Microsoft Windows uses technologies like UAC (User Account Control) and UIPI (User Interface Privilege Isolation) to prevent and/or mitigate security issues. By default, UAC and UIPI are enabled.

When an VM process is running with a higher so-called privilege level than another process that wants to interact with the VM process via drag'n drop (or system clipboard), Windows prevents this by default due to security reasons. This results in not being able to receive any Windows messages for drag'n drop. To make this work, the VM process must be running with the same (or lower) privilege level as the process it is interacting with using drag'n drop.

Disabling UAC and/or UIPI is not recommended.