See microsoft/vscode#280665
We get complaints about unwanted instructions being loaded on every request.
Copying instructions in the user data folder is bad practice. Same as changing user settings.
There's the 'chatInstructions' contribution point that allows extension to provide instructions.
When doing that do not specify 'applyTo:**' as this will add to the context of every request, causing cost and vslow down.
Instead do not specify 'applyTo' and just define a description. The LLM gets a list of all descriptions and URIs and the agents can pick up instructions on demand..