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I just upgraded to 10.15.4 on a new MBP 16 ( no external monitor) and the good news is the problem has been resolved for me. Just a few test cycles but it appears to be fixed , keeping fingers crossed.
 
I'm also on MBP 16, upgraded to Catalina 10.15.4 yesterday and just randomly stumbled across the same issue after waking the laptop from sleep. So it's clear that the issue was not fixed with the latest update.
EDIT: just realized that the screenshot attached has normal colors, so it's hard to show the problem from taking a screenshot.
 

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I'm also on MBP 16, upgraded to Catalina 10.15.4 yesterday and just randomly stumbled across the same issue after waking the laptop from sleep. So it's clear that the issue was not fixed with the latest update.
EDIT: just realized that the screenshot attached has normal colors, so it's hard to show the problem from taking a screenshot.
I hope you have reported this to Apple. To be honest, I am not sure what these OS updates are fixing. Sadly they don't seem to be addressing any of the things that people are yelling the loudest about.
 
It definitely has something to do with the GPU.

I have an app called gfxCardStatus and noticed that my 16" was running on the AMD graphics card. I switched the setting to run the Intel GPU and it instantly fixed the washed out colors.
 
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Now my LG 5K gets a small vertical strip of pixels out of place. Now have to physically pull the thunderbolt cable from the Mac and back in again to fix.

MacOS just gets worse and worse.
 
Now my LG 5K gets a small vertical strip of pixels out of place. Now have to physically pull the thunderbolt cable from the Mac and back in again to fix.

MacOS just gets worse and worse.

Heeeey me too! Right in the middle below the camera, about 2cm thick. High five buddy!

*throws up*
 
I wrote an app that fixes this issue by switching color profile automatically on wake. You can download it here and also view the source code if you are curious. Let me know if this fix works for you as well.
 
I experience this issue and can fix it by unchecking and rechecking True Tone in the Display settings.
 
I experience this issue and can fix it by unchecking and rechecking True Tone in the Display settings.
Same here. It only happens when connecting an external monitor. It has been there since day 1 of ownership of the 16". No solutions.
 
Just had this issue first time. Never connected mine to an external monitor. Woke up from sleep and screen was all washed out. Restarted and it seems fine. Running 10.15.6
 
My 16" has also had this issue since day one. I am using an external monitor and am finding that the colors are oversaturated on initial wake about 80% of the time. If I Cancel and then re-wake the computer it goes away, although sometimes it will take 3 or 4 times. Glad others are having same issue. Super annoying.

Anyone running Big Sur, are you seeing the same issue still?
 
I am still experiencing issues with color after wake from sleep on 11.4. Anyone else still having similar issues?
 
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