I just restarted my PC and now it lets me sign in with my xbox account and game works... i dont even know man, this is some witchcraft man.
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@unnecesaurus You are a god damn hero man, got it downloading. THANK YOU!
Some people on reddit says it works when you are logged in on your Microsoft account and start it from store, but doesnt work for me.
Game launches in 2h 45 mins so this error might be because that or something else.