Windows 11 requires an internet connection and a Microsoft account in order to install, which is more restrictive than the previous version. The company isn't blocking the circumventions that allow for Windows 11 to be upgraded to a supported version. If you want to do a clean install and configuration of the system with a local account, you can use a tool calledRufus.
The app has been used by IT departments for years. The ability to remove the requirement of an online Microsoft account is one of the new features in the latest version of the software. It can be used on computers that don't have TPM 2.0, computers that don't have enough storage, and computers that don't have enough memory.
You have to keep your computer offline during setup in order to skip the Microsoft account requirement. The software is free and open source, so it's easy to use.
Microsoft irked some users as they upgraded to Windows 11 Home last year by requiring an internet connection and Microsoft account, and now with the latest 22H2 update, the restrictions are extended to Windows 11 Pro as well. Microsoft may use a watermark on those machines if they are able to circumvent the restrictions. It is possible for Microsoft to block software updates on machines that are not supported by the company.