Password Encryption
The process of converting plaintext passwords into an unreadable format using cryptographic algorithms, ensuring stored credentials cannot be directly read if stolen.
Password encryption transforms readable passwords into ciphertext using cryptographic algorithms. Unlike hashing (which is one-way), encryption is reversible with the correct key, which is why it’s used by password managers that need to retrieve and display the original password.
In a password manager, credentials are encrypted with a key derived from the master password using a key derivation function (like PBKDF2, scrypt, or Argon2). The encrypted vault can be safely stored on servers because it’s useless without the derived key.
The distinction between encryption and hashing matters: services should hash passwords for login verification (they never need the plaintext), while password managers encrypt passwords for secure storage and retrieval.
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