Using sdk with cloudflare workers in dev environment breaks wrangler dev.

I am using:

"@codesandbox/sdk": "^0.0.10"

I have compatibility_flags = ["nodejs_compat"] in my wrangler.toml file

I am getting the following error when running wrangler dev

✘ [ERROR] service core:user:cs-test: Uncaught TypeError: The argument 'path' The argument must be a file URL object, a file URL string, or an absolute path string.. Received 'undefined'

    at null.<anonymous> (node:module:12:15) in createRequire
    at null.<anonymous> (index.js:14007:38) in createRequire
    at null.<anonymous> (index.js:14018:16)

After digging into to my node_modules I found that the node_modules/@codesandbox/sdk/dist/esm/index.edge.js file has the following content:

import {createRequire} from 'module'
const require = createRequire(import.meta.url)
// ... more code below

Where the const require is not used anywhere. When I commented it out and the code looked like this:

import {createRequire} from 'module'
// const require = createRequire(import.meta.url)
// ... more code below

Then it's working correctly and I can use the sdk to create and interact with sandboxes. So, import.meta.url is not available. If I use require to import @codesandbox/sdk then it works correctly but I don't want to do that. Could someone look into it or tell me a workaround?

Also would like to be sure if it is a config issue with cjs/esm :(