Steps to reproduce:
1. Open the attached “VertexSnappingBug.zip” project
2. Open the “OutdoorsScene”
3. Open “Assets/Settings/HDRPDefaultResources/HDRenderPipelineAsset” in the Inspector Window
4. Set the “GPU Resident Drawer” setting to “Instanced Drawing”
5. Open Edit → Project Settings → Graphics
6. Set the “BatchRenderingGroup Variants” to “Keep All”
7. In the Scene View, select one “Cube” GameObject
8. While pressing V select a vertex
9. Move the “Cube” to the other “Cube”
10. Observe the results

Expected result: Cube is moved according to vertex snapping
Actual result: Cube is moved normally with no vertex snapping applied

Reproducible in: 6000.0.34f1, 6000.1.0b2
Couldn’t test in: 2021.3.47f1, 2022.3.56f1 (GPU Resident Drawer setting does not exist)

Reproducible on: Windows 11
Not reproducible on: No other environment tested