Hello, I have the same issue. When I use my Oculus Quest + Virtual Desktop while Driver4VR is active there is no option in Virtual Desktop to get into VR mode. SteamVR says that the headset is in Stand by: “Put on your headset to wake VR”. If I disable Driver4VR from steam drivers, everything works correctly. My head tracking option is “OFF – I have my own headset tracking” but Driver4VR itself seems to detect the HMD as it shows up in the Devices tab as: “Vive. MV – LHR-” and some numbers.
I hope this gets fixed soon.