I have a WYSIWYG field in a custom post type and it works exactly as expected.
However, when I add a text limit (or word limit) to the field, all formatting for the content disappears.
I also tried update the entries to save in raw format but that only seems to allow the paragraph breaks but no other formatting (bold, links, etc).
Thank you for your feedback. I can see the issue in the frontend when outputting the field value, only raw content is displayed without any HTML tags. I've escalated this issue to the development team to fix this soon.
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