Setting the world height value to its maximum (1024) causes messed up rendering, AI, and Collision

Video Attachment - https://www.youtube.com/watch?v=RBTsGSyBqU0&feature=youtu.be

Step 1 - import the world settings attached below

Step 2 - Generate the world

Step 3 - Witness the bug

 

If i relog into the world, the mobs start spinning violently and everything else stays the same