[BUG] VS Code extension top bar button missing after v2.0.65 update

Preflight Checklist

• [x] I have searched existing issues and this hasn't been reported yet
• [x] This is a single bug report (please file separate reports for different bugs)
• [x] I am using the latest version of Claude Code

What's Wrong?

The Claude Code button in the VS Code editor top bar disappeared after updating to v2.0.65. Downgrading to the previous version restores the button. Can still open Claude Code via Command Palette (Cmd+Shift+P), but the button is gone.

What Should Happen?

The Claude Code button should appear in the VS Code editor top bar as it did in previous versions.

Error Messages/Logs

Steps to Reproduce

1. Install Claude Code VS Code extension v2.0.65
2. Open VS Code
3. Notice the Claude Code button is missing from the editor top bar
4. Downgrade to the version from 3 days ago
5. Button reappears

Claude Model

None

Is this a regression?

Yes, this worked in a previous version

Last Working Version

2.0.62

Claude Code Version

2.0.65

Platform

Anthropic API

Operating System

macOS

Terminal/Shell

VS Code integrated terminal

Additional Information

_No response_