I'm presenting the information I had used to get around the same problem. Good Luck... I'm just quoting someone else, but it worked for me.

i think i found a workaround:

you need to set

mainMem.useNamedFile = "FALSE"

in your VMs vmx file.

this is because FUSE doesn`t support every type of mmap() system call variants.

i was able to create a vm on ntfs-filesystem with that setting, created a virtual disk and boot a rescue linux into that. then formatted /dev/sda1 and wrote some data into that. seems to work!

PLEASE be carefully with doing this, too. don`t risk your data - you are entering new and unexplored terrain. don`t use your precious and existing VMs from your window`s ntfs partition. create a new, dedicated one. setup some test VMs, play with that. report your experience.

we will know later, if this works stable/reliable.