Custom post category not displaying

Thank you, @StrangeTech for helping @Elflako out!

We appreciate your observation.

We understand that the current behaviour, where the Post Category is only visible for taxonomies within the Category taxonomy, may not be very intuitive for users.

Rest assured, we are planning on enhancing this feature to allow for more flexible display options and the use of multiple taxonomies without the need for the Taxonomy Terms block.
Our aim is to make it easier to customise the display and work with multiple taxonomies.