I’m also seeing this issue. I’m using a SanDisk Ultra 32GB Class 10 card and formatted it using the camera (Wyze V2). I then downloaded the Wyze V2 RTSP firmware, copied it to the root of the microSD using the command line on a Linux computer (no hidden file extensions) as demo.bin, inserted it into the camera with the power off and turned it on with the setup button held down. I get the orange light and then “ready to connect.”
From the digging I’ve done it sounds like a number of folks have run into this. Some have seen it with some of their cameras and not others. This page theorizes a correlation with the second part of the string contained in the QR code:
My camera doesn’t have either of the codes listed there, it has Y00A0030. I just updated it to firmware 4.9.7.1068.