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Sean Jacobs, a systems architect at Protected Trust, explains how to restrict verification options for multi-factor authentication in Office 365. When setting up multi-factor authentication, users are given various options such as text code, authentication phone, app notification, and verification code from app. It is recommended to remove the option for text code to authentication phone to prevent SIM swap attacks. This security measure helps protect against malicious actors who may spoof or port someone's phone number to gain unauthorized access.