Bump:
Grabbed a M1 Air and Having the same situation.
Tried with a copy of the app built on my other machine, but included the signing cert from the m1 in the Provisioning profile. Failed with that same error
Migrated the whole project over to the M1 and built it on the machine Finalized Build on the own machine with automatic codesign enabled (M1s Certificate + iOS Dev Team Wildcard Profile) and still fails to install with this error
Tried using tools I've used in the past like xresign/iOS App Signer to quickly try resigning it on the M1:
Still Nothing, friend had the issue, and as soon as he installed xcode and generated a new cert and profile for his M1 Pro, resigned and the issue went away XD
Totally out of ideas here.