A credential proxy separates an agent from the secrets needed to access downstream systems. The agent sends a proposed request to the proxy, which verifies policy, applies a controlled identity and forwards only authorized operations.
The proxy can enforce quotas, approvals, rate limits and audit metadata consistently. It must fail closed, protect stored credentials and prevent the caller from changing identity or bypassing policy through an alternate path.
ELI5
A credential proxy keeps a real password or access token away from an AI agent. The agent asks the proxy to perform a specific action, and the proxy checks the request before using the protected credential.
For example, an agent can request permission to upload one approved file without ever seeing the storage account's secret key. The proxy can enforce limits, record the action and refuse requests that use the wrong identity or exceed the allowed scope.
