When joining a world, you see some other players appear right next to you when they might be far away. After seeing them, my reaction is to look around spawn for my friend or assume they are nearby but they might be across the map.... I also might start talking to them, so it is quite confusing.
I am unsure if it is origin or spawn. In some worlds they are the same so it's hard to tell. If it's world origin, the bug might not be apparent in all worlds.
Steps to reproduce:
  1. Launch one client into https://www.vrchat.com/home/launch?worldId=wrld_98dee37e-e0a2-4b4a-a545-7a8c96f9feb8 -- Use a normal size avatar.
  2. Walk forward from spawn.
  3. Launch another client into the same instance.
  4. repeat a few times if you miss it. To reproduce exactly my test, I used the shorter default avatar with the yellow hat (the angle might matter)
What to observe:
The client that joins later will see nobody else in the instance, then after a second, the other player will appear clipping inside, and then teleport far away.
What I expect: Ideally, the other client will not be visible until we know their position and have set their initial IK.