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Meta shows this error when a phone number is registered to another WhatsApp account. Release it from the current registration before connecting it to a new WhatsApp Cloud API account.
Only delete the app account if you do not want to keep using it. Deleting the account removes its on-phone chat history, so back up anything you need first.
1

Find the current registration

Check whether the number is active in the WhatsApp or WhatsApp Business app, or connected to a WhatsApp Business Account through another provider or workspace.
2

Choose whether to keep the app

If you want to keep using the WhatsApp Business app and preserve its chat history, follow the WhatsApp Business App connection guide. Do not release the number.
3

Release the number

Follow the option that matches the current registration.
On the phone using the number, open Settings > Account > Delete account. This releases the number from the app registration.
Ask the owner of that Meta Business Manager to remove the number from its WhatsApp Business Account in WhatsApp Manager. If you own the account, remove or deregister the number there.
4

Reconnect the number

Go to Integrations, restart the WhatsApp Cloud API connection, and complete Meta’s signup.See Connect WhatsApp Cloud API for the full flow.

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If the error continues

Email help@bitbybit.studio with your Company ID, the phone number, and a screenshot of the error.