Looks like both DMDE & R-Studio support APFS. R-Studio supports Monterey, but I don't see where DMDE mentions OS. As you can see from the screenshot, I tried to use FAT32, so it'd be compatible with Apple & Windows, but it looks like it only created a small partition & the files were still saved as APFS. I actually had a similar problem getting it to show up before reformatting, but I didn't lose any date then - guess I shouldn't have trust this USB to work fine after that, but I needed the space.
The drive in question here is the 1TB USB. I didn't mention the internal SSD, because it's irrelevant here, since it doesn't even show up. Which is why I said I could try the 2020, if an external SSD isn't powerful enough or something like that, but as mentioned, I'd rather not use it, because it seems to be a bit off.
Not sure where I should add those bits & to which commands..
/dev/disk1 (external, physical):
#: TYPE NAME SIZE IDENTIFIER
0: GUID_partition_scheme *500.1 GB disk1
1: EFI 209.7 MB disk1s1
2: Apple_APFS Container disk2 499.9 GB disk1s2
/dev/disk2 (synthesized):
#: TYPE NAME SIZE IDENTIFIER
0: APFS Container Scheme - +499.9 GB disk2
Physical Store disk1s2
1: APFS Volume OWC Mercury On-The-G... 164.8 GB disk2s1
2: APFS Volume Preboot 302.0 MB disk2s2
3: APFS Volume Recovery 1.1 GB disk2s3
4: APFS Volume VM 1.1 GB disk2s4
5: APFS Volume SSD 15.4 GB disk2s5
6: APFS Snapshot com.apple.os.update-... 15.4 GB disk2s5s1
/dev/disk3 (external, physical):
#: TYPE NAME SIZE IDENTIFIER
0: GUID_partition_scheme *1.1 TB disk3
1: EFI EFI 209.7 MB disk3s1
2: Apple_APFS Container disk4 1.1 TB disk3s2