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Are you running the Beta version of Steam?
Have you tried fully restarting Steam to see if it resolves the issue? You may need to try doing several restarts.
Thanks for the prompt response!
Upd. It has solved itself after removing all files in steam folder except steam.exe along with userdata, appcache and config folders (it's effectively just reinstalling Steam but faster and you don't need to mess with copying Steamapps folder that can be a pain in some part of your body).