Not: Affected Versions is Incorrect. The version on the Switch is 1.1.0.0, not 1.1.1.0.

Steps I took:

1. Play game on Switch A, logged in to an Xbox account, using the primary Nintendo account on the Switch
2. Make sure cloud save is updated
3. Go to Switch B. 
4. Make sure cloud save is downloaded (green check mark that all is good) for the same Nintendo account.
5. Launch MCD with this same account.
6. On initial screen, press any key
7. Observe redstone block spinning in lower right corner for 10+ minutes. No errors. No nothing.
8. Return to Switch home screen. Close app
9. Delete local game save.
10. Launch MCD.
11. On initial screen, press any key. 
12. Game goes to character creation.