Looks like I’m getting the same exact error, happened for the first time today. I even made my own thread about it that goes a bit more into detail, but the gist of it is the same: the game freezes and stops responding for several seconds and when it comes back to life, the game reloads all of the assets. Event Viewer reports nvlddmkm error and the Display warning.
Fortunately I’ve only had this happen in Valdrakken so far, but it would suck if it happened in the middle of a dungeon run.
Something’s seriously wrong with Dragonflight’s optimization. Not only does it still run kind of meh even after upgrading to a high-end PC, but stuff like this shouldn’t be happening at all.