Hi
I'm having the same issue, after about 45 minutes of usage, the image on the screen turns monochrome and after about one and a half hours later, I stop getting feedback all together (screen freezes). I know that the system still runs because I am able to hear sound on my speakers.
The issue comes up much sooner if I just reset the machine (both on epyx fastload reloaded cartridge and dedicated power switch) after the issue occurred for the first time. I have to wait a longer period of time before the image output is again stable for longer periods of time.
I have mainly been playing games on the system, it'sva long list with which I'm not going to bother anyone.
At the moment I have a NTSC VIC-II connected to an active S-Video to VGA converter which is then connected to a VGA LCD.
I have a PAL VIC-II as well but the image on the LCD flickers when I use it, I suppose it has to do with the 60Hz refresh rate of the LCD and the 50Hz output of the PAL VIC-II. I have not tested if the monochrome image or freeze issues occur with the PAL VIC-II though, the flickering of the screen doesn't make for a enjoyable experience with the machine.
Further I am using your official power adapter, an original breadbin keyboard and Pixelwizard c64c case, the chips themselves on the board are either new or new old stock, I can provide a list of these if required.
Finally, I do have a theory about why this issue happens: the chip overheats somehow. That said, it does not happen with the same chip on an original breadbin C64 board. I swapped the VIC-II on that one and ran some demo for more than four hours, no monochrome image, no freeze. I even put the breadbin board in the same Pixelwizard c64c case and ran the test again, same result. This, according to me, means that the C64R-MK2 would be at fault for the aforementioned overheating problem.
Sorry for the long and explicit message but I thought that a deeper description of the issue and debugging steps taken would serve better to diagnose the problem.
Thank you and have a nice day,
Ralph