Hi,
It seems it's not related to encrypted storage because surprisingly my storage gets mounted and I can use it normally after boot.
I enabled those two configs anyway but without any impact.
I have attached kernel boot log. Please have a look.
There are couple of weird things in the kernel log for example:
[ 5.834128] imx-bus-devfreq 32700000.interconnect: failed to fetch clk: -2
[ 5.842063] imx-bus-devfreq: probe of 32700000.interconnect failed with error -2
Devfreq drivers are enabled in the kernel.
Then I get the warning regarding the CAAM and messages that deferred probe pending for various platforms. After boot devices like I2C, ETH are not available.
I ran into the same issue on a different HW board so it's not a HW issue.