docs/src/data/changelog/v1.1.4/generated-cli-config-credentials.mdx
When the Provider Cache Server is enabled, Terragrunt writes a CLI config for OpenTofu/Terraform into each unit's working directory, based on your own CLI config. That generated file used to include a copy of every credentials block from your config, including the ones for registries Terragrunt routes through the cache server.
Those copies were never read. For a routed registry, Terragrunt sets the matching TF_TOKEN_<hostname> environment variable, which takes precedence over a credentials block, and the cache server presents your real credentials when it contacts the registry on your behalf. The generated file now leaves the block out for those registries, so your token stays in the CLI config you put it in instead of being duplicated somewhere it had no effect.
Credentials for hosts the cache server does not route are unchanged, since OpenTofu/Terraform contacts those directly and still reads them from the generated config.
Upgrading does not rewrite the files an earlier version already generated. Each is named .terraformrc and sits in a unit's working directory, which is under .terragrunt-cache for remote sources. Delete those files, or clear the cache, to get the copied credentials off disk.