This button do not have fingerprint recognition function, the touch ID are mached to logic board,  It is similar like iPhones.

That's means you can use the power on and off function only rather than the touch ID.

New Touch ID Power ON/OFF Button For MacBook Pro Retina 14" M4 A3112 2024

Descriptions:

Product Name: Touch ID Power ON/OFF Button
Model: For MacBook Pro Retina 14" M4 A3112 2024

Compatible Model:                                                                                                                            

Late 2024 Year For MacBook Pro 16.1 (M4) 14-inch A3112 EMC8526

Packing Includes:
1 PCS Power ON/OFF Button