Claude Code v2.1.126: Model Picker, Project Purge, OAuth Fixes, and Security Improvements

Anthropic released Claude Code v2.1.126 with several notable features and fixes. Here's what changed.

Model Picker for Gateways

The /model picker now lists models from your gateway's /v1/models endpoint when ANTHROPIC_BASE_URL points at an Anthropic-compatible gateway. This makes it easier to switch models in proxied setups.

New Command: claude project purge

Added claude project purge [path] to delete all Claude Code state for a project — transcripts, tasks, file history, and config entry. Supports --dry-run, -y/--yes, -i/--interactive, and --all flags.

Security and Permissions

• --dangerously-skip-permissions now bypasses prompts for writes to .claude/, .git/, .vscode/, shell config files, and other previously-protected paths. Catastrophic removal commands still prompt as a safety net.
• Fixed allowManagedDomainsOnly / allowManagedReadPathsOnly being ignored when a higher-priority managed-settings source lacked a sandbox block.
• Windows: clipboard writes no longer expose copied content in process command-line arguments visible to EDR/SIEM telemetry; also fixes >22KB selections not reaching the clipboard.

OAuth and Login Fixes

• claude auth login now accepts the OAuth code pasted into the terminal when the browser callback can't reach localhost (WSL2, SSH, containers).
• Fixed OAuth login failing with timeout on slow or proxied connections, in IPv6-only devcontainers, and when the browser callback can't reach localhost.
• Fixed showing the login screen for "OAuth not allowed for organization" errors — now shows guidance to contact your admin.
• Fixed a rare race where a concurrent credential write could clear a valid OAuth refresh token.

Windows Improvements

• PowerShell 7 installed via Microsoft Store, MSI without PATH, or .NET global tool is now detected.
• When the PowerShell tool is enabled, Claude now treats PowerShell as the primary shell instead of defaulting to Bash.
• Fixed Japanese/Korean/Chinese text rendering as garbled characters on Windows in no-flicker mode.

Other Notable Fixes

• Fixed pasting an image larger than 2000px breaking the session — images are now downscaled on paste, and oversized images in history are automatically removed and the request retried.
• Fixed "Stream idle timeout" error after waking Mac from sleep mid-request.
• Fixed background and remote sessions falsely aborting with "Stream idle timeout" during long model thinking pauses.
• Fixed overly fast trackpad scrolling in Cursor and VS Code 1.92–1.104 integrated terminals.
• Fixed Ctrl+L clearing the prompt input — it now only forces a screen redraw, matching readline behavior.
• Fixed deferred tools (WebSearch, WebFetch, etc.) not being available to skills with context: fork and other subagents on their first turn.
• Fixed plan-mode tools being unavailable in interactive sessions launched with --channels.
• Fixed Agent SDK hang when the model emits a malformed tool name in a parallel tool call batch.

Telemetry and Auto Mode

• claude_code.skill_activated OpenTelemetry event now fires for user-typed slash commands and carries a new invocation_trigger attribute ("user-slash", "claude-proactive", or "nested-skill").
• Auto mode: the spinner now turns red when a permission check stalls, instead of looking like the tool is running.
• Host-managed deployments (CLAUDE_CODE_PROVIDER_MANAGED_BY_HOST) no longer auto-disable analytics on Bedrock/Vertex/Foundry.

For full details, see the release notes.