Hello im a newbie and i am stuck trying to figure out why unchecking Optimal Display for subdivision surface modifier not working in edit mode but will work in object mode. Seems crucial for modeling. 
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UglyMo6
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Hi :). Works just fine in my Blender 3.2. I wouldn't say it's 'crucial', it just shows simplified wireframe, which is sometimes more convenient. – jachym michal Aug 21 '22 at 12:53
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2Having the same problem in 3.4.0. In edit mode it doesnt show the wireframe of the subdivision modifier :( – Mick Dec 17 '22 at 09:15
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This commentary and answer suggest a real (possibly simply fixed) anomaly in the application. Perhaps worth a bug report. ? – Robin Betts Jan 17 '23 at 12:00
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If Auto Smooth is turned on, GPU Subdivision won't work, that's why it doesn't show correctly.
Raj
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I'm using 3.5 & have that problem. I find it happens when I have another modifier beneath the subdivision surface modifier (eg. the mirror or solidify modifier).
With either of those modifiers beneath the SubD, you see the more complex wireframe whether "optimal display" is checked or not. Once you apply them or delete them, "optimal display" goes back to operating as normal.
gymreading
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What fixed it for me was turning on GPU Subdivision under viewport settings in preferences.