U4025QW on MacBook Pro M2 Max - Thunderbolt Daisy Chain "Optimized" required?

Just received my U4025QW. Connected to a MacBook Pro M2 Max via the provided Thunderbolt cable and got a black screen ("No Thunderbolt signal from your device"). However, if I change the Thunderbolt Daisy Chain setting from "Standard" (the default option) to "Optimized", the monitor works.

Is this normal? I don't want to daisy-chain multiple monitors, I just want to connect my MacBook.