Answer by ZZX for WSL Ubuntu Distro | How to solve `Operation not permitted` on cloning repository

I was having the same issue. My solution is to git clone my repo in the default WSL location (it works), and use Visual Studio Code to remote access my WSL's repos. That way you won't have to use /mnt/c at all.

Links: https://code.visualstudio.com/docs/remote/wsl