Problems with Universal Control - Not Working

Hi guys!

Sooo 2 days ago I bought latest iPad Pro 12.9 Inch M2 to use lovely feature to Screen Mirror from Mac to iPad to help out in my work productivity and also to work remotely on iPad. But the problem is... it is not working!...

I tried comparing my Mac with other models and on every other it is working just on mine it wont.My buddy has the same model of MacBook Pro M1 14-inch, 2021, so I used that one to compare options with mine MacBook Pro.

So for the reference will name my Mac as "Mac1" and my buddy's Mac as "Mac2"

Following troubleshooting stuff I did next:

• MacBook Pro M1 (14-inch, 2021) is updated to the latest MacOS Ventura 13.1;
• iPad Pro M2 (12.9-Inch, 6th Generation) is updated to the latest iPadOS 16.2;
• /need to mention that i had the same issue before updating the OS on both of devices
• Both devices are connected to the same Apple ID;
• Both devices are connected to the same WIFI;
• Both devices have Bluetooth turned on;
• Both devices have Airplay & Handoff set on and properly;
• On Mac1 "Advanced settings" for Universal Control are set properly (img1).

What else I tried while reading stuff on internet and what I discovered on my own:

• Tried to restart devices and settings many times - didn't help;
• Connected Mac1 and iPad with cable - nothing happened (I could access the iPad files tho and charge iPad), BUT when I connected it to Mac2 with cable - settings pop-out and it could Share Screen;
• Mac1 Screen Mirroring - dropdown is empty the whole time, sees nothing. (img2)
• Mac2 Screen Mirroring - dropdown has Mac1 visible and iPad visible;
• iPad can see and Screen Mirror to my Mac1 (img3);
• Mac1 does not have "+" option to add new display in Display Settings (img4);
• While Mac2 does have (img5);
• Mac1 - there is no sign of UniversalControl.app running when I look at Activity Monitor (img6), which is not the case on Mac2 (img7).I tried finding and running UniversalControl.app manually but still even when it is "running" (I see the process in Activity Monitor) nothing happens.

I didn't tried: to reboot the OS on my MacBook. (which I hope it will solve the problem)

Other notes: I am an artist. Coming from Win to Mac (and I really liked it) so after 10 months of using MacBook I wanted to replace my XP-Pen Artist Pro display with something more professional, more compatible with MacBook and with option to work fast and remote - so I bought iPad. I did uninstalled XPPEN driver in case that this driver is interfering with Screen Mirroring and the Dispaly settings. Anyway this did not solve the problem.

Hope someone will help me fix this problem!