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The key difference here being that this is two way hashing so passwords can be decrypted.
In reality, there are a lot of attack vectors like MITM, event logging or sometimes straight up storing data in plaintext. Through these hackers can generally get passwords of all users of these services.
So, why don't people use local password managers?
Just a txt file encrypted with "master password" should be pretty damning to break into. And the reward for breaking in would be password for 1 person. (compared to 100k businesses).
Obviously, this would be less convinient and wouldn't sync between devices. But would do the job.
And the best part is there are solutions already that do this: https://keepass.info/
So, why do people and companies use Okta etc?
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