In D365 F&O (Cloud-hosted), you can't directly access the production SQL database, so Microsoft provides a controlled way to move the production database to a development environment using Lifecycle Services (LCS).
To do this, go to LCS, select your Production environment, and use the "Export Database" or "Point-in-time Restore" option. This will create a .bacpac file and place it in your Asset Library under the Database backups section.
Once the .bacpac is available, download it from the Asset Library and import it into your development environment using SQL Server Management Studio (SSMS). Use the "Import Data-tier Application" option and restore the database under a temporary name (e.g., AxDB_temp).
After the import, stop the AOSService, rename the current AxDB to something like AxDB_old, then rename AxDB_temp to AxDB. Start the AOSService again.
Don’t forget to run the AdminUserProvisioningTool to regain admin access. You’ll also need to reconfigure environment-specific settings such as batch jobs, email parameters, and any integrations.
Further more you can see, Restore Production database to DEV environment in D365FO using Bacpac File | LinkedIn
Let me know if this answers your question,
Warm Regards,
Zain
