Compressed disks, this was not an issue w/ wsl 1.0

[unicomp21]

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Installing, this may take a few minutes...
WslRegisterDistribution failed with error: 0xc03a001a
Error: 0xc03a001a The requested operation could not be completed due to a virtual disk system limitation. Virtual hard disk files must be uncompressed and unencrypted and must not be sparse.

[craigloewen-msft]

This is a duplicate of #4103 please check that thread for a work around! Thanks.