So exFAT can technically work if you Install Solid Explorer (free trial then $2 lifetime fee InApp Purchase, in my opinion well worth it as it's Solid) and their Solid Explorer USB OTG Plugin. Full Read/Write access for Fat32 and exFAT, NTFS Read only support. I actually loaded up my 64 GB Sandisk Extreme Flash Drive (exFAT formatted from Windows 10 pc), and took it on a trip with me to Disney World, so I could load movies and unload pictures of the family. I do have a 128GB Pixel XL, however I have a huge music collection I prefer offline, and ironically a lot of DayDream VR Experiences (it is space-consuming for offline copies such as Discovery VR etc, so those add up a Lot, but it does make for best experience as it is very heavy bandwidth dependent over wifi).
The USB 3.0 in my opinion doesn't exist for OTG, or at least with this adapter, I do have another adapter I think I'll try in a moment. However what I want to say is this flash Reads up to 245 MB/s and Writes at up to 190 MB/s, I usually average 100 - 200 on my pc. On this flash drive, just copying a file to phone from flash drive over exFAT apparently is limited to 0.5 MB/s. In other words it's going to take nearly 2 hours to copy over a 2.5 Gb file. It can still copy over with screen off, but I was thought it was ridiculous how much battery would be consumed and kept thinking if issue was UFS storage or drivers. I am on Android 8.0 November, will update to 8.1 clean install this week when February 2018 comes out. This actually did cause an issue for me using the original usb c to a cable on my pc, where it doesn't work and I have to use a specific usb c to a (2.0 version), which is still much faster than this. That issue though is because I 'dirty flashed' 8.0 over 7.1.2 without wiping. Only bug so far from that.