Looks like Microsoft is finally working on "Portable Mode" for Windows Terminal

Almost three years back, Amit Hegde, a senior software engineer at Microsoft, suggested having a portable version for Windows Terminal, making copy paste jobs easier. An issue #1386 was opened on the Windows Terminal GitHub page where Hegde explained:

Having a portable version of terminal makes it easy to copy paste on machines some times on servers. Having to install from store is not convenient.

The issue was heavily upvoted showing that it was something people were certainly interested in. Fast forward to 2023, it looks the feature could finally be arriving soon. Spotted by Twitter user and leakster Xeno, a new pull request (#15051) related to Windows Terminal "portable mode" was pushed by Dustin L. Howett. Here's what the pull request (PR) for the new portable mode says:

This pull request implements portable mode for Windows Terminal, which
will make side by side deployment of different versions generally more
feasible.

Portable mode was specified in #15032.

There are three broad categories of changes in this PR:

1. Changes to settings loading.
2. A new indicator in the settings UI plus a link to the portable mode docs.
3. A new application display name, Windows Terminal (Portable), which users will hopefully include in their bug reports.

A new documentation page for Windows Terminal Portable mode is already present on Microsoft's website, though at the moment it does not contain any information as the feature is not publicly available yet.