Use Office365 authentication with Microsoft Dataverse

Use of the WS-Trust authentication security protocol when connecting to Microsoft Dataverse is no longer recommended and has been deprecated; see the announcement.

Additionally, the WS-Trust protocol does not support modern forms of multi-factor authentication and Azure AD Conditional Access controls to customer data.

This change impacts custom client applications that use “Office365” authentication and the Microsoft.Xrm.Sdk.Client.OrganizationServiceProxy or Microsoft.Xrm.Tooling.Connector.CrmServiceClient classes. If your applications use this type of authentication protocol and API, continue reading below to learn more about the recommended authentication changes to be made to your application’s code.

How do I know if my code or application is using WS-Trust?

First and most importantly, this change only impacts client applications that connect to the Microsoft Dataverse. It does not impact custom plug-ins, workflow activities, or on-premises/IFD service connections.

  • If your code employs user account and password credentials for authentication with Dataverse or an application, you are likely using the WS-Trust security protocol. Some examples are shown below, though this list is not fully inclusive.

    • When using the CrmServiceClient class with a connection string:

      connectionString="AuthType=Office365; Username=jsmith\;Password=passcode;Url="

    • When using OrganizationServiceProxy class constructors:

using (OrganizationServiceProxy organizationServiceProxy =
    new OrganizationServiceProxy(serviceManagement, clientCredentials)
{ ... }
  • If you are using the OrganizationServiceProxy class at all in your code, you are using WS-Trust.

  • If you are using CrmServiceClient.OrganizationServiceProxy in your code, you are using WS-Trust.

What should I do to fix my application code if affected?

There are very straight forward ways to modify your application’s code to use the recommended connection interface for authentication with Dataverse.

  • If your code uses an Microsoft.Xrm.Sdk.Client.OrganizationServiceProxy instance:

    If you are passing the OrganizationServiceProxy instance around to various methods, or returning the instance from a method, replace all occurrences of the type OrganizationServiceProxy with the IOrganizationService interface. This interface exposes all the core methods used to communicate with Dataverse.

    When invoking the constructor, it is recommend you add the NuGet package Microsoft.CrmSdk.XrmTooling.CoreAssembly to your project and replace all use of OrganizationServiceProxy class constructors with CrmServiceClient class constructors. You will need to alter your coding pattern here, however, for simplicity CrmServiceClient supports connection strings in addition to complex constructors and the ability to provide external authentication handlers. CrmServiceClient implements IOrganizationService, therefore your new authentication code will be portable to the rest of your application code. You can find examples on the use of CrmServiceClient in the PowerApps-Samples repository.

  • If your code is using CrmServiceClient with the “Office365” authentication type:

    An example of this is a connections string that looks like this:

    connectionString = "AuthType=Office365;;Password=passcode;Url="

    Similarly, you could also use a CrmServiceClient constructor and pass in AuthType.Office365.

    You have two options for dealing with this.

    • Switch over to using an OAuth based connection string. Such connection string looks like this:

      connectionString = "AuthType=OAuth;; Password=passcode;Url=;AppId=51f81489-12ee-4a9e-aaae-a2591f45987d; RedirectUri=app://58145B91-0C36-4500-8554-080854F2AC97;LoginPrompt=Auto"

      This will be your fastest way to update the code. Note that LoginPrompt can be set to “never” to simulate the way that the Office365 behavior worked.

      The AppId and RedirectUri provided above are examples of working application registration values. These values work everywhere our online services are deployed. However, they are provided here as examples and you are encouraged to create your own application registration in Azure Active Directory (Azure AD) for applications running in your tenant. Use your Username, Password, and Dataverse environment URL values in the connection string along with the RedirectUri and AppId you obtain from your Azure app registration.

    • When we announce it, update to the latest Microsoft.CrmSdk.XrmTooling.CoreAssembly NuGet package that includes auto redirect support. This library will redirect an authentication type of Office365 to OAuth and use the example AppId and Redirect URI automatically. This capability is planned for the 9.2.x version of the Microsoft.CrmSdk.XrmTooling.CoreAssembly package.

  • If you are accessing the CrmServiceClient.OrganizationServiceProxy property:

    Remove all use of that property in your code. CrmServiceClient implements IOrganizationService and exposes everything that is settable for the organization service proxy.


Regarding not being able to login using User ID/Password even if using OAuth: if your tenant and user is configured in Azure Active Directory for conditional access and/or Multi-Factor Authentication is required, you will not be able to use user ID/password flows in a non-interactive form at all. For those situations, you must use a Service Principal user to authenticate with Dataverse.

To do this, you must first register the application user (Service Principal) in Azure Active Directory. You can find out how to do this here. During application registration you will need to create that user in Dataverse and grant permissions. Those permissions can either be granted directly or indirectly by adding the application user to a team which has been granted permissions in Dataverse. You can find more information on how to set up an application user to authenticate with Dataverse here.

Need help?

We will be monitoring the Power Apps ALM and ProDev community forums. Please take a look there to get help on how to solve various issues or post a question.

See Also

Use connection strings in XRM tooling to connect to Microsoft Dataverse