This error is thrown due to the difference between the ‘Entity API’ and the ‘Primitive API’.
The details are subtle (and I’ll frankly admit that I wouldn’t claim to have a perfectly clear picture here either), but the key differences are explained at the beginning of Creating Entities – Cesium
As an attempt to boil it down to the most relevant part:
You are trying to create an Entity. And when you want to create an Entity, then the material that you are passing in there, via the material property, may not be a Cesium.Material. It has to be a Cesium.MaterialProperty.
So if you want to assign a simple color material (property) to that entity, then the code would be