Apple

I searched here on the sub but couldn't find anything on the FAQ so I'll post this here.

One of the deal breakers for me is the Apple Watch unlocking my Mac and perhaps being able to use it with the Mac, rather than Touch ID, to unlock other things like payments, passwords and things like that on the Mac (the latter don't even know if it's possible).

When I open my Mac's (M2 - Sonoma) System Settings, on Touch ID and Passwords, I've read there's supposed to be an Apple Watch unlocking session to the right. That doesn't appear to me on the Mac. The watch is connected to my iPhone, both with the same Apple ID and on the same network. Am I missing something?