Machine Identity Explained: What It Is & Why It’s Critical

Apr 17, 2025

Paresh Bhaya

Paresh Bhaya

Paresh Bhaya

What Is a Machine Identity?

A machine identity is any credential that verifies a non-human actor’s right to access systems or services. That could include:

  • Service account tokens

  • TLS/mTLS certificates

  • OAuth tokens

  • SSH keys

  • API keys

  • Kubernetes secrets

These identities authenticate:

  • Microservices talking to each other within a service mesh

  • CI/CD pipelines deploying apps to cloud infra

  • Containers pulling from registries

  • Third-party bots connecting to APIs

  • Serverless functions executing backend logic

Where human identities rely on passwords or MFA, machine identities are programmatic—generated, used, and revoked without manual interaction.

These are not optional anymore. As infrastructure grows more automated and distributed, machine identities are exploding in volume—and so is the risk associated with managing them poorly.

Common Types of Machine Identities

Understanding the variety of machine identities is key to managing them effectively:

1. Service Accounts

Service accounts are non-human identities used to run background processes, daemons, or services. For example, a CI/CD pipeline deploying code may use a service account to access cloud infrastructure. These accounts often have broad, persistent privileges—and are frequently overlooked in audits.

With Natoma: Each service account is assigned a policy, tracked through its lifecycle, and governed by access scope and expiration rules.

2. API Keys

API keys allow applications to authenticate when calling other services—like third-party APIs, internal microservices, or backend databases. If exposed, they can grant immediate access to sensitive data or operations.

With Natoma: API key issuance and rotation are automated. Keys can be short-lived and scoped to specific endpoints or functions, reducing blast radius.

3. TLS and mTLS Certificates

These are used to establish encrypted communication between systems. Certificates can expire unexpectedly, triggering service outages. Or worse, they can be left active without anyone realizing, becoming a vector for impersonation.

With Natoma: Certificate lifecycles are monitored in real time. Renewals happen before expiration, and orphaned certs are automatically revoked.

4. SSH Keys

SSH keys are commonly used by scripts or automation tools to access servers. Poor management can lead to a proliferation of unmanaged keys across systems.

With Natoma: SSH keys are centrally tracked, time-boxed, and integrated into policy-based controls.

5. OAuth Tokens and Cloud IAM Roles

Modern cloud environments rely heavily on token-based access and identity federation. These credentials are often ephemeral—but still need proper visibility and controls.

With Natoma: OAuth tokens are provisioned on-demand and rotated based on usage or policy violations. IAM role bindings are scoped per workload or container.

Together, these identities create the fabric of your automated infrastructure. But without centralized management and lifecycle control, they become liabilities.

Why Machine Identity Has Become Mission-Critical

Machine identity isn’t a future problem—it’s a now problem. And it affects organizations of every size. Until recently, most organizations focused their identity management on users. But as infrastructure evolved, identity became more distributed. Today, most production traffic is machine-to-machine, not human-to-system.

Here’s why it’s no longer safe to treat machine identity as an afterthought:

Risk #1: Credential Sprawl

As infrastructure scales, so does the number of service accounts, tokens, and certificates. Over time, credentials accumulate:

  • Orphaned identities that no longer map to active services

  • Privileged tokens with no expiration

  • Scripts with embedded keys that no one maintains

Example: A large retail company suffers an outage during the holiday season because a TLS certificate, tied to a service account for its checkout API, expired without warning. It had no owner, no alerting, and no renewal policy.

How Natoma helps: Natoma identifies orphaned identities, assigns ownership, and applies expiration and alerting rules based on policy. Teams are notified before a credential causes a production issue.

Risk #2: Manual Processes Can’t Scale

Traditional secrets management depends heavily on manual steps:

  • Manually creating and assigning service accounts

  • Copy-pasting credentials into config files

  • Opening tickets for rotation or revocation

These processes are brittle, slow, and error-prone.

Example: A cloud-native team launches 200 containers per day as part of their CI/CD pipeline. Each requires a credential to access internal APIs. Without automation, developers spend hours each week requesting and updating credentials.

Worse, many teams skip rotation entirely, leaving long-lived credentials in play.

How Natoma helps:

  • Dynamically issues and revokes credentials based on pipeline events or container lifecycle.

  • Removes human friction by integrating with GitOps and CI/CD tooling.

  • Delivers ephemeral credentials at runtime—no copy/paste, no ticketing.

  • Enables policies like “no credential lives longer than 24 hours.”

This lets engineering move fast without security compromises.

Risk #3: Missed Compliance Targets

Frameworks like SOC 2, HIPAA, PCI DSS, and ISO 27001 now require non-human identities to be managed with the same rigor as user accounts.

Auditors want:

  • Proof of ownership

  • Rotation logs

  • Expiration policies

  • Least privilege access controls

How Natoma helps: Natoma provides automated compliance reporting, tying each credential to an owner, tracking all activity, and enforcing rotation/expiry schedules. That turns what used to be an audit scramble into a few clicks.

Human Identity vs. Machine Identity: What’s the Difference?

