The issue occurs when attempting to add a custom API endpoint as a webhook callback URL in the Developer Dashboard webhooks settings page. The GraphQL mutation (OCDevManageWebhooksSubscriptionConfigureModal_configureMutation) returns an error code 1675012 with the message "URI must be valid." This error happens during the webhook verify token setup process, preventing the developer from successfully configuring the webhook subscription. The URI validation is rejecting the custom endpoint URL, indicating a problem with the verification token setup.