Hi,
You can use group policy or registry key on the terminal server to set the Encryption Level.
Group Policy:
Computer Configuration\Windows Settings\Security Settings\Security Options - System cryptography: Use FIPS compliant algorithms for encryption, hashing, and signing
Registry:
[HKEY_LOCAL_MACHINE\SOFTWARE\Wow6432Node\Policies\Microsoft\Windows NT\Terminal Services]
“MinEncryptionLevel” REG_DWORD set the value to 4
[HKEY_LOCAL_MACHINE\SYSTEM\CurrentControlSet\Control\Terminal Server\Winstations\RDP-Tcp]
“MinEncryptionLevel” REG_DWORD set the value to 4
For your reference
https://learn.microsoft.com/en-us/windows/security/threat-protection/fips-140-validation
Thanks,