@Casey: I must have been typing my comment when you posted yours. So
you've answered one of my questions, but I have no idea what's leading
to the EACCES error. Can you provide the output of 'mount | grep
debugfs' in the host when you're seeing the failure?

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https://bugs.launchpad.net/bugs/1551854

Title:
  LXD bootstrap issues on xenial

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