Getting 401 when attempting to signup or login in django allauth react-spa example

I am very new to using to Django-allauth, I'm wanting to integrate it with my Django backend. I was trying to use the react-spa example outlined in the docs https://react.demo.allauth.org/, but I 401 error when sending either a signup or login request. Why is this happening?

The response looks like:

{
    "status": 401,
    "data": {
        "flows": [
            {
                "id": "login"
            },
            {
                "id": "login_by_code"
            },
            {
                "id": "signup"
            },
            {
                "id": "provider_redirect",
                "providers": [
                    "dummy"
                ]
            },
            {
                "id": "provider_token",
                "providers": [
                    "dummy"
                ]
            },
            {
                "id": "mfa_login_webauthn"
            },
            {
                "id": "verify_email",
                "is_pending": true
            }
        ]
    },
    "meta": {
        "is_authenticated": false
    }
}

I understand that the flows array indicates those are the methods to authenticate. But how can I authenticate if the login / signup method preventing me from doing so?

Steps to repro:

1. I ran this example locally, cloned it here https://codeberg.org/allauth/django-allauth/src/branch/main/examples/react-spa
2. Ran docker compose up
3. Visit localhost:10000, when to signup - entered email and password + password confirmation. Request was successful and I was redirected to the enter email confirmation code screen
4. I didn't input the code in step 3. Instead, went back to signup page to enter my actual email to get the code and input it. Tried using that email and got a 401 response.

I was expecting to be able to successfully send the signup request, but this was not the case. Any help appreciated :)

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