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Can I seal and paint the raw edge of sheet rock?

Is there a way to seal the raw edge of sheet rock so that it will not crumble and can be painted?

The sheet rock in our living room is proud of beams in the wall in some places (see photos).

To try to correct this, I’m told options include (1) removing the sheet rock and shaving the studs so that sheet rock can be set deeper into the wall and/or (2) replacing the existing sheet rock with thinner sheet rock or something else that’s thin to try to eliminate that part of the wall from being proud of the beam. I’m hoping for a simpler solution.

Is there something that can be used to seal the raw edge of sheet rock so that it won’t crumble and can be painted? That way, we could even out/neaten the sheet rock edge, stabilize it (it’s not crumbling but the raw edge begs the question), and paint it with the rest of the wall. The sheet rock would still be proud of the beam in some places, but the room would look more finished. It’s an old house, so irregularities are understandable.

Thanks in advance for any help with this!!

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