Having this problem in iOS 14 too. Have a text longer than a page. Touching anywhere in the text to set the cursor and the view scrolls all the way to the end. Every time I type a character the view scrolls again. Very annoying user experience.
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Thanks for the detailed description of the problem, I'm having exactly the same issues and I'm really glad to finally found this post as my googling it earlier didn't point to anything. I just started trying public CloudKit database with iOS 15 and Xcode 13, so the last issue about custom zone com.apple.coredata.cloudkit.zone is most likely a newly introduced problem with iOS 15 where core data up sync always tries to add records in this zone (like it does with private database), while the CloudKit side doesn't allow it.