Have you looked at Obsidian? It offers paid sync service which hasn’t lost a file for me for the last year or so I’ve been using the sync service.
> When Sync downloads a new version of a file, and finds that there are conflicts with the local version, the changes are merged with Google's diff-match-patch algorithm.
Based on the docs it doesn't sound like you can intervene in this process manually. Standard Notes creates a conflicted copy of the note instead, and that's what I'd prefer.
Sad that it seems like every notes app with sync seems to have at least one showstopping issue like this.
Then let us know when your show stopperless implementation is ready.