Rubberbanding mobs, server time behind, with low performance CPUs

[PotatoCider]

When using the Raspberry Pi 4B (4GB, 64-bit RPI OS, mono v6.12) overclocked at 2GHz, using Tiled plugin (1d provider) brought the memory usage down from ~1.5 GB to <1 GB on a large world. However, mobs were rubber banding and server time is consistently behind client time by 1 hour game time (measured with /time and gold clock gadget).

Without the Tiled plugin, mob movement was fine and server time was at most 15 minutes behind client time in the most CPU-intensive events like Frost Moon.

I am now also encountering the same problem with Tiled when using e2-micro VM (free tier) on Google Cloud Platform, having an always free terraria server for a small group of friends would be really nice. Switching to e2-small VM (which has 2x more compute than e2-micro) also fixed the rubberbanding and time lag issue.

Is there any reason why Tiled can decrease performance even though it should increase it?

[Remoran]

I am having this issue on my Pi 3 B (1 GB RAM) as well. Without this plugin, my server crashes within a few minutes, so running this is a must. I tried 1d, 2d, and struct with the same results. NPCs were pretty normal without the plugin installed.