Since the FF8 update, all bookmarks were lost and none of the recommended methods for restoring lost bookmarks work; I always get "Unable to process to backup file" even though the backup .json files still exist
Since a FF8 update, all bookmarks were lost and none of the recommended restore methods work, even though I have been able to find the backup ".json" files; I continually get "Unable to process the backup file" for all methods of importing or restoring the bookmarks from the .json files. As others note, I can also no longer add any new bookmarks to my now empty bookmarks tab. My profile has not changed, so that's not the problem. This is really a pain.
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Did you try to delete the file places.sqlite to make Firefox rebuild the places.sqlite database file from a JSON backup?
A possible cause is a problem with the file places.sqlite that stores the bookmarks and the history.