In order to use a third-party hardware OTP token, you need to add a custom TOTP factor into OKTA. Below is the OKTA's official guide:

https://help.okta.com/en/prod/Content/Topics/Security/mfa-totp-seed.htm

On the step of Add TOTP Factor, fill in the form as below:

Click Save

Then select "TOTP"

Take a copy of the Factor Profile ID which will be used in the next step.

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