#obo-delegation#api-keys#people-also-ask#identity

Authority & delegation foundations

OBO delegation vs standing API keys for agents

On-behalf-of delegation preserves actor and principal identity; standing API keys obscure accountability. When to use each with Auctra authority.

June 27, 2026 · 6 min read · Markdown version

What is OBO delegation for AI agents?

On-behalf-of (OBO) delegation records both the acting agent and the human principal whose authority is being exercised—preserving accountability chains regulators expect.

Standing API keys give agents persistent power without expiration, sponsor, or per-action evaluation. They are appropriate for infrastructure access, not business authority.

Auctra models OBO-style accountability via sponsors, delegators, and evaluateAction—without conflating agent identity with human intent.

OBO vs API key decision framework (5 layers)

Action type — read infra vs consequential business side effect.

Duration — ephemeral delegation vs long-lived credential.

Accountability — named sponsor required or anonymous service account.

Limits — monetary caps and counts enforceable at evaluation.

Audit — per-action decision record vs aggregate access logs only.

What to deploy first with Auctra

Migrate Tier-C tools from shared API keys to evaluateAction with expiring delegations. Keep IAM keys for reachability only.

Document which integrations are key-based vs delegation-based in security architecture reviews.

Key takeaways

  • API keys answer access; delegations answer authorized business action.
  • OBO patterns preserve human principal in audit evidence.
  • Never use standing keys as substitute for monetary delegations.

Implementation checklist

  1. List agents using shared production API keys.
  2. Classify each key's highest-risk action.
  3. Replace Tier-C key usage with evaluateAction paths.
  4. Set TTL on remaining delegations; rotate keys quarterly.
  5. Verify audit shows sponsor on consequential actions.

People also ask

What is the difference between delegation and API keys?
API keys grant standing access; delegations grant bounded, expiring authority with sponsor accountability.
Can agents use API keys and Auctra together?
Yes—keys for infrastructure reach; evaluateAction for business authority before side effects.
What are OBO tokens?
Tokens that carry both actor and principal claims so delegation chains remain visible across services.

Try in Auctra Console

Maps to: Delegations

Replace one API key path with delegation

Pick a high-risk tool and gate it with evaluateAction instead of a standing key.

  1. Create a free account: https://console.auctra.tech/auth/signup?utm_source=blog&utm_medium=cta&utm_campaign=obo-delegation-vs-standing-api-keys
  2. In Delegations (https://console.auctra.tech/console/delegations), register agents and assign sponsors.
  3. Issue a narrow delegation with expiration.
  4. Wrap the tool call with evaluateAction before the key is used.

Part of guide

Authority & delegation foundations

Why authorization is not enough, how sponsors and delegators create accountable autonomy, and how to design authority that expires.

Browse full guide →

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