I think this may be a conflict with Bitlocker, who some commenters have noted they have installed. I do too.
I don't understand why my login error says I failed multiple times to insert the proper PIN. I got the failed pin msg. even though I never attempted to insert it.
I solved this problem after noting that the challenge phrase is case-sensitive. And that using caps lock does not produce capital letters. You have to use the shift key to capitalize the letters in the challenge phrase.