Unable to run system upgrade

Its up to you whether this is enabled or not - its what provides all the lib32 packages and would likely be needed if you intend to game.

The rest of the issue is bigger.

You should have at least one more entry for [cachyos].
And usually, unless you bave a very old CPU, an additional 3 for architecture optimized repos, ex; [cachyos-v3], [cachyos-core-v3], [cachyos-extra-v3] if it were a v3 cpu.

See here for some more;

Right now you are more or less running regular Arch but with it configured a little funny. With only apparently a few ‘cachy’ packages added from the AUR. You do not have any cachy mirrorlist either. You are not running Cachy.

That seems to also be in addition to your ‘arch’ mirrors also being configured incorrectly and at least partially fail to resolve.

How did we get here?

Or is this actually an Arch install?

In any case it is not difficult to fix .. just refer to the wiki;