It is strongly recommend to use driver version 396.24.02. You can get them here: https://developer.nvidia.com/vulkan-driver
Installed the driver version 396.24.02. The Arcade Editor still does the same above.
As a side-note; Far Cry 5 (base game) works on both Nvidia driver version 390.59 and 396.24.02.
The log is pretty clear about what's wrong:
err: DxvkSurface::createSurface: Failed to create win32 surface
This is not something I can fix, sadly.
Nothing extracted yet.
Software information
UPlay version of Far Cry 5 Arcade Editor.
System information
Apitrace file(s)
Log files
d3d11.log: ArcadeEditor64_d3d11.log
dxgi.log: ArcadeEditor64_dxgi.log