I'm having the exact same issue. I got my rift s about 4 days ago and I still can't get past that screen. I get a glitchy, black and white camera feed showing my room with a menu to continue, but the controllers don't move and can't interact with the menu. Also, strangely, if I start guardian setup from the app, my headset's screen doesn't turn on, but if I close the app, then put on the headset (which then turns the app on automatically) then my headset's screen shows the camera feed. I have no idea what's up.