Yes, SM6 must be enabled in order to use Nanite now. I Had the same issue in the past and installing windows Updates and enabling SM6 fixed the problem.
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I had problems with black squares appearing from bloom in SM6, fixed with setting ‘Use MikkTSpace Tangent Space’ to true in the mesh properties. Also by setting r.BloomQuality 4 in your DefaultEngine.ini/Console
It works, THank you!