Is Figma actually saving all changes in real time? Can you see that on version history? Do you consider this behavior could be related to lack of memory or other system performance issue?

Despite this behavior could be caused by a lack of performance in user´s machine or not, your feedback propose would be welcome.

Yes, I have checked this case it do all child component changes in real-time. Also I have checked for the memory usage in Figma which is around 20-25% looking fine to me My CPU is working @ 12% usage. and also internet at my end working at high speed.

My device specs are:

12 GB Ram

1TB SSD

4GB Nvidia Graphics

Windows 10 Pro

If you have component with 10 childs then its fine but if you have whole library maintained for your organization which includes 50+ master component and 100+ childs for each master, then this issue occurs when you start to update master component and its childs are being updated simultaneously and it freezes the Figma, so I think the above describe idea/solution should work for this case.

Automatically updating child instances is quite nice when memory and cpu can handle it. Perhaps there should be a toggle to switch into manual updatin mode when needed.

I don’t have this kind of issue, even working with lots of complex, multivariant and nested components instances. I’d just tried simulate this scenario in a file with thousands of children of a complex component and everything was fluid. I would recommend to try with others browsers, perhaps its a javascript issue.