Blog Posts Block: Converting to reusable block removes block content preview in the editor

[mrfoxtalbot]

Steps to Reproduce

1. Create a new post
2. Add a Blog Posts block.
3. Convert the Blog Posts Block into a reusable block

What I expected to happen

I expected the content of the Blog Posts block to be visible inside the reusable block

What actually happened

The Reusable block's content does not reflect the actual content of the Blog Posts block, showing a template for 3 posts instead.

Context

Dogfooding here https://ontinyentmusic.wordpress.com/

Operating System

macOS

OS Version

Big Sure 11.1

Browser

Chrome/Chromium

Browser Version

91.0.4472.114

Is this specific to applied theme? If so, what is the theme name?

I first noticed using theme VENTURE, but it happens with all themes

Simple, Atomic or both?

Simple

Console and/or error logs

N/A

Level of impact

Low

Reproducibility

Consistent

Other information

Here is a screenshot of how the block's actual content disappears when it is made reusable.

The block's content is shown again when the block is converted back into a regular block

[kosiew]

Hi @mrfoxtalbot ,

Thanks for reporting this and the detailed steps.

Triaging for developers' further input.

[dpasque]

Tagging @Automattic/flow-patrol-create based on issue content