diff --git a/docs/openssh-compatibility-status.md b/docs/openssh-compatibility-status.md
index 5922eb713..a16e1911b 100644
--- a/docs/openssh-compatibility-status.md
+++ b/docs/openssh-compatibility-status.md
@@ -85,3 +85,9 @@ Security regression coverage preserves trusted-file-only shell Match execution,
 The binding API proposal is [russh PR #794](https://github.com/Eugeny/russh/pull/794). Dependency adoption is conditional on upstream merge: only an immutable merged revision from the official upstream may be used temporarily, followed by a crates.io release. An unmerged contributor branch is not an approved dependency. Current code must continue to fail closed on unsupported agent constraints.
 
 Remaining control details include complete forwarding-channel enumeration, allocated remote-port replies, multiplexed `-W`, TTY-failure notifications and `~user` expansion. Unix-domain forwarding is implemented; raw mux-v4 interoperability is not. Eager `zlib` is validated; delayed `zlib@openssh.com` is not advertised. Non-pipe/socket character-device stdin still uses the existing blocking adapter; the SCP fix does not claim every stdin source is cancellation-safe.
+
+### Server security-key authorization
+
+bssh-server fails closed for `sk-ssh-ed25519@openssh.com` and `sk-ecdsa-sha2-nistp256@openssh.com` user keys: russh does not expose signature UP/UV flags to the authentication callback. An `authorized_keys` line must have `no-touch-required` and must not have `verify-required` to authorize either type. The default touch policy and every verification-required policy are rejected and logged at info level. Ordinary keys are unaffected. This server restriction is distinct from client-side security-key signing and host-key verification described above; [#340](https://github.com/lablup/bssh/issues/340) tracks actual signature-flag enforcement. Security-key user certificates remain out of scope.
+
+For duplicate user-key entries, the first matching `authorized_keys` line determines the security-key policy. A later `no-touch-required` entry cannot override an earlier matching line that requires touch or verification; unrelated keys are skipped.
diff --git a/docs/security.md b/docs/security.md
index 26d6f563e..8babfca45 100644
--- a/docs/security.md
+++ b/docs/security.md
@@ -55,6 +55,14 @@ auth:
 - Restrict authorized_keys file permissions to 0600
 - Regularly rotate keys (annually or when personnel changes)
 
+### Security-key user authentication
+
+bssh-server currently cannot inspect the user-presence (UP/touch) or user-verification (UV/PIN or biometric) flags of security-key signatures through russh. It therefore rejects `sk-ssh-ed25519@openssh.com` and `sk-ecdsa-sha2-nistp256@openssh.com` user keys by default. A matching `authorized_keys` entry is accepted only if it explicitly contains `no-touch-required` and does not contain `verify-required`. Adding both options still rejects the key. Rejections are logged at info level.
+
+Use an ordinary key or an SSH server that enforces UP/UV when touch or verification is required. Only use `no-touch-required` when deliberately authorizing authentication without either requirement; it is a relaxation of policy, not a way to enforce touch. Ordinary public keys are unaffected. Signature-flag enforcement is tracked in [#340](https://github.com/lablup/bssh/issues/340); security-key user certificates are outside this support.
+
+For duplicate user-key entries, the first matching `authorized_keys` line determines the security-key policy. A later `no-touch-required` entry cannot override an earlier matching line that requires touch or verification; unrelated keys are skipped.
+
 ### Password Authentication
 
 If password authentication is required, use strong passwords with Argon2id hashing:
diff --git a/src/server/auth/publickey.rs b/src/server/auth/publickey.rs
index ea3d37244..5d080706e 100644
--- a/src/server/auth/publickey.rs
+++ b/src/server/auth/publickey.rs
@@ -213,6 +213,12 @@ pub struct AuthKeyOptions {
     /// Disable agent forwarding
     pub no_agent_forwarding: bool,
 
