Question Local password manager vs Archiver

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Parkinsond

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Can storing a txt containing the credentials inside a password-protected compressed archive file using a long, complex password be as efficient as using the same password as master password of KeepassXC database?
 
KeePassXC probably has a better default KDF than the archivers, so the credentials can be better protected with a weaker master password. If using passwords of sufficient entropy, then you can't brute-force the passwords on either with current technologies. Since the password managers are more focused on security, they are likely to have features that are more amenable to not leaking or destroying the secrets than the archivers. Keylogging is probably monitored more closely by AV solutions, etc., than copying and pasting.

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You can see in KeepassXC > Database > Database securities > Encryption Settings.

For comparing AES-256 with other available Encryption algorithms, e.g. TwoFish, Chacha, that's beyond me and I am more inclined to say it doesn't make any practical differences.

Your master password is computed using KDF (Key Derivation Functions) into a key that is used to encrypt the AES-256 key (encryption key), If you use a weak master password, using a strong KDF algorithm protects the encryption key better.

For demonstrations, see Passphrase Cracking Calculator and compare 4-word passphrase estimated cracking costs using PKDF2 (with 600,000 iterations) against Argon2id (default parameters). These are KDFs normally set by Bitwarden users. The Argon2id is stronger and costs more to crack, protecting the same password.
 
It's fine using a encrypted archive if you trust the integrity and security of your machine/box/laptop. If you have a info stealer or keylogger your toast anyway with both a archive or password manager. Best security practices would be using KeePass or BitWarden but do what ever you think is more secure for you. The problem with archives is you have to make sure you delete them after use, otherwise you have your passwords just sitting there. Another option is to use in built browser password manager, but same problems if you lose, don't control or are compromised by malicious software it's really never going to end well.
 
For securing your credentials, a dedicated password manager is far superior to a password-protected compressed archive, and their security models are fundamentally different. When you open a password-protected archive, it creates an unencrypted, plaintext file that is highly vulnerable to being scraped by malware like info-stealers.

In contrast, a password manager handles everything internally. It decrypts the database directly in the application's memory and uses a secure clipboard that automatically clears itself after a short time, minimizing the window of opportunity for an attacker. This automation is key to avoiding human error, you'll never accidentally leave a vulnerable plaintext file on your system.

While a password manager is a powerful tool, it should be part of a multi-layered defense strategy. A password manager is designed to actively combat threats like keyloggers and info-stealers by making it extremely difficult to capture or steal your credentials, whereas an archive provides only a single layer of security.

To ensure your digital security is as robust as possible, you should also, Enable Multi-Factor Authentication (MFA) on all critical accounts, as this provides a second layer of defense even if your master password were to be compromised.

Keep your operating system and all software consistently updated to patch security vulnerabilities that malware can exploit.

Run reputable antivirus and anti-malware software to proactively detect and remove threats from your system.

Exercise extreme caution with emails, links, and downloads to prevent malware from gaining a foothold on your machine in the first place.
 

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