@Baggio7 - This worked for me, too (Windows 11 PC). My situation was that I had iCloud Drive working for months, syncing to C:\Users\[MyName]\iCloudDrive. I had to reset my PC, and when I reinstalled iCloud, iCloud Drive wouldn't work.
Sometimes I got a message saying "iCloud Drive cannot run", sometimes one saying "Your iCloud Drive folder ... cannot be used", and sometimes it would just sit at "Initializing" but doing nothing.
Finally, I tried changing the folder right after turning on iCloud Drive in iCloud. Note that you don't pick the iCloudDrive folder, you pick the folder that you want the iCloudDrive folder to be in (the iCloudDrive folder is created automatically). I picked C:\Users|[MyName]\Documents, and then it worked. I guess it must be a permissions thing, but I'm no expert ....