I get that I'm now supposed to use a verifed email as a username instead of my old username. When I change my username to my verified email, I still get the 401.
I'm using basic auth without base 64 encoding to send my username and password. My program is a ruby script using HTTParty to hit the REST API. Additionally, we use GSuite to manage users, but before we switched to GSuite, I had created a a username for my user to use with this api script.
I assume you are using JIRA Cloud even if it is not specified. If this is not the case then this answer may not be valid.
However, this seems to be the same behavior described in the below bug ticket. Please review it and check the workarounds section in order to get this working:
Atlassian Cloud Support
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