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Technogeezer
Immortal
Immortal

You might be able to recover from this.

If your VM is encrypted with the "Only the files needed to support a TPM device" (a.k.a. partial encryption)., the virtual disk is unencrypted.  Save away a copy of the VM, then manually create a new Windows ARM VM. That will have the latest and greatest encryption scheme. dWhen asked for a virtual disk, use an existing virtual disk and navigate to the VMDK of your old VM. Opt to make a copy of that disk. Choose to encrypt only those files needed to support a TPM when prompted. 

Since you've essentially reset the TPM by creating a new virtual machine, you may need to revalidate your login the first time you power up (especially if you have used a Microsoft account and are using Windows Hello login features such as a PIN).

 

- Paul (Technogeezer)
Editor of the Unofficial Fusion Companion Guides