Playing PC Game purchased through Steam and Xbox

That game is not available for PC through Microsoft. You would have to purchase it through Steam or someplace else that sells it for PC in order to play it on PC.

He is correct about unlocking multiplayer but dq builders 2 is NOT CROSS PLAY compatible

You can however share pictures cross platform that's it

Crossway is upto the developer not ms or sony thought sony blocked cross play till they were forced

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To unlock Dragon Quest Builders 2's multiplayer features, you must first complete the first island in the game. After Furrowfield is cleared, you can return to the island where the game started.
Look for a quest that involves a Stone Tablet. Once they complete this, they unlock Explorer's Shores, where they can access a portal on the beach to join Online Multiplayer.

Yes that's normal. That game is not available through the Microsoft Store for PC, so you would have to purchase it through Steam or somewhere that does sell it for PC in order to play it on the PC.

If you have Game Pass Ultimate, you can play it on both the console and PC. Same as if you bought it through Microsoft. The Steam version you bought will not work the same way since it was purchased through Steam and not Microsoft.