Links provided to Click Studios from the customer who requested this can be seen below. Microsoft will be dropping support for Basic Authentication late 2022, which is what the current email settings use in Passwordstate:
The full article about the deprecation of basic authentication by Microsoft: Deprecation of Basic authentication in Exchange Online | Microsoft Docs.
They recommend to switch over to OAuth 2.0 authentication or Microsoft Graph API for alle messaging protocols used with Exchange Online Authenticate an IMAP, POP or SMTP connection using OAuth | Microsoft Docs.
Microsoft regards something as basic authentication whenever the authentication credentials are saved on the server/client from which the authentication takes place.
More links on modern authentication:”
Announcing OAuth 2.0 support for IMAP and SMTP AUTH protocols in Exchange Online - Microsoft Tech Community
New resources for moving to Modern Authentication - Microsoft Lifecycle | Microsoft Docs
