How to make Terminal Share work in VSCode LiveShare?

LiveShare works fine, but when we want to start sharing a terminal (read-only/read-write) it gives the following error message:

Sharing Terminal: Extension 'ms-vsliveshare.vsliveshare' CANNOT use API proposal: terminalDataWriteEvent. Its package.json#enabledApiProposals-property declares: fileSearchProvider, findTextInFiles, notebookEditor, textSearchProvider but NOT terminalDataWriteEvent. The missing proposal MUST be added and you must start in extension development mode or use the following command line switch: --enable-proposed-api ms-vsliveshare.vsliveshare

Downgrading VSCode is not an option.

VSCode version: 1.64.2

LiveShare version: 1.0.5330

TL;DR : Followed exactly what the error says.

1. Open VSCode and press Ctrl + Shift + P, then select Preference: Configure Runtime Arguments

2. Add the ms-vsliveshare.vsliveshare item to the enable-proposed-api list. Create if it doesn't exist.

{
    .
    .
    .
    "enable-proposed-api": [
        ...
        "ms-vsliveshare.vsliveshare"
    ]
}

3. Navigate to your VSCode extensions directory.

• Windows %USERPROFILE%\.vscode\extensions
• macOS ~/.vscode/extensions
• Linux ~/.vscode/extensions

4. Find the correct directory for liveshare, usually it is ms-vsliveshare.vsliveshare-<version>, and open the package.json file inside it.

5. Add the following items to the enabledApiProposals list. Create if it doesn't exist.

{
    .
    .
    .
    "enabledApiProposals": [
        ...
        "terminalDataWriteEvent",
        "terminalDimensions"
    ]
}

6. Quit and restart VSCode