If you use the mobile app wallet's backup option incorrectly, your hardware wallet will show as Backup Mode, and it will only serve as a backup of the mobile app wallet mnemonic.

Wrong step: You selected Backup to hardware devices when backing up the phone app wallet mnemonic, which caused the hardware wallet to back up the phone wallet.

Solution: Reset the hardware wallet and reconnect it to the app on your phone.

Check out these articles for more information on resetting and connecting: Resetting the hardware wallet / How to connect to the hardware wallet using the mobile app

For more information, see: Difference between software wallet and hardware wallet / Blockchain wallet basics