diff --git a/src/app/[transport]/route.test.ts b/src/app/[transport]/route.test.ts
index 91b5a7f..3ea6efa 100644
--- a/src/app/[transport]/route.test.ts
+++ b/src/app/[transport]/route.test.ts
@@ -36,7 +36,9 @@ const analytics = await import("@/lib/mcp/analytics");
 const captureMcpConnectionScopeFailure =
   analytics.captureMcpConnectionScopeFailure;
 const instrumentMcpAnalytics = analytics.instrumentMcpAnalytics;
+const isMcpAnalyticsEnabled = analytics.isMcpAnalyticsEnabled;
 let analyticsClient: unknown = null;
+let observeConnections = false;
 mock.module("@/lib/mcp/analytics", () => ({
   ...analytics,
   instrumentMcpAnalytics: (
@@ -46,6 +48,7 @@ mock.module("@/lib/mcp/analytics", () => ({
       server,
       (analyticsClient as typeof client) ?? client,
     ),
+  isMcpAnalyticsEnabled: () => observeConnections || isMcpAnalyticsEnabled(),
   captureMcpConnectionScopeFailure: (
     ...args: Parameters<typeof analytics.captureMcpConnectionScopeFailure>
   ) => {
@@ -197,6 +200,7 @@ describe("native OAuth credentials", () => {
   afterEach(() => {
     appMarkers = null;
     analyticsClient = null;
+    observeConnections = false;
     fetchSpy.mockRestore();
     for (const key of envKeys)
       if (savedEnv[key] === undefined) delete process.env[key];
@@ -287,6 +291,31 @@ describe("native OAuth credentials", () => {
     ).toBe(1);
   });
 
+  test("report connections as native OAuth in analytics", async () => {
+    observeConnections = true;
+    const events: { event: string; properties: Record<string, unknown> }[] = [];
+    analyticsClient = {
+      capture: (event: {
+        event: string;
+        properties: Record<string, unknown>;
+      }) => events.push(event),
+    };
+    const response = await POST(
+      mcpRequest(await issuer.parent(), "initialize", {
+        protocolVersion: "2025-06-18",
+        capabilities: {},
+        clientInfo: { name: "test-client", version: "1.0.0" },
+      }),
+    );
+    expect(response.status).toBe(200);
+    await response.text();
+    await new Promise((resolve) => setTimeout(resolve, 50));
+    const initialize = events.find(
+      (event) => event.event === "$mcp_initialize",
+    );
+    expect(initialize?.properties.$mcp_auth_method).toBe("native_oauth");
+  });
+
   test("reuse one exchange per MCP token and re-resolve auth context each request", async () => {
     const parent = await issuer.parent();
     for (let n = 0; n < 3; n++) {
@@ -347,6 +376,13 @@ describe("native OAuth credentials", () => {
       error: "invalid_token",
       error_description: "Invalid or expired access token",
     });
+    expect(captured).toEqual([
+      {
+        outcome: "rejected",
+        credentialType: "native_oauth",
+        upstreamStatusCode: 401,
+      },
+    ]);
 
     fetchSpy.mockImplementation((async (input: string | URL | Request) =>
       String(input).endsWith("/token")
@@ -371,6 +407,13 @@ describe("native OAuth credentials", () => {
     expect(response.status).toBe(503);
     expect(response.headers.get("Retry-After")).toBe("1");
     expect(kernelTokens).toEqual([]);
+    expect(captured).toEqual([
+      {
+        outcome: "unavailable",
+        credentialType: "native_oauth",
+        upstreamStatusCode: undefined,
+      },
+    ]);
   });
 
   test("post-authentication bugs propagate as server errors", async () => {
diff --git a/src/app/[transport]/route.ts b/src/app/[transport]/route.ts
index d9fede4..09dcfb5 100644
--- a/src/app/[transport]/route.ts
+++ b/src/app/[transport]/route.ts
@@ -22,6 +22,7 @@ import {
   connectionAnalyticsFromContext,
   resolveMcpConnectionContext,
   type McpConnectionContextFailure,
+  type McpCredentialType,
 } from "@/lib/mcp/auth-context";
 import { mcpAppsAuthSubject } from "@/lib/mcp-apps-marker";
 import { requestUsesMcpApps } from "@/lib/mcp-apps-request";
@@ -207,7 +208,7 @@ async function handleMcpRequestWithIdentity({
   authSubject: string;
   scopes: string[];
   authInfoExtra: AuthInfoExtra;
-  credentialType: "api_key" | "oauth";
+  credentialType: McpCredentialType;
   transportSessionId: string | null;
   connectionContextCacheIdentity?: string;
   entitlementsCacheCredential?: string;
@@ -255,7 +256,7 @@ async function handleMcpRequestWithIdentity({
   const connectionContext = connection.context;
   const connectionAnalytics =
     observeConnection && isMcpAnalyticsEnabled()
-      ? connectionAnalyticsFromContext(connectionContext)
+      ? connectionAnalyticsFromContext(connectionContext, credentialType)
       : null;
   return handler.fetch(req, {
     authInfo: {
@@ -293,8 +294,15 @@ async function handleAuthenticatedRequest(
 
