Doesn’t sound that great from uploadvr: Dynamic occlusion should make mixed reality on Quest 3 look more natural. However, the headset’s depth sensing resolution is very low, so it won’t pick up details like the spaces between your fingers and you’ll see an empty gap around the edges of objects.

The depth map is also only suggested to be leveraged out to 4 meters, after which “accuracy drops significantly,” so developers may want to also use the Scene Mesh for static occlusion.