GitHub user alexott added a comment to the discussion: Databricks provider 
docs:  Recommended auth methods

My PoV:

- Username + password - doesn't work anymore
- PAT - still works, but really not recommended in general. At least use a 
dedicated, non-admin identity (service principal) with it, and rotate PAT 
regularly
- OAuth - **recommended** way, but we still need client ID/secret for it. Same 
as for PAT - use non-admin identity
- Managed identity (Azure only) - **strongly recommended** as the identity is 
bound to a compute

GitHub link: 
https://github.com/apache/airflow/discussions/46630#discussioncomment-12209487

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