Yes, it should. Unfortunately, since I have no idea how hyprland works or how your system is set up, I’m not entirely sure how to fix your issue.
At most, I can tell you to check whether xdg-desktop-portal-gtk is actually running, and whether xdg-desktop-portal is collecting the various settings. You can use:
G_MESSAGES_DEBUG=all xdg-desktop-portal --replace
to see the debugging messages for the portal.