ASP.NET Core Windows authentication keeps asking for credentials in IIS Express

Question

I am working on an app in ASP.NET Core 7 that uses the Windows Authentication and it asks for the domain credentials every single time I run the solution form the VS through the IIS Express. I run it under my domain account, so I expect it should get authenticated through it and there is no need to ask for the credentials again.

By now I tried these things, but without any success:

• windowsAuthentication: true, anonymousAuthentication: false in launchSettings.json
• forwardWindowsAuthToken=true in web.config
• add https://localhost to the Trusted sites or Intranet zone and allow authentication to the intranet zone
• windowsAuthentication enabled=true and both negotiate and NTLM providers in applicationhost.config (both in IIS Express folder and solution .vs folder)
• IIS options AuthenticationDisplayName = Windows and AutomaticAuthentication = true in the app builder

Nothing of these helped so far and I need to put in the credentials regardless the browser used (Chrome/Edge).

If I cancel the credential request, I get 401.2 - Unauthorized, You are not authorized to view this page due to invalid authentication headers.

How could I get rid of it and get authenticated properly using the Windows auth?