Boot process hangs when trying to boot with systemd enabled and using encrypted home

[swac]

Hello, I've been able to reproduce on this two different machines. One is on bare metal running on an Intel NUC and the other is in a VM (2-core, 4GiB memory) both running MX Linux 19.2 x64 freshly installed and updated. I did a custom partitioning scheme where the primary was allocated for an unencrypted root, a second partition for an encrypted /home, and a swap partition.
Booting into the default sysvinit works as expected, I see a prompt for the decryption password, followed by the login screen. However, when I try to boot into the systemd kernel, the boot just hangs at the screen where it should ask for the decryption password. At this point, I need to do a hardware shutdown and reboot into the sysvinit kernel to get into the system. Is this bug or is there a workaround? Thanks.

[Huckleberry Finn]

Can you boot with SysV normally and post QSI ? (See my signature)

[dolphin_oracle]

are there any messages on the screen "under" the boot splash (hit esc to view them)

[swac]

Here is the output from QSI:

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System:    Host: mx Kernel: 4.19.0-9-amd64 x86_64 bits: 64 compiler: gcc v: 8.3.0 
           parameters: BOOT_IMAGE=/boot/vmlinuz-4.19.0-9-amd64 
           root=UUID=730d0aa9-d6c5-40d6-8bf6-b661132fbcf9 ro quiet splash 
           Desktop: Xfce 4.14.2 tk: Gtk 3.24.5 info: xfce4-panel wm: xfwm4 dm: LightDM 1.26.0 
           Distro: MX-19.2_x64 patito feo May 31  2020 base: Debian GNU/Linux 10 (buster) 
Machine:   Type: Vmware System: VMware product: VMware Virtual Platform v: N/A serial: <filter> 
           Chassis: No Enclosure type: 1 serial: <filter> 
           Mobo: Intel model: 440BX Desktop Reference Platform serial: <filter> BIOS: Phoenix 
           v: 6.00 date: 07/29/2019 
CPU:       Topology: 2x Single Core model: Intel Core i7-6920HQ bits: 64 type: SMP 
           arch: Skylake-S family: 6 model-id: 5E (94) stepping: 3 microcode: DC 
           L2 cache: 16.0 MiB 
           flags: avx avx2 lm nx pae sse sse2 sse3 sse4_1 sse4_2 ssse3 bogomips: 11613 
           Speed: 2903 MHz min/max: N/A Core speeds (MHz): 1: 2903 2: 2903 
           Vulnerabilities: Type: itlb_multihit status: KVM: Vulnerable 
           Type: l1tf mitigation: PTE Inversion 
           Type: mds mitigation: Clear CPU buffers; SMT Host state unknown 
           Type: meltdown mitigation: PTI 
           Type: spec_store_bypass 
           mitigation: Speculative Store Bypass disabled via prctl and seccomp 
           Type: spectre_v1 mitigation: usercopy/swapgs barriers and __user pointer sanitization 
           Type: spectre_v2 mitigation: Full generic retpoline, IBPB: conditional, IBRS_FW, 
           STIBP: disabled, RSB filling 
           Type: tsx_async_abort status: Not affected 
Graphics:  Device-1: VMware SVGA II Adapter driver: vmwgfx v: 2.15.0.0 bus ID: 00:0f.0 
           chip ID: 15ad:0405 
           Display: x11 server: X.Org 1.20.4 driver: vmware unloaded: fbdev,modesetting,vesa 
           resolution: 1024x768~60Hz 
           OpenGL: renderer: SVGA3D; build v: 3.3 Mesa 18.3.6 direct render: Yes 
Audio:     Device-1: Ensoniq ES1371/ES1373 / Creative Labs CT2518 driver: snd_ens1371 v: kernel 
           bus ID: 02:02.0 chip ID: 1274:1371 
           Sound Server: ALSA v: k4.19.0-9-amd64 
Network:   Device-1: Intel 82371AB/EB/MB PIIX4 ACPI vendor: VMware Virtual Machine 
           type: network bridge driver: N/A port: 1060 bus ID: 00:07.3 chip ID: 8086:7113 
           Device-2: Intel 82545EM Gigabit Ethernet vendor: VMware PRO/1000 MT Single Port 
           driver: e1000 v: 7.3.21-k8-NAPI port: 2000 bus ID: 02:01.0 chip ID: 8086:100f 
           IF: eth0 state: up speed: 1000 Mbps duplex: full mac: <filter> 
Drives:    Local Storage: total: 20.00 GiB used: 5.36 GiB (26.8%) 
           ID-1: /dev/sda vendor: VMware model: Virtual S size: 20.00 GiB block size: 
           physical: 512 B logical: 512 B serial: N/A rev: 1.0 scheme: GPT 
Partition: ID-1: / raw size: 7.81 GiB size: 7.63 GiB (97.63%) used: 5.31 GiB (69.6%) fs: ext4 
           dev: /dev/sda1 
           ID-2: /home raw size: 7.80 GiB size: 7.61 GiB (97.63%) used: 55.0 MiB (0.7%) fs: ext4 
           dev: /dev/dm-0 
           ID-3: swap-1 size: 4.36 GiB used: 0 KiB (0.0%) fs: swap swappiness: 15 (default 60) 
           cache pressure: 100 (default) dev: /dev/dm-1 
Sensors:   Message: No sensors data was found. Is sensors configured? 
Repos:     No active apt repos in: /etc/apt/sources.list 
           Active apt repos in: /etc/apt/sources.list.d/debian-stable-updates.list 
           1: deb http://deb.debian.org/debian buster-updates main contrib non-free
           Active apt repos in: /etc/apt/sources.list.d/debian.list 
           1: deb http://deb.debian.org/debian buster main contrib non-free
           2: deb http://deb.debian.org/debian-security buster/updates main contrib non-free
           Active apt repos in: /etc/apt/sources.list.d/mx.list 
           1: deb http://mirrors.rit.edu/mxlinux/mx-packages/mx/repo/ buster main non-free
           No active apt repos in: /etc/apt/sources.list.d/various.list 
Info:      Processes: 213 Uptime: N/A Memory: 3.83 GiB used: 542.8 MiB (13.8%) Init: SysVinit 
           v: 2.93 runlevel: 5 default: 5 Compilers: gcc: 8.3.0 alt: 8 Shell: bash v: 5.0.3 
           running in: quick-system-in inxi: 3.0.36 

