Right. This is just a USB-C to DisplayPort adapter except it's Thunderbolt so it can do two DisplayPort signals. It doesn't add DSC. DSC comes from the GPU, not the adapter. The adapter takes two DisplayPort connections from the GPU, each up to HBR2 x4, or one HBR3 x4 and one HBR x4.New development. Wonder if this helps?
- Single display up to 8K @ 30Hz or 8K @ greater than 30Hz with DSC
OWC launches new ‘Thunderbolt to Dual DisplayPort Adapter’ for Mac - 9to5Mac
The folks at OWC are out with a new accessory today that could prove useful for Mac users. The new...9to5mac.com
OWC Thunderbolt (USB-C) Dual DisplayPort Adapter
Easily add 4K, 5K, or 8K displays to your computer and enjoy stunning lifelike images, increased productivity, and enhanced gaming.eshop.macsales.com
EDIT: My bad, just remembered DSC isn't supported on the Dell. Ignore.
The interesting thing about the OWC adapter is that the Thunderbolt cable is detachable. The similar adapter I have is https://www.amazon.com/dp/B07S8W49T1
What you need is an adapter that takes one GPU DisplayPort 1.4 connection with DSC (up to 8K60) and converts it to two DisplayPort 1.4 signals for the UP3218K.
The kind of circuitry needed for this is probably something like the display driver boards that people use to create 5K displays
https://forums.macrumors.com/threads/diy-5k-monitor-success.2253100/post-30255292
https://forums.macrumors.com/threads/8k-or-8k4k-display-support-in-macos.2221938/post-30068514
Such an adapter could eliminate issues with dual tile displays (macOS doesn't support arbitrary dual tile displays, only 4K MST, 5K2K, 5K, 6K) and it reduces the number of DisplayPort connections from a GPU so you could connect twice as many dual tile displays.
There's a series of videos about DisplayPort 1.4 on Intel FPGA. I don't know if it's powerful enough to take 8K60 (HBR3 x4 + DSC) and do two outputs (8K/2 60Hz). It's probably super expensive to create. There's probably other alternatives that are also expensive.