Hello Geez,

I did the following:

1. disabled Steam cloud sync
2. deleted all the files inside C:\Users\[username]\Documents\DayZ
   
3. started the game (it created 7 new files in C:\Users\[username]\Documents\DayZ) and the game had all the default settings again
   
4. changed "Update in Background" setting to "Graphics and sound"
5. exited the game
6. started the game again
7. the "Update in Background" setting is set to "Graphics only" again

Using the in-game settings to change the "Update In Background" setting, I can verify that after pressing Apply the "pauseMode" variable inside "[username]_settings.DayZProfile" is getting updated accordingly.

In another attempt, I set the file to read-only via the filesystem while it was on "pauseMode=2" and left the game - however, upon starting the game again and entering the settings, the setting was back to "Graphics only" again.

It seems the game doesn't load this variable from the file correctly/doesn't update the in-game settings with the loaded information.

I have some further information:

I created a new windows account and signed into steam from there with my wife's steam account. First time running the client it had "Update in Background" set to "None" but changing it to "Graphics and sound", then quitting and starting the client again, this time it kept the settings.

However, I can't get it to work on my main windows account and I don't see setting windows up again, so my main issue persists. However, I hope that additional information helps.

@Geez I was able to pinpoint the origin of this problem to the -noPause argument. Removing it from the command line arguments that started the launcher makes the .DayZProfile config takes over.

This issue can be closed now.