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BLaZiNgSPEED,
I am going to explain this one more time and show you an example. The first time that Windows 10 or 11 is activated on a motherboard with
ANY product key - retail, OEM, entered by the user or retrieved from the motherboard's firmware - a digital license is created on Microsoft's Activation Servers with only two "tags" associated with it - the unique hardware ID of the motherboard and the edition of Windows 10 or 11 (IE: Home, Pro, Education, etc.). That's it. Nothing else. No Microsoft Account information and no product key information is stored with the digital license. Only 2 things - the unique hardware ID of the motherboard and the edition of Windows 10 or 11 - period. In order to reactivate the same edition of Windows 10 or 11 on the same motherboard all that is required is a generic product key that millions of other Windows 10/11 computers worldwide are also activated with. There is nothing that the user can do to change or erase the digital license that is stored on Microsoft Activation servers. It is there permanently, only Microsoft can delete it, and I have never seen nor heard of Microsoft cancelling or erasing a digital license once it has been created.
Proof: I give you an Asus ROG motherboard that I previously activated Windows 10 on. You clean install Windows 10 Home on it with no product key and only a local account. Your Windows 10 Home is not activated because there is no product key. You install the generic Windows 10 Home retail product key and Windows 10 Home activates on the retail activation channel - with absolutely no information provided regarding the initial source of the digital license. Well, you are going to ask, what about OEM. Let's change the product key to the generic OEM Windows 10 Home product key. Guess what happens? The same Windows 10, on the same motherboard, with the same local user account now activates on the OEM channel.
This example in no way affect's the user's ability to reuse a retail product key because Microsoft does not attach product keys to digital licenses. Also, this does not affect your ability to transfer the digital license if it was previously linked to your Microsoft Account. This link to this motherboard's (device) digital license will remain on my Microsoft Account until I delete it. Multiple Microsoft Accounts can be linked to the same motherboard digital license. Just because someone else logs onto the same motherboard with a different Microsoft Account does not remove the link to it on the first Microsoft Account.
I hope this finally proves that my explanation is true. Microsoft has changed their policies many times regarding digital licenses over the life of Windows 10. What I am presenting is their current policy. If you read something else on the internet, it is either outdated or they don't really know what they are talking about.