GameObjects painted with GameObject brush do not appear in the Hierarchy

Reproduction steps:

1. Open user attached "GOBrush_Test.zip" project
2. Open Window > 2D > Tile Palette
3. Change “Default Brush” to “GameObject Brush”
4. Select a yellow triangle sprite with a brush in the palette
5. Paint it in the Scene
6. Enter Play mode

Expected result: Painted sprites stay in the Scene
Actual result: Painted sprites disappear

Reproduced with: 2.2.5 (2021.3.22f1), 3.1.0 (2022.2.13f1), 4.0.0 (2023.1.0b10, 2023.2.0a8)
Could not test with: 2020.3.46f1 (Sprite can’t be painted)

Reproducible on: Windows 11, macOS 13.2.1