You want an instance in your compartment to make API calls to other services within Oracle Cloud Infrastructure without storing credentials in a configuration file.
What do you need to do?
No action is required. By default, all VM instances are created with an Instance Principal.
Instances cannot access services outside their compartment.
VM instances are treated as users. Create a user and assign the user to that VM instance.
Create appropriate matching rules in the Dynamic Group to create an Instance Principal.