About modeset, ie Kernel Mode Setting being required or not I found this about https://wiki.archlinux.org/title/Wayland#Requirements 5.1 that "Enabling DRM KMS is required.". THe next link points to https://download.nvidia.com/XFree86/Linux-x86_64/515.48.07/README/xwayland.html which tells that: " Requirements
The following are necessary to enable accelerated rendering on Xwayland with the NVIDIA driver: - DRM KMS must be enabled. See Chapter 36, Direct Rendering Manager Kernel Modesetting (DRM KMS) for details. - The installed copy of Xwayland should be a build from the master branch of https://gitlab.freedesktop.org/xorg/xserver at least as recent as commit c468d34c. Note that if this requirement is not satisfied, the NVIDIA GPU can still be used for rendering, however it will fall back to a suboptimal path for presentation resulting in degraded performance. - libxcb version 1.13 or later must be present. - egl-wayland version 1.1.7 or later must be present (if installed separately from the the NVIDIA driver). - If using the GNOME desktop environment, kms-modifiers must be enabled through gsettings. This can be done with the following command gsettings set org.gnome.mutter experimental-features [\"kms- modifiers\"] " So currently, once logged in gnome wayland without modeset enabled, you should not have Xwayland application (most games) running hardware accelerated. To not end up on software acceleration you have to enable KMS (by the settings I sent you previously) and also setting an experimental feature in the gnome session: gsettings set org.gnome.mutter experimental-features [\"kms-modifiers\"] maybe you can check if you are on software acceleration on Xwayland with glxgears/glxinfo . Maybe you can send your glxinfo output without nvidia modeset set and logged in a wayland session? Kind regards, Alban