Hello,
this looks familiar. Are you by any chance running Mullvad VPN? If so, please take a look at HELP ! HELP ! HELP ! Cgroup2 related issue on ubuntu jammy with mullvad and PrivateInternetAccess VPN - #14 by tomp.
Otherwise could you please start LXD in debug mode, and share the logs? You can enable debug mode with snap set lxd daemon.debug=true.