[swac]

When I select the systemd kernel and I press esc I see the following. Some of the text is cut off.

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[1.637835] piix4_smbus 0000:00:07.3: SMBus Host Controller n
[2.272597] sd 2:0:0:0: [sda] Assuming drive cache: write thr
rootMX19: clean, 332664/512064 files, 1440115/2048000 blocks

[fehlix]

When I select the systemd kernel and I press esc I see the following. Some of the text is cut off.

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[1.637835] piix4_smbus 0000:00:07.3: SMBus Host Controller n
[2.272597] sd 2:0:0:0: [sda] Assuming drive cache: write thr
rootMX19: clean, 332664/512064 files, 1440115/2048000 blocks

Would this command show the same value twice:

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cat  /var/lib/dbus/machine-id  /etc/machine-id

If not, recreate freshly and reboot:

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sudo sh -c "rm  /var/lib/dbus/machine-id /etc/machine-id; dbus-uuidgen --ensure=/etc/machine-id ; dbus-uuidgen --ensure; " 

EDIT +++
If you cannot see the luks-password prompt: Just type blindly the password and hit enter. At least it helps sometimes.

[swac]

The first command showed that /var/lib/dbus/machine-id existed but /etc/machine-id did not exist.
The second command seems to have created a new machine-id in both locations.

Rebooting into the systemd kernel still does not show a password prompt.

Blindly typing in the decryption password and pressing enter does not cause the boot process to proceed.