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Suspend to (encrypted) swap might be a good middle ground between you and grandparent. Suspend to memory will (at best) protect your LUKS volume key, but other sensitive data remains.

A couple of years ago, three security researchers from the TU Munich implemented a prototype for also encrypting (most) parts of the memory just before suspend, to address this limitation; but as far as I know, it was not upstreamed or developed further: https://www.sec.in.tum.de/i20/publications/fridgelock-preven...

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You can usually change that in the settings of the Desktop environment.
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There is no universal support for restoring state between the apps. For example, Terminal won't run the scripts that were running, the browser will not automatically restore the pages etc, some apps might not launch or launch with wrong state.

Gnome desktop environment cannot even remember the position and size of console windows, you are expecting too much.

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