TouchID deserializing after disassembly?

Specs:

MacOS Sonoma Build # 14.1 (23B74)

Ram: 32GB

Storage: 2TB

Graphics: Dual Graphics AMD Radeon Pro 5500M + Intel UHD Graphics 630

So here's the thing, I received this MacBook from the marketplace from an elderly woman who gave me a great deal on it. After receiving, I installed a fresh OS of Ventura and setup the system normally. AppleID, TouchID, and passcode all set as normally and functioning normally.

This laptop runs fantastic and is my daily driver, but a few weeks later, I decided I wanted to repaste the cpu for adequate cooling since the old paste was a bit crusty. I will note that I am experienced with disassembly, and if there was something I didn't know, I simply followed the ifixit guide.

After successfully assembling everything back together and successfully booting back into MacOS (upgraded to Sonoma at launch), I unlocked my laptop with the passcode naturally. Noticed that the temps were fantastic and didn't notice the problem at hand until I needed to unlock my MacBook again.

See when I needed to use it again, I needed to use the passcode again, and at first I thought it might've been a time limit thing. So I locked the laptop, and tried to unlock it again with my fingerprint, only to find that my fingerprint wasn't working. So I figured, no problem, I'll just register a new print, only to find that no matter what I tried, I kept getting the "TouchID failed" message. I also found that the button altogether was not responding at all, no matter how long I held it down, it didn't shut down, or turn the display off at all. There is no liquid damage, or overuse at all. I contacted apple and went through the steps they provided, no luck. I proceeded to search online for possible fixes and tried everything. I even took it back apart to make sure that the ribbon cable was fully seated and not damaged, even in the slightest. After confirming that it wasn't hardware, I continued my search online.

I eventually came across this thread on another forum saying something about the TouchID being "serialized", which left me with a sinking feeling as I have no idea as to how to serialize the TouchID.

Would it be possible that the TouchID was "deserialized" during disassembly? If so, is there a way to fix this issue without paying the premium at apple to get it "repaired". They quoted me over $300 for the "repair" and I highly doubt that its a hardware issue, more like apple's way to stop the "right to repair" by serializing all of their components and likely deserializing components during disassembly without an authorized apple technician.

If this is the case, will an apple "repair" be my only option, or is there a solution to this?

Thanks for the patience with this long intro, and thanks for any input.