Hello @Kevin Dule,
Thank you for posting your query on Microsoft Q&A.
I understand that in your work environment, users are not permitted to use mobile devices. Consequently, they are unable to utilize methods such as Microsoft Authenticator, phone calls, or SMS for multifactor authentication. You are considering implementing USB Tokens (OATH hardware tokens) for two-factor authentication and would like to explore other authentication methods that can be used within these constraints.
Given these limitations, users can complete MFA using methods such as Passkey (FIDO2), certificate-based authentication, OATH hardware tokens (preview), and Windows Hello for Business.
For more information on secure authentication methods, please refer to the following document:
https://learn.microsoft.com/en-us/entra/identity/authentication/concept-authentication-methods
Passkey (FIDO2), certificate-based authentication, and Windows Hello for Business are passwordless authentication methods that can be used for both the first and second factors. For further details on passwordless authentication, you can refer to:
https://learn.microsoft.com/en-us/entra/identity/authentication/concept-authentication-passwordless
These resources will provide comprehensive insights into implementing secure and passwordless authentication solutions in your environment.
I hope this information is helpful. Please feel free to reach out if you have any further questions.
Please "Accept the answer" if the information helped you. This will help us and others in the community as well.
Thanks,
Raja Pothuraju.