If you google that question with https://www.google.com/search?q=%22The+last+USB+device+you+connected+to+this+computer+has+malfunctioned+and+Windows+doesn%27t+recognize+it.%22 .you'll find lots of suggested solutions.
I had the same issue recently, and tried all, and none helped (reinstalling drivers, removing devices, and more). With me it was even stranger: it didn't happen in my main Windows account, but it happened in my wife's and in new ones. So I didn't mind at all, but she did. Needless to say, looking at start-up programs and background services was useless also.
The final solution I found was to disable one of the "generic USB-hubs" in Device manager. That disabled the front USB 2 front and back USB ports. Luckily, the 2 USB 3 ports on the motherboard, and the 2 USB 3 ports on an PCI card I already had kept working, and with an unpowered hub and the USB-ports in my monitor I can connect all I need. I didn't even need to add another PCI USB-card.
The alternative would have been to replace the motherboard. Not nice at all.
Let's hope one of the solutions uncovered by Google works for you. Or mine, with possibly adding a PCI USB cards; such cards are cheap, but you can't install them in a laptop.
https://www.newegg.com/Product/ProductList.aspx?Description=usb%203.0%20pci%20card&Submit=ENE shows them.
So I found it to be quite a misleading message. Hardware on the motherboard can't be called "the last USB device you connected", can it?
How do I get rid of this pop up once & for all!...USB device not recognized. The last USB device you connected to this computer malfunctioned, and Windows does not recognize it.

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