Processes in Microsoft 365 for setting up Office apps, redeeming product keys, and activating licenses.
If your macOS is below 12, Office products will now enter reduced functionality mode. In other words, the OS is too old to receive the licensing update the Office now requires. Sorry.
This is an update that occured on July 13th and Microsoft shared it here: https://support.microsoft.com/office/update-microsoft-365-or-office-on-your-macos-or-ios-device-f418ae5d-bb5f-4078-b3d9-9340f5dd084e?apid=ets
If your device cannot update its OS to at least 12, your options will be: Use the web version or an alternative like LibreOffice. Installing an older version unfortunately will not help.