Clean install of windows 10 or 11 on parallels 17. Chrome will not download anything it says failed - download error. Edge works fine. Chromium (arm build) works fine also but you can sign in/sync with chromium. At the moment I am using Chrome Canary (the dev build) and that also works. It is only the current 64 bit build of chrome that seems to have this issue.
I don't use Chrome on Windows, but I do use it on the Mac side - also it is an M1 iMac - because a certain banking site and their downloads don't get along with Safari. I just opened it and there is an update for Chrome apparently - Updating Google Chrome Version 93.0.4577.82 (Official Build) (arm64) Perhaps check if there is also an ARM64 update for Windows 10/11.
There is apparently a newer version than the last post. Version 94.0.4606.61 (Official Build) (arm64) that ended up getting installed. Again for Mac. Don't use it on the Windows side of things.
Haven't had any issues on the MAC version. There is actually an ARM build of Chromium but Chromium dosen't support sync.