Multiplayer is disabled ONLY when using launcher (green creeper) - on my new laptop

What I expected to happen was...:
When I open the game through the launcher (green creeper) on my new laptop I expect to be able to play multiplayer - like I always did on my older laptop.

What actually happened was...:
When opening the game through the launcher (green creeper), "Multiplayer" and "Minecraft Realms" are both grayed out with the following message.

"Multiplayer is disabled. Please check your Microsoft account settings."

More context information:

On[ www.microsoft.com,|about:blank] all the necessary privacy settings to play Online are allowed, like "You can play with players outside of Xbox Live" or "Join multiplayer settings".

When opening the game through the legacy launcher (white creeper). multiplayer works fine.

When opening the game through either launcher on my older laptop with the same account, multiplayer also works fine. ONLY the launcher (green creeper) on my new laptop is affected by this problem.

This bug also only affects Minecraft: Java Edition - I can play "Minecraft for Windows" multiplayer with both launchers on my new laptop

Steps to Reproduce:

On my new laptop:

1. Open "Minecraft Launcher" (green creeper)
2. Press "PLAY" on the "Minecraft: Java Edition" tab
3. "Multiplayer" and "Minecraft Realms" are grayed out