Interesting
Your project in IAR 9.40.2
Fails the same way with Jlink, it wonders around instead of break on main()

BUT it stops correctly at main with CMSIS DAP!
Although it still has verification error:

AND only stops at 2nd attempt of running after programming.
(first time it seems to wonder in RAM, not in flash!)
And after that I let it go and see blinking!
Very weird, please see the video
https://youtu.be/iOjWRgYwe8E
My Blinky fails with both JLINK, and CMSIS DAP debugger.
But all files are the same! (so SDK is the same)
Side note, Post build still fails in yours:

I do have python in PATH.
But IAR can generate .bin/.hex outputs, so no post build is needed, especially for blinky.
So questions
why it fails with JLINK on mine? (I have jlink v7.92 latest, no problem with QN9080/STM32s)
are you using JLINK?
why the verification error with CMSIS DAP?
Why it only works for the second time?
Could you do the same process on a fresh PC?
with IAR 8.x if possible
with these settings:


you shouldn't get a verification error,
it should stop at main on first attempt,
and it should blink after you let it go.
It was far easier with QN9080 to get started.
If we could solve this in 1week that would be great, we are behind schedule.
Thank you!
UPDATE:
setting this to zero turned my blinky into your blinky, thus fails the same way
<name>TrustZoneModes</name>
<state>0</state>
In led_blinkyv8.ewp
Please update your SDK templates with this.