Steps to Reproduce:

1. In a repository with git LFS enabled (such as the VS Code docs repo)
2. Open a modified image diff

Bug
Left hand side shows an image load error. Here's the content for a git lfs file we get:

version https://git-lfs.github.com/spec/v1
oid sha256:65ccfe99efef1afc4bbd0fade1397c620759d165d0af1f2394afce4f34570a5f
size 166430

This works properly when not using git LFS

Does this issue occur when all extensions are disabled?: Yes