Ensure gnome-keyring is running

$ systemctl --user status gnome-keyring-daemon
● gnome-keyring-daemon.service - GNOME Keyring daemon
     Loaded: loaded (/usr/lib/systemd/user/gnome-keyring-daemon.service; enabled; preset: enabled)
     Active: active (running) since Thu 2023-06-15 12:36:32 CEST; 3h 43min ago
TriggeredBy: ● gnome-keyring-daemon.socket
   Main PID: 16317 (gnome-keyring-d)
      Tasks: 4 (limit: 67352)
     Memory: 3.5M
        CPU: 1.067s
     CGroup: /user.slice/user-1000.slice/user@1000.service/app.slice/gnome-keyring-daemon.service
             └─16317 /usr/bin/gnome-keyring-daemon --foreground --components=pkcs11,secrets --control-directory=/run/user/1000/keyring

Otherwise

enable gnome-keyring-daemon manually

gnome-keyring-daemon --replace --daemonize --components=pkcs11,secrets,ssh

Show installed gnome-keyring

$ dpkg -l | grep gnome-keyring
ii  gnome-keyring                                               42.1-1+b2                                            amd64        GNOME keyring services (daemon and tools)
ii  gnome-keyring-pkcs11:amd64                                  42.1-1+b2                                            amd64        GNOME keyring module for the PKCS#11 module loading library
ii  libgnome-keyring-common                                     3.12.0-1                                             all          GNOME keyring services library - data files
ii  libgnome-keyring-dev                                        3.12.0-1+b2                                          amd64        Development files for GNOME keyring service
ii  libgnome-keyring0:amd64                                     3.12.0-1+b2                                          amd64        GNOME keyring services library
ii  libpam-gnome-keyring:amd64                                  42.1-1+b2                                            amd64        PAM module to unlock the GNOME keyring upon login

Show installed libsecret

$ dpkg -l | grep libsecret
ii  libsecret-1-0:amd64                                         0.20.5-3                                             amd64        Secret store
ii  libsecret-common                                            0.20.5-3                                             all          Secret store (common files)

Show installed dbus-x11

$ dpkg -l | grep -i dbus-x11
ii  dbus-x11                                                    1.14.6-1                                             amd64        simple interprocess messaging system (X11 deps)

Open VSCode argument settings

open the Command Palette (Ctrl+Shift+P) and type Preferences: Configure Runtime Arguments

How to fix vscode settings sync in linux | WMI - /2023/09/fix-vscode-settings-sync-linux/image.png

Add settings

add the setting "password-store":"gnome"

How to fix vscode settings sync in linux | WMI - /2023/09/fix-vscode-settings-sync-linux/add-settings.png

Restart VSCode

after added the password-store to settings, clean restart VSCode.

Close the window (X) then re-open VSCode from start menu or desktop icon.

Relogin

Try relogin VSCode with github or microsoft account