"Give Nickname" setting will also control whether an Egg gets a memory upon hatching (Sword/Shield)
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Thanks SpiritGunner for reporting this and Anubis (@Sibuna_Switch) for the tweet. I made a video demonstration for it. ^^
If you enable "give nicknames", your Egg will have a memory. If disabled, it won't get a memory. If it hatched with the setting off, unfortunately changing the setting back to "give" won't enable it.
It was assumed to be a glitch, and it doesn't actually matter if you nickname the Pokémon (with the setting on).
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