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Infisical, or Bitwarden Secret Manager? Those two look like perfectly reasonable if the llm is just careless (but still, nothing prevents the LLM from intentionally cat'ing /proc/self/environ or from running /usr/bin/env or set or similar)

https://varlock.dev (free, open source) can pull secrets from many places, and has a credential broker (proxy) to inject placeholders, then replace with real secrets at the network boundary. There are a few other tools like this, but ours seems to be the most flexible so far.

Do you feel that something like https://secretspec.dev/ addresses these points?

Data retention clauses?

I dont see how you can ever really trust an LLM anyway to follow instructions.