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They seem to have copied Cursor in hijacking ⌘Y shortcut for "Yes" instead of Undo.

In what applications is ⌘Y Undo and not ⌘Z? Is ⌘Y just a redundant alternative?

Ctrl-Y is typically Redo, not Undo. Maybe that's what they meant.

Apparently on Macs it's usually Command-Shift-Z?