Yes, Xbox Game Pass can work with Steam.
Yes, Xbox Game Pass can work with Steam.
Check if Palworld works with Steam and the PC Game Pass version.
The Steam edition isn't currently compatible for crossplay, but the developers are working on it for future Xbox/Steam integration as outlined in the early access plan. I personally own the game, and based on what I've learned, the current Steam version uses a different game build than the one available on Xbox/Gamepass at this time. This issue will be resolved.