Can't connect to remove libvirt/KVM servers using Virtual Machine Manager after tumbleweed update

I have two laptops which I use as my primary and my secondary office machines, both of which are running TW, and are updated to the latest version on a bi-weekly basis.

However, due to the many projects at hand, I had no chance for updating either for a while and only managed to do so they day before yesterday. They were both on 20201216 (Kernel 5.9.14-1) and were updated to 20210208 (kernel 5.10.12-1).

I use Virtual Machine Manger on both to connect to a good few virtualization servers running mostly MicroOS and a few which are still running on Tumbleweed. Today I realized that I cannot connect to either of the said servers using the VMM on either of the laptops. the VMM keeps popping up password entering window despite entering the correct password every time, and ultimately prevent me from connecting due to numerous wrong credentials being used.

Interestingly I can SSH into the aforementioned servers from both laptops from the command line using the very same password that VMM keeps insisting is wrong.

I checked the user groups and the main user on each laptop is still a member of both the KVM & the libvirt groups locally. Neither of the servers had any updates or OS configuration changes in the meantime.

Reverting back the Primary laptop to 20201216 using snapper rollback got me back to working state so that I can carry on with my daily activities.
I have yet to roll back the secondary laptop and would very much like to know what the issue may be before doing so, and preferably to fix the issue and not to rollback at all.

Any help is much appreciated.