Materials go under 3D section in User assets, error when trying to add those in a project

Steps to reproduce:

• Create a 3D project
• In Material Browser, right click Default Material and choose "Add to Content Library"
• Open Content Library -> User Assets
• -> Materials should be under "Materials" section, but instead added material is under 3D section
• Add material to project by clicking +
• -> "Invalid property name "x"" error seen, material not added.