I have an M1 Mac mini running 3 Dell Ultrasharp 4k monitors. One is running off USB-C to a Dell U2720Q. One is running off the HDMI port to a U2718Q and one is running off a DisplayLink device to another U2718Q. The monitors are basically the same. It's the display ports that are different. The USB-C monitor can display 3,008 x 1,692 really well. The HDMI display can display 3,008 x 1,692 but the fonts are fuzzy. The scaling shows that this is a "low resolution" display scale. It can display 4k native resolution just fine. The highest resolution that I can use is QHD - macOS allows me to choose QHD or QHD (low resolution).
The 4k monitor off a DisplayLink adapter can display native 4k and HD clearly. Everything between HD and 4k is (low resolution). So basically three of the same monitors but three different levels of resolution support. At this point, I think that it's the display port types rather than the monitors. The USB-C port will go up to 6k and I suspect that the screen or windows gets rendered at 6k and downscaled to 3,008 x 1,692. So maybe you need to use 6k ports to get all of the nice scaled resolutions possible with 4k monitors. I do mean to test that out with my M1 Pro MacBook Pro which has two 6k display outputs.
Next to three monitors is my 2014 iMac 27 - this thing just freaking rocks the display. This iMac (i7, 32 GB RAM, 500 GB SSD) cost me less than a Dell Ultrasharp 27 inch 4k monitor.
So there is funny stuff with monitors but I'm not completely sure of the cause - I do know that the problem isn't the monitors.