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Can we use modern authentication yet? Or is basic authentication still a hard requirement?

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I found that the below blog post mentions that Basic Auth is a requirement for Dynamics GP.
"Using Exchange Online with Dynamics GP also requires Basic Authentication to be enabled for the Exchange Online user account".

We have disabled Basic Authentication in our tenant, but this has then blocked the login to send emails.

Can you please provide an update on this ASAP? Maybe I have missed an update to our application that we need to upgrade to?