User-assigned managed identity not working with the in-app Blob connector in Logic Apps

Hello Mandal, Sukdev,

This is expected behavior from logic app blob built in connector. It has been mentioned in the built-in connector's documentation that some built-in connectors only support a single way of authentication. Please refer to the below statement from the document and quote it in your response

Some built-in connectors support only a single way to authenticate a connection to the underlying service. Other built-in connectors can offer a choice, such as using a connection string, Microsoft Entra ID, or a managed identity. 

There is no list of connectors provided in the documentation to provide more details on which connectors support single authentication. Based on the behavior we see I take Blob built-in connector does not support User assigned managed identity.

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I also have a problem using the user assigned managed identity. Busy for over an hour, always throwing the error "Failed to get oauth token for managed identity". I ended up switching to the system-assigned managed identity that worked in a jiffy. Something's broken there for sure.