   if (isNativeOAuthCredential(token)) {
     const native = await authenticateNativeOAuth(token);
-    if (native.status !== "ok")
+    if (native.status !== "ok") {
+      captureMcpConnectionScopeFailure({
+        outcome: native.status,
+        credentialType: "native_oauth",
+        upstreamStatusCode:
+          native.status === "rejected" ? native.statusCode : undefined,
+      });
       return connectionScopeFailureResponse(req, native);
+    }
     const { credential } = native;
     // The exchanged token rotates; identity is the verified subject, and the
     // request ends when the exchanged token does, streams included.
@@ -312,7 +320,7 @@ async function handleAuthenticatedRequest(
       }),
       scopes: credential.scopes,
       authInfoExtra: { userId: credential.subject, clerkToken: null },
-      credentialType: "oauth",
+      credentialType: "native_oauth",
       transportSessionId,
       entitlementsCacheCredential: credential.grantId,
       observeConnection,
diff --git a/src/lib/mcp/analytics.ts b/src/lib/mcp/analytics.ts
index bf1f5ff..3a274b2 100644
--- a/src/lib/mcp/analytics.ts
+++ b/src/lib/mcp/analytics.ts
@@ -20,6 +20,7 @@ import { PostHog } from "posthog-node";
 import type {
   McpConnectionAnalyticsContext,
   McpConnectionContext,
+  McpCredentialType,
 } from "@/lib/mcp/auth-context";
 import { MCP_INTENT_ARGUMENT_DESCRIPTION } from "@/lib/mcp/analytics-context";
 import {
@@ -88,7 +89,7 @@ export const OAUTH_TOKEN_EXCHANGE_EVENT = "oauth_token_exchange";
 // record of it.
 export type McpConnectionScopeFailureAnalytics = {
   outcome: "rejected" | "unavailable" | "invalid";
-  credentialType: "api_key" | "oauth";
+  credentialType: McpCredentialType;
   upstreamStatusCode?: number;
 };
 
diff --git a/src/lib/mcp/auth-context.test.ts b/src/lib/mcp/auth-context.test.ts
index 295ab93..1fea648 100644
--- a/src/lib/mcp/auth-context.test.ts
+++ b/src/lib/mcp/auth-context.test.ts
@@ -97,7 +97,7 @@ describe("resolveMcpConnectionContext", () => {
       projectId: null,
       source: "credential",
     });
-    const analytics = connectionAnalyticsFromContext(context);
+    const analytics = connectionAnalyticsFromContext(context, "api_key");
     expect(analytics).toEqual({
       authMethod: "api_key",
       credentialScope: "organization",
@@ -128,9 +128,9 @@ describe("resolveMcpConnectionContext", () => {
       projectId: "project_123",
       source: "credential",
     });
-    expect(connectionAnalyticsFromContext(context)?.credentialScope).toBe(
-      "project",
-    );
+    expect(
+      connectionAnalyticsFromContext(context, "api_key")?.credentialScope,
+    ).toBe("project");
   });
 
   test("uses the canonical OAuth user principal for analytics", async () => {
@@ -148,8 +148,13 @@ describe("resolveMcpConnectionContext", () => {
       }),
     );
 
-    expect(connectionAnalyticsFromContext(context)?.authMethod).toBe("oauth");
-    expect(connectionAnalyticsFromContext(context)?.userId).toBe(
+    expect(connectionAnalyticsFromContext(context, "oauth")?.authMethod).toBe(
+      "oauth",
+    );
+    expect(
+      connectionAnalyticsFromContext(context, "native_oauth")?.authMethod,
+    ).toBe("native_oauth");
+    expect(connectionAnalyticsFromContext(context, "oauth")?.userId).toBe(
       "user_kernel_123",
     );
   });
diff --git a/src/lib/mcp/auth-context.ts b/src/lib/mcp/auth-context.ts
index 5963d76..77b46a0 100644
--- a/src/lib/mcp/auth-context.ts
+++ b/src/lib/mcp/auth-context.ts
@@ -45,8 +45,12 @@ export type McpConnectionContext = {
   scope: ConnectionScope;
 };
 
+// Which credential path authenticated the connection. "oauth" is a Clerk-issued
+// token; "native_oauth" one issued by the Kernel authorization server.
+export type McpCredentialType = "api_key" | "oauth" | "native_oauth";
+
 export type McpConnectionAnalyticsContext = {
-  authMethod: "api_key" | "oauth";
+  authMethod: McpCredentialType;
   credentialScope: "organization" | "project";
   connectionScope: "organization" | "project";
   scopeSource: "credential" | "server_pin";
@@ -263,10 +267,10 @@ export function expireMcpConnectionContextCacheForTests() {
   for (const entry of connectionContextCache.values()) entry.expiresAt = 0;
 }
 
-export function connectionAnalyticsFromContext({
-  authContext,
-  scope,
-}: McpConnectionContext): McpConnectionAnalyticsContext | null {
+export function connectionAnalyticsFromContext(
+  { authContext, scope }: McpConnectionContext,
+  credentialType: McpCredentialType,
+): McpConnectionAnalyticsContext | null {
   const isApiKey =
     authContext.authentication.method === "api_key" &&
     authContext.authentication.source === "api_key" &&
@@ -278,7 +282,7 @@ export function connectionAnalyticsFromContext({
   if (!isApiKey && !isOAuth) return null;
 
   return {
-    authMethod: isApiKey ? "api_key" : "oauth",
+    authMethod: isApiKey ? "api_key" : credentialType,
     credentialScope: authContext.authorization.credential_scope.project_id
       ? "project"
       : "organization",