Microsoft OneDrive Now Supports NTFS Only

Following a recent update Microsoft's OneDrive now apparently only supports NTFS local drives, not FAT32 or even the newer ReFS filesystem.
While NTFS is the default file system in Windows, people using SD cards to extend the storage on small laptops and tablets will typically use exFAT. Similarly, people using Storage Spaces to manage large, redundant storage volumes will often use ReFS.
FAT volumes can be converted to NTFS while keeping data in place, but ReFS disks have to be reformatted.