Unable to embed in WYSIWYG when component has Twig blocks

If I use the dialog to embed a component that has blocks, clicking on the dialog embed button does nothing.

The issue seems to be related to the text formats, because if the Twig block input filter matches the host WYSIWYG then it works.

Similarly, updating a component added with matching text formats brings up the edit form, but the textarea for the Twig blocks is missing.