Youtube and Netflix videos freeze when audio output is Headset, but play with no issue with Speakers

[CaptPea]

I have a MSI Mag Tomahawk x570 Wifi.
I have a headset connected to the jack ports in the back and speakers connected to the S/PDIF port.

First I couldn't get audio via the optical port. I saw that this was an issue due to the MB ID, updated the UCM files. Now audio works well. Except for one thing.

When I play audio via the speakers, I can watch youtube and netflix videos via the browser with no problem.
If I play the same videos using the Headset as audio output, audio plays but the video freezes.

I already tried everything:
Ufw firewall turned off
cleared cache and cookies
Disabled all my extensions and ad blocker
VPN disabled, same issue
turned off hardware acceleration on the browser
Tried Brave browser, same thing happens
On my windows partition (installed on a different SSD), it works with no issues. Phone too, so I am sure it is not an internet connection issue.

Also, same issue happens with youtube videos sent on Discord.
The issue is also there when playing local video files instead through the browser.

It is clear it has something due to with the audio. As I can recreate the problem in real time by switching between the speakers and headset as the video plays.

Did anyone went through something like this or as any idea what I should do?

Some info about my system, I don't know if it helps.
CPU: AMD Ryzen 7 5800X (16) @ 3.800GHz
GPU: 6950 XT
RAM: Corsair 16Gb 3200
MB: MSI Mag Tomahawk x570 Wifi
SSD: Samsung 980 Pro