I don't see that there's anything to fix as Cross transitions have always worked like this in PD.
The first clip begins to fade out then reaches its end at the midway point of the transition, then, as designed, the final frame is frozen and then fades out. At the start of the transition, the second clip's first frame had been frozen and was used during the fade in, then it begins playing from the midpoint of the transition. I find this type of transition to be better suited for photos than video for the reasons mentioned throughout this thread.
With the Overlap style, the first clip plays to the end while fading out just as the second clip begins and fades in. To me this is better suited for videos, although applying an Overlap transition necessarily shortens the duration of the two clips by the duration of the transition as they have to overlap.
When working with the MCD, it's clearly meant to make clean cuts between cameras, and I can see the difficulty in trying to apply transitions to the output clips on the main timeline afterwards.
It's certainly possible to do that by dragging one of the clips to the timeline track below and then extending the start/end to accomodate the fade duration. You'd then apply a fade transition to the start & end of that clip like this:
I would suggest that what's needed is a 3rd style of transition, maybe called "Center," where the transition takes precedence over the duration of the clips.
This would allow the transition to be placed like the current Cross transition and not affect the duration/sync of the existing clips at all, but then it would automatically extend the play of the affected clips beyond the midpoint so playback would be more like the Overlap style.
I've just suggested that using Rate Us & Provide Suggestions from the File menu. I also referenced this thread so they're aware of why this would be a good thing to add.