Create an instance of a component set

Hi community.

I want to do this: but with a component set (frame with the magenta dotted line) including all properties.
When I duplicate a component set the new object becomes a new component set (square icon with 4 small squares) instead of an instance of that component set (square icon with outline).

Is this doable?

I’m aiming for one master/parent component library and several “child” libraries which inherit from the master/parent but allows me to do overrides (like border radius) at the child libraries. I would like to avoid using plugins like Token Studio to stay independent.

No, it is not possible to create an instance of a component set. You can only create an instance of a component.