Nvidia is supported on WSL2, which is a VM, so that shouldn't be the issue.

https://docs.nvidia.com/cuda/wsl-user-guide/index.html

WSL is a special case, the only case where this is allowed, to my understanding, outside of datacenter-class GPUs. Early in WSL2's life there was a special NVidia driver you had to download from Microsoft which allowed the GPU to be partitioned only by WSL. Now this functionality is built into the normal driver that NVidia distribute and doesn't require a special download.