Thanks, that is better option for TPM. I tried it, and it works, so I guess I will not be needing encrypted VM ( although original question is still interesting one).
Curiously, while Windows recognized this new vmware TPM (and it was possible to activate "Memory Integrity" , and even "Credential Guard"), it did not recognize TPM from Power Shell (get-tpm failed ), and it was also not possible to activate "System Guard" (aka "Firmware protection" aka "Secure Launch"). When "Secure Launch" is set up via Group policy, it get shown as 'configured', but not as 'running'. Alternative was to use suggested 'tool' to install it , but that tool uses PowerShell script which uses aforementioned get-tpm which does not recognize tpm.
I'm not certain if PowerShell "get-tpm" is not working due to bug in PowerShell or due to vmware new TPM implementation. But that is not so important issue for me, since new vmware TPM works without problems for my main purpose ( compliancy with basic Windows 11 requirements, and "Memory Integrity").