Acronis Cyber Protect Cloud: Recovery with reboot fails with "couldn't get upstream token" on a machine with local DNS

You have a machine with a local DNS server (such as unbound or named) in a network with DHCP.

Recovery (entire machine or disk-level that requires reboot) fails with this error:

Error:
{"domain":"Access","code":"InvalidGrant","debug":{"msg":"couldn't get upstream token, Post https://jp-cloud.acronis.com/bc/idp/token: dial tcp: lookup jp-cloud.acronis.com on 127.0.0.1:53: read udp 127.0.0.1:55705-\u003e127.0.0.1:53: read: connection refused"},"error":"invalid_grant","error_description":"couldn't get upstream token, Post https://jp-cloud.acronis.com/bc/idp/token: dial tcp: lookup jp-cloud.acronis.com on 127.0.0.1:53: read udp 127.0.0.1:55705-\u003e127.0.0.1:53: read: connection refused"}