Does the new component properties feature works with nested components? Doesn't seem so

I’ve recorded a short video showing the issue: Dropbox Capture

Basically, when using the new instance swap component property as part of a nested component, the instance swap isn’t reflected when used in combination with variant properties.

Here are the tests I did in the video:

  1. Using nested components and variant properties (:white_check_mark: works)
  2. Using nested components and component properties (:x: doesn’t work)
  3. Using component properties and variant properties (:white_check_mark: works)

Does that mean that component properties are designed not to be used as part of base nested component sets?

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I hope this gets fixed. Actually, there is a similar issue if you use a similarly designed nested button component with a base component, but your icons are not designed as different components but variants of a single Icon component. In that case, the same happens, switching the icon and then switching the state of the button also reverts, meaning the override of the nested instance is only applied to that specific variant, and changing any other property the modification is lost. It was also the case before the recent figma update.

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