Last I checked those converters do not support HDMI 2.1 features like VRR. If the end output is HDMI 2.0 you might as well skip the middleman.

There is extensive discussion about adapters in the bug report thread, it seems that some adapters do actually support HDMI 2.1 features, but it depends on their chipset and firmware version. I got a CableMatters one that seems to work, to the best of my ability to test without my TV having a diagnostic panel to show info about the signal it’s receiving.

https://gitlab.freedesktop.org/drm/amd/-/issues/1417

The Steam Deck dock supports this, for instance.

are you implying that DP-HDMI cables have some active components in it that modifies the signal?

Yes. There is dual-mode Displayport which works with passive adapters, but I've never actually seen it and type c doesn't support it at all.

Yes, some of them do. “DisplayPort++” ports support passive HDMI converters, while “pure” DisplayPort outputs do not.