It seems to be just this sim. I played as a neighbor and they're able to do both. I sent them to my sim's house and they were able to cross stitch from her box.
@crinrict Thank you for the link. I just assumed the knitting and cross stitching issues were somehow related.
I uploaded her to the gallery. The household name is Greetings Mortals. I initially downloaded her off the gallery and she came with a bunch of skills maxed out (I wish the gallery told you things like that). I started a new save with the original copy and there were no issues, but I don't think this one had issues at the beginning either. I bought hoops off of one of the Crumplebottoms before ever trying to cross stitch, and I think I initially tried to start cross stitch through one of the hopes instead of the box and it didn't work, in case that matters.
