VSCode has extensive control over folding, including custom fold sections. AFAIK auto-folding after opening a file isn't implemented, but there's extensions for that, like: https://marketplace.visualstudio.com/items?itemName=bobmagic....

I try folding from time to time but never really can get used to it (even though I work on massively big source files where folding function bodies actually should make sense). If your code requires code folding to be readable, it's really better to restructure your code to be more readable (and often it is better to not hide complexity because you can see immediately where the gnarly parts are - and by hiding those you're not doing anybody a favour).