Playing back videos in the Photos app on my MacBook Pro and I get the 'Unsupported Video Format' error. Video is choppy??

Hello,

I've been trying to figure this out for awhile so hopefully someone here can help me as I feel that I'm pretty tech savvy. I have an iPhone 12 Pro and a mid-2015 MacBook Pro along with the iCloud storage plan of 200GB per month. On my iPhone I have my settings setup to 'Download and Keep Originals' on the Photos setting and iCloud Photos turned on. I also have the setting 'Transfer to Mac or PC' on my cell set to Automatic.

On my MacBook Pro in Photos>Preferences>iCloud I have it set to 'Optimize Mac Storage' and obviously have iCloud Photos turned on.

Whenever I take a picture or video on my cell it does automatically show up in Photos on my Mac like it's supposed to but most of my videos that I play back are very choppy and have the warning error in the top right saying 'Unsupported Video Format'.

Do I need to change the setting on my MacBook from Optimize Mac Storage to Download Originals to this Mac to fix this problem?

Thank you in advance!

-Dave