Hi wise ones,
I do run into a weird problems with starting a VM located on a nested ESXi (vSphere 8).
In our LAB environment we do have multiple vSphere 7 and also vSphere 8 clusters.
While I'm able to start the nested ESXi on ANY of those platforms I struggle to start a VM inside the nested ESXI, depending on the vSphere Version used by the physical Cluster.
In short everything works fine when nested ESXi (and the VM) is deployed on top of a vSphere 7 Cluster.
When either deploying or migrating the nested ESXi to a vSphere 8 cluster I do receive the following message from the VM.

The .vmx file of the Vm which couldn't start doesn't contain any CPU related feature mask settings.
The physical platform uses EVC setting for Cascade Lake, additionally I configured the EVC settings for the nested ESXi,

Anybody aware how I could prevent problems with VMs run inside nested ESXi when the hosting physical platform is driven by vSphere 8?