22 in ??? () at /usr/lib/libc.so.6
#1  0x00007fdbb6c55fda in ??? () at /usr/lib/libc.so.6
#2  0x00007fdbb6c56024 in ??? () at /usr/lib/libc.so.6
#3  0x00007fdbb6cd005e in poll () at /usr/lib/libc.so.6
#4  0x00007fdbada16ad4 in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#5  0x00007fdbadd73429 in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#6  0x00007fdbadd72fbd in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#7  0x00007fdbadd73270 in ??? () at /usr/lib/libnvidia-eglcore.so.575.57.08
#8  0x00007fdbb6e81dfd in ??? () at /usr/lib/libwlroots-0.18.so
#9  0x00007fdbb6e86e02 in ??? () at /usr/lib/libwlroots-0.18.so
#10 0x00007fdbb6e8a211 in ??? () at /usr/lib/libwlroots-0.18.so
#11 0x00007fdbb6e798c6 in wlr_renderer_begin_buffer_pass () at /usr/lib/libwlroots-0.18.so
#12 0x00007fdbb6ebfb19 in wlr_scene_output_build_state () at /usr/lib/libwlroots-0.18.so
#13 0x000055a710ff37f1 in ??? ()
#14 0x000055a710ff3a6b in ??? ()
#15 0x00007fdbb6f7251e in wl_signal_emit_mutable () at /usr/lib/libwayland-server.so.0
#16 0x00007fdbb6e9c6c9 in ??? () at /usr/lib/libwlroots-0.18.so
#17 0x00007fdbb74ccf30 in drmHandleEvent () at /usr/lib/libdrm.so.2
#18 0x00007fdbb6e926ec in ??? () at /usr/lib/libwlroots-0.18.so
#19 0x00007fdbb6f74112 in wl_event_loop_dispatch () at /usr/lib/libwayland-server.so.0
#20 0x00007fdbb6f761f7 in wl_display_run () at /usr/lib/libwayland-server.so.0
#21 0x000055a710fe2dc9 in ??? ()
#22 0x00007fdbb6beb6b5 in ??? () at /usr/lib/libc.so.6
#23 0x00007fdbb6beb769 in __libc_start_main () at /usr/lib/libc.so.6
#24 0x000055a710fe32b5 in ??? ()

In each situation, processes are stalling in Nvidia related libraries, so it’s a bug in Nvidia drivers.