Yes, we have multiple applications running on the same JVM (because of Wildfly), with both internal and external APIs. We have a reverse-proxy, but we don't set X-Forwarded-For for all requests, only for specific applications.
We don't necessarily distinguish between internal and external applications except that the internal application URL/ports are not exposed outside of our network. Though, some endpoints receive both internal and external requests.
As internal requests almost never goes trough the reverse-proxy we will make the reverse-proxy remove the traceparent HTTP header for all requests and see if that works for us.