This article will help you understand why Distributed BFD not working on the Chassis Cluster
In a chassis cluster, when using Distributed BFD, you might notice that BFD isn't stable and keeps going down from time to time.
At the moment, Distributed mode isn't supported on a chassis cluster. It works only on standalone devices. To have a stable BFD on a chassis cluster, you should use centralized BFD instead. If you want to switch from distributed mode to centralized mode, you need to configure a minimum interval of more than 500ms in BFD configuration.
Distributed BFD