+    /// Permit security-key signatures without user presence (touch).
+    pub no_touch_required: bool,
+
+    /// Require security-key user verification (PIN or biometric).
+    pub verify_required: bool,
+
     /// Disable X11 forwarding
     pub no_x11_forwarding: bool,
 }
@@ -286,6 +292,24 @@ impl PublicKeyVerifier {
         // Check if key matches any authorized key
         for authorized_key in &authorized_keys {
             if self.keys_match(key, authorized_key) {
+                // russh verifies the signature but does not expose its UP/UV flags
+                // to auth_publickey. Never authorize a policy we cannot enforce.
+                if matches!(
+                    key.algorithm(),
+                    russh::keys::ssh_key::Algorithm::SkEd25519
+                        | russh::keys::ssh_key::Algorithm::SkEcdsaSha2NistP256
+                ) && (!authorized_key.options.no_touch_required
+                    || authorized_key.options.verify_required)
+                {
+                    tracing::info!(
+                        user = %username,
+                        key_type = %key.algorithm(),
+                        "Security key rejected: user presence or verification policy cannot be enforced; only no-touch-required without verify-required is supported"
+                    );
+                    // The first matching entry determines the policy; a later
+                    // duplicate must not weaken its presence/verification requirement.
+                    return Ok(false);
+                }
                 tracing::info!(
                     user = %username,
                     key_type = %key.algorithm(),
@@ -635,6 +659,8 @@ fn parse_key_options(options_str: &str) -> Result<AuthKeyOptions> {
         } else {
             // Boolean option
             match option {
+                "no-touch-required" => options.no_touch_required = true,
+                "verify-required" => options.verify_required = true,
                 "no-pty" => options.no_pty = true,
                 "no-port-forwarding" => options.no_port_forwarding = true,
                 "no-agent-forwarding" => options.no_agent_forwarding = true,
diff --git a/tests/server_sk_policy_test.rs b/tests/server_sk_policy_test.rs
new file mode 100644
index 000000000..02d12cc75
--- /dev/null
+++ b/tests/server_sk_policy_test.rs
@@ -0,0 +1,101 @@
+// Copyright 2025 Lablup Inc. and Jeongkyu Shin
+//
+// Licensed under the Apache License, Version 2.0 (the "License");
+// you may not use this file except in compliance with the License.
+// You may obtain a copy of the License at
+//
+//     http://www.apache.org/licenses/LICENSE-2.0
+//
+// Unless required by applicable law or agreed to in writing, software
+// distributed under the License is distributed on an "AS IS" BASIS,
+// WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+// See the License for the specific language governing permissions and
+// limitations under the License.
+
+use std::sync::Arc;
+
+use bssh::server::{config::ServerConfig, handler::SshHandler, session::SessionManager};
+use russh::keys::ssh_key::{
+    PublicKey,
+    public::{Ed25519PublicKey, KeyData, SkEcdsaSha2NistP256, SkEd25519},
+};
+use russh::server::{Auth, Handler};
+use tokio::sync::RwLock;
+
+fn keys() -> [PublicKey; 3] {
+    let ed = Ed25519PublicKey([7; 32]);
+    let signing = p256::ecdsa::SigningKey::from_slice(&[1; 32]).unwrap();
+    let point = signing.verifying_key().to_sec1_point(false);
+    [
+        PublicKey::new(KeyData::SkEd25519(SkEd25519::new(ed, "ssh:")), ""),
+        PublicKey::new(
+            KeyData::SkEcdsaSha2NistP256(SkEcdsaSha2NistP256::new(point, "ssh:")),
+            "",
+        ),
+        PublicKey::new(KeyData::Ed25519(ed), ""),
+    ]
+}
+
+async fn authenticate(key: &PublicKey, lines: &[String]) -> bool {
+    let dir = tempfile::tempdir().unwrap();
+    let user_dir = dir.path().join("alice");
+    std::fs::create_dir(&user_dir).unwrap();
+    let path = user_dir.join("authorized_keys");
+    std::fs::write(&path, lines.join("\n")).unwrap();
+    #[cfg(unix)]
+    {
+        use std::os::unix::fs::PermissionsExt;
+        std::fs::set_permissions(&user_dir, std::fs::Permissions::from_mode(0o700)).unwrap();
+        std::fs::set_permissions(&path, std::fs::Permissions::from_mode(0o600)).unwrap();
+    }
+    let config = ServerConfig::builder()
+        .allow_publickey_auth(true)
+        .allow_password_auth(false)
+        .authorized_keys_dir(dir.path())
+        .build();
+    let mut handler = SshHandler::new(
+        None,
+        Arc::new(config),
+        Arc::new(RwLock::new(SessionManager::new())),
+    );
+    matches!(
+        handler.auth_publickey("alice", key).await.unwrap(),
+        Auth::Accept
+    )
+}
+
+#[tokio::test]
+async fn server_sk_policy_enforces_each_authorized_key_option_combination() {
+    for (index, key) in keys().iter().enumerate() {
+        for options in [
+            "",
+            "no-touch-required",
+            "verify-required",
+            "no-touch-required,verify-required",
+            "verify-required,no-touch-required",
+            "no-pty,no-touch-required",
+        ] {
+            let line = format!("{options} {}", key.to_openssh().unwrap());
+            let accepted = authenticate(key, &[line]).await;
+            let expected = index == 2
+                || (options.contains("no-touch-required") && !options.contains("verify-required"));
+            assert_eq!(accepted, expected, "{}: {options}", key.algorithm());
+        }
+    }
+}
+
+#[tokio::test]
+async fn server_sk_policy_uses_first_matching_entry() {
+    let keys = keys();
+    for key in &keys[..2] {
+        let public = key.to_openssh().unwrap();
+        let restricted = format!("verify-required {public}");
+        let allowed = format!("no-touch-required {public}");
+        assert!(!authenticate(key, &[restricted.clone(), allowed.clone()]).await);
+        assert!(authenticate(key, &[allowed.clone(), restricted]).await);
+        // An exception for a different key must never relax this key's policy.
+        let unrelated = format!("no-touch-required {}", keys[2].to_openssh().unwrap());
+        assert!(!authenticate(key, &[public, unrelated.clone()]).await);
+        assert!(authenticate(key, &[unrelated, allowed]).await);
+    }
+}