Hi Zafran, I hope I can help you with this question.
Did you follow the steps in the official microsoft documentation to generate a app password
Did you checked if SMTP Auth is activated for the sepcific mailbox
Get-CASMailbox -Identity <MailboxIdentity> | Format-List SmtpClientAuthenticationDisabled
If it is False, it's disabled, if it is True, it's not enabled, if it is blank, the global settings of the tenant are used
If the global settings are used, please verify with these command, it the SMTP Auth is enabled:
Get-TransportConfig | Format-List SmtpClientAuthenticationDisabled
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