@Anonymous Thanks for posting your query on Microsoft Q&A.
Please check this documentation and ensure that your chosen Azure VM size supports nested virtualization: https://learn.microsoft.com/en-us/azure/virtual-machines/acu
The ones marked with *** are Hyper-threaded and capable of running nested virtualization. I am not seeing F8s in this document as supporting nested virtualization.
Please check and let me know in the comments. Thanks.