The text sync algorithm I wrote succeeds at the "The Color of Pomegranates" test. See https://cocalc.com/wstein/dev/share/files/2024-12-06.md for some details of the exact patches. This algorithm, which we came up with in 2015, is described at https://blog.cocalc.com/2018/10/11/collaborative-editing.htm...
It's a different approach than that taken by Yjs, Automerge, and Egwalker, with signficant pros (and cons!) relative to those algorithms. It has been used in production in CoCalc for over 8 years, and was also used by the recently shutdown Noteable Jupyter notebook project.