So it seems it´s not an Opera issue per se, but rather Windows being dumb. I am interacting with web browser the most on this laptop and I didn´t encounter this behavior when using Firefox. Anyway I found out Word and some other 3rd party software had the exact same issue. It seem like an issue with Quick Access. So I purged the Quick Access data and in Explorer settings switched from Quick access to This computer, rebooted and so far it looks ok. Gosh I really hate Windows 11.
Opera for Windows