Organizations often conflate identity management as a singular process. But the distinction between human and machine identities is critical:

Aspect

Human Identity

Machine Identity

Type

Interactive

Programmatic

Auth Method

Passwords, MFA, SSO

Tokens, certs, API keys

Lifecycle

HR-driven (hire/onboard/offboard)

Tied to system events (builds, jobs, deployments)

Risk Vectors

Phishing, credential reuse

Stale secrets, privilege sprawl, no expiration

Visibility

Managed in IAM tools

Often invisible to IAM, unmanaged

Why “Programmatic” Matters

Programmatic identities are created and used by systems, not people. This means they often:

  • Don’t trigger MFA or session checks

  • Persist without human review

  • Run privileged jobs continuously

That’s why non-human identities need their own lifecycle policies—just like user accounts. Natoma delivers that by bringing policy enforcement, ownership tagging, and expiration logic to the non-human side of the house.

The Hidden Dangers of Machine Identity Mismanagement

Downtime from Expired Credentials

  One expired certificate or token can bring down an entire application. It happens all the time. And when it does, customers notice—and churn.

Credential Leakage

Static, long-lived credentials—especially when hardcoded in Git repos or container images—are among the most common causes of cloud compromise. These secrets are low-hanging fruit for attackers.

Compliance Failures

Auditors increasingly want to know: Who owns this service account? When was this API key last rotated? If you can’t answer, you’re exposed.

How Natoma helps:

  • Automates expiration and renewal of certs and keys

  • Flags unused or orphaned credentials in real time

  • Maintains full audit trails and policy compliance

What Machine Identity Management Looks Like in 2025

Let’s define what modern machine identity management actually entails. It’s not just “store secrets in a vault.” It’s a full-stack, full-lifecycle approach:

Step 1: Continuous Discovery

You can’t secure what you can’t see. That’s why discovery is the first step. This includes scanning:

  • Cloud environments (IAM roles, secrets, service accounts)

  • Kubernetes clusters

  • Git repos and CI/CD pipelines

With Natoma: Discovery runs continuously across multi-cloud and hybrid infrastructure. New machine identities are automatically inventoried with crucial metadata like owner, type, and usage.

Step 2: Credential Issuance and Policy Enforcement

Once discovered, credentials should be rightsized, revoked, or rotated & reissued based on the needs of the business. The first step in doing this is defining policy:

  • Which workloads get what access?

  • Should these credentials expire?

  • Should they be ephemeral?

With Natoma: Credentials are generated automatically at runtime, scoped to environment, function, and access policy. Natoma integrates with secrets managers but adds the policy logic that governs when and how credentials are used.

Step 3: Automated Rotation & Expiration

Rotation shouldn’t require a Jira ticket or Slack message. Keys, certs, and tokens must rotate without downtime, human error, or broken dependencies.

With Natoma: Credential lifespans are enforced by policy. Expired credentials are revoked, rotated, or retired automatically. Integrations ensure secrets update in sync.

Step 4: Monitoring and Anomaly Detection

Once credentials are live, they must be monitored. Are they being used in unexpected regions? At unusual times? For new actions?

With Natoma: Activity is tracked across every credential, with built-in anomaly detection. Suspicious behavior can trigger alerts or auto-revocation.

The Future of Machine Identity Management

Managing machine identities today means adopting a lifecycle approach:

  • Discover every machine identity across clouds and environments

  • Classify it by type, owner, and policy

  • Issue credentials securely and with automation

  • Rotate and revoke based on time, behavior, or policy

  • Monitor for anomalies and log usage for compliance

With Natoma, all of these capabilities are unified into a single, policy-driven platform that integrates with your existing toolchain—whether that’s a secrets manager, cloud provider, or CI/CD workflow.

Natoma: The Operating System for Machine Identity

Natoma is the first platform purpose-built to automate, secure, and govern machine identity at scale. It replaces spreadsheets, scripts, piecemeal systems, and brittle workflows with:

  • Discovery of all service accounts, tokens, certs, and secrets

  • Policy-based issuance and renewal of non-human credentials

  • Audit trails that track every action, owner, and permission

  • Ephemeral credentials that reduce exposure and blast radius

  • Real-time posture insights to improve security and compliance

It doesn’t replace your secrets manager or IAM solution—it supercharges it with policy, automation, and visibility.

Final Takeaways

Machine identities are the fastest-growing, least-governed part of your attack surface, and mismanaging them can lead to outages, breaches, and audit failures. Manual credential management can’t keep up with the scale, velocity, or security demands. Traditional IAM can’t handle the scale or programmatic nature of these identities. Compliance now requires machine identity governance.

Natoma provides the control plane for non-human identity management—discovering, provisioning, rotating, and monitoring credentials automatically. Natoma gives security and engineering teams the tools to govern machine identities end-to-end—without slowing developers down.

Machine identity isn’t a future problem. It’s a right-now problem.

And the organizations that solve it today will be the ones that build more secure, resilient, and scalable infrastructure tomorrow.

Machine identity is the new frontier of security. Natoma is how you manage it.

Introducing Natoma's MCP Platform to accelerate AI development

Introducing Natoma's MCP Platform to accelerate AI development

Introducing Natoma's MCP Platform to accelerate AI development

Introducing Natoma's MCP Platform to accelerate AI development

Stay tuned. Join our mailing list