The issue here is that, aside from those who are on Xbox, gave their number and banned(who theoretically could lose their minecraft access upon making a microsoft account as is mandatory)- those who are too young to have phones, those without extra phone numbers, and those concerned about privacy-

If you make a microsoft account currently, it asks for a alternate email and phone number at account creation. You can skip that, then get into the account ,set up the normal enhanced security features, but it won't matter as shortly after, when you log into the account again, you will be flagged and be required to give a phone number that they can verify, then attach to the account with no alternate means of keeping the account.

However, there are reports now that setting up TOTP , on a microsoft account after creation, will allow you to avoid the flag and being forced to give your phone number to microsoft.

I know they could change this afterwards if they consider it a issue ,(showing it'd be about the phone number data a bit more than security), but i hope this knowledge spreads, as many will have no alternative. This affects more than just those privacy conscious.

We'll see on March 10th when they attempt to force the biggest gaming population in the world to make a microsoft account, and require them to provide phone numbers. I'll be spreading the word to my family that play Minecraft of the TOTP workaround.