Distorted indicators, non-transparent background and other buggy behaviours in the appindicator extension

After shifting to gnome-41.1 in the latest update Manjaro Qonos 21.2.0 , all the indicators are showing with an additional background. Also some indicators look way distorted (like the copyq indicator in the following example)
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In this issue thread of gnome-shell-extension-appindicator most (if not all) people having this problem are Manjaro users.

Also there has been this annoying issue of indicators shifting away after unlocking and this issue of inconsistent click behaviour

Hoping for a solution

Are you using User theme for shell ? What happens if you set it to default ?

I am using user theme. Disabling it has no effect

But those apps are using svg as icons or png ? I might make a test if i find time …

I dug into /usr/share/icons/ . There I did not find those icons which are distorted or have additional background. The icons that don’t have such issue are there as png format