I have USB debugging on and I am showing that the Target is connected I however am unable to connect the host.
When I run the below command on my PC I get output indicat
I had this problem as well. After running the above commands in the Command Line, I solved it by activating the Developer Options on my Moto 360 (pressing the build number repeatedly in the settings like the phone). Enabling the ADB and Bluetooth Debugging on the watch and unpairing my watch with my phone.
After I did all these steps my computer finally sent the RSA permissions key for my Android Wear device through my phone.