Does this issue occur when all extensions are disabled?: Yes

• VS Code Version: 1.78.2, Insiders 1.79.0 (16/10 update, also on 1.83)
• OS Version: Fedora 38, kernel 6.2.13 + Arch Linux kernel 6.3.2
• Wayland compositor: Sway 1.8.1

Steps to Reproduce:

1. Open VS Code from the CLI with the following flags to enable native Wayland instead of XWayland: code --enable-features=UseOzonePlatform --ozone-platform=wayland --disable-extensions
2. Change the setting "editor.smoothScrolling": false.
3. Try scrolling in a file, observe no smooth scrolling as expected.
4. Change the setting "editor.smoothScrolling": true.
5. Try scrolling in a file, there still is no smooth scrolling, it's exactly as if it wasn't enabled.

#125402 references a similar issue. The reporter says "it doesn't work", though it seems assumed in the comments that this is referring to a Chromium issue where there is lag. The issue is that the smooth scrolling config has no effect on Wayland. There is seemingly no attempt at smooth scrolling. It jumps instead of smoothly scrolling.