I'm tired of always struggling to open a folder in VSCode using WSL. You normally have to open the current folder in Code, wait for it to load, then reopen in the remote, which closes and reopens Code, so you have to wait for it to load everything once more. The alternative is to open a WSL shell, which takes it's good time too, navigate via the terminal to the folder you want, then open Code.
I just want to right click and be done. So I arranged a little something.
DISCLAIMER Before you proceed, back up your registry. If something breaks, that's on you for not having a backup.
This registry file will delete the current context menu entry for VSCode and replace is with a submenu that lets you choose wether to open it up normally, or via WSL. It only works when right clicking on a folder or on the background.
Something you might want to do before running it is to verify that the installation paths are the same ones you have in your set-up. If you don't have WSL in your PATH, you will either need to edit the file, or add it. This also assumes that Code is on your path on the WSL side of things, so check up on that.
If you don't want a sub-menu, there are plenty of guides online on how to add a context-menu entry.
https://github.com/matuszykrafa/open-with-code-in-wsl

If you want to open a file in WSL, here you go