I had exactly the same issue but managed to get around it by doing the following.
- Sign into OneDrive as per normal.
- When you come to selecting folders to sync and the location of where said folders are to be stored leave the location as it is but unselect all folders so nothing will sync.
- Click through and finish the setup.
- OneDrive will now show processing changes when hovering over the icon in the notification area.
- Right click the OneDrive icon in the notification area and go to Settings - Account and click Unlink this PC.
- A different style window will now be displayed with the same options as previos for selecting folders and where to sync them.
- Select the alternative location for folders to sync and (for me anyway) didn't then crash and sync'd perfectly fine.
Hopefully this helps someone as is a "fix" that I stumbled across and worked for me.