What is Password Hashing and Why is it Important?

Master the fundamentals of password hashing to protect user credentials and defend against modern cyberattacks. Essential knowledge for every developer and security professional.

12 min read
Updated September 2025
Expert Verified

Key Takeaway

Password hashing is a cryptographic security technique that transforms plain-text passwords into irreversible strings of characters. This fundamental security practice protects user credentials even if your database is compromised, making it essential for every web application and WordPress site.

What is Password Hashing?

Password hashing is a cryptographic process that converts a plain-text password into a fixed-length string of characters called a hash. Unlike encryption, which can be reversed with the correct key, hashing is designed to be a one-way function—meaning you cannot retrieve the original password from the hash.

Hash Function

A mathematical algorithm that takes any input and produces a fixed-size output. The same input always produces the same hash, but even tiny changes create completely different results.

One-Way Function

The process is irreversible by design. You can verify a password by hashing it and comparing the result, but you cannot "unhash" to get the original password back.

Example: Basic Hash Conversion

Plain-text password: "MySecurePassword123"
SHA-256 hash:        "8f434346648f6b96df89dda901c5176b10a6d83961dd3c1ac88b59b2dc327aa4"

Notice how the 19-character password becomes a 64-character hash. Every password gets converted to the same length output.

Why is Password Hashing Important?

Password hashing serves as the foundation of modern cybersecurity, protecting millions of user accounts worldwide. Without proper hashing, a single database breach could expose every user's password in plain text, leading to widespread account compromises and identity theft.

🛡️ Protection Against Data Breaches

When hackers gain access to a database, hashed passwords remain protected. Even with the hash, attackers cannot immediately access user accounts because they don't have the original passwords.

Real-world impact: Major breaches like LinkedIn (2012) and Adobe (2013) affected millions of users. Companies using proper password hashing significantly reduced the damage compared to those storing passwords in plain text.

🔒 Legal and Compliance Requirements

Regulations like GDPR, CCPA, and industry standards such as PCI DSS require organizations to implement appropriate security measures to protect personal data, including password hashing.

  • GDPR Article 32: Technical and organizational measures
  • PCI DSS Requirement 8: Strong access control measures
  • NIST Cybersecurity Framework guidelines

🎯 Prevention of Credential Stuffing

Hashing prevents attackers from using compromised passwords in credential stuffing attacks, where stolen passwords are tried across multiple platforms. Without the original password, these automated attacks become ineffective.

How Password Hashing Works

Understanding the technical process behind password hashing helps developers implement secure authentication systems and make informed decisions about security architecture.

Step-by-Step Process

1

User Registration/Login

User enters their password in plain text on your website or application.

2

Hash Generation

Your server applies a hash function (like bcrypt or Argon2) to convert the plain-text password into a hash.

3

Database Storage

Only the hash is stored in your database—never the original password.

4

Password Verification

During login, the entered password is hashed using the same function and compared with the stored hash.

Practical Example: bcrypt Implementation

// Registration: Hash and store password
const bcrypt = require('bcrypt');
const saltRounds = 12;

const plainPassword = 'UserPassword123';
const hashedPassword = await bcrypt.hash(plainPassword, saltRounds);
// Store hashedPassword in database

// Login: Verify password
const loginPassword = 'UserPassword123';
const isValid = await bcrypt.compare(loginPassword, hashedPassword);
console.log(isValid); // true if passwords match

Salt and Rainbow Table Protection

While basic hashing provides significant protection, sophisticated attackers use precomputed tables called rainbow tables to crack common passwords. Salt adds an extra layer of security by making each hash unique, even for identical passwords.

What is Salt?

A random string added to passwords before hashing. Each password gets a unique salt, ensuring that identical passwords produce different hashes.

password + salt = hash
"secret" + "a8f5f167" = "9f86d08..."

Rainbow Tables

Precomputed databases of common passwords and their hashes. Attackers use these to quickly look up passwords from hashes.

Salt makes rainbow tables ineffective because each salted hash is unique, requiring attackers to compute hashes for each password individually.

WordPress Salt Implementation

WordPress uses multiple salt keys in wp-config.php to secure user sessions and cookies. These work alongside password hashing to provide comprehensive protection.

Learn about WordPress Salt Key Management →

Common Security Threats Password Hashing Prevents

🎯 Brute Force Attacks

Attackers systematically try every possible password combination. Strong hashing algorithms with sufficient computational cost make brute force attacks impractical.

Protection: Modern algorithms like Argon2 and bcrypt include configurable work factors that increase computation time, making brute force attacks exponentially more difficult.

📊 Dictionary Attacks

Attackers use lists of common passwords, leaked passwords, and variations. Salt prevents precomputed dictionary attacks but doesn't eliminate the need for strong password policies.

  • Common passwords: "password123", "admin", "123456"
  • Leaked password databases from previous breaches
  • Variations with common substitutions (e.g., "@" for "a")

⚡ Rainbow Table Attacks

Precomputed hash tables for rapid password lookup. Salting effectively neutralizes rainbow table attacks by making each hash unique.

Time comparison: Rainbow table lookup: milliseconds | Salted hash cracking: hours to years

Implementation Best Practices

Choose the Right Algorithm

Recommended

  • • Argon2 (newest)
  • • bcrypt (proven)
  • • scrypt (memory-hard)

Acceptable

  • • PBKDF2 (with high iterations)
  • • SHA-256 (with salt)

Avoid

  • • MD5 (broken)
  • • SHA-1 (deprecated)
  • • Plain text (never!)

Configuration Guidelines

Salt Generation

  • Use cryptographically secure random generators
  • Generate unique salt for each password
  • Minimum salt length: 16 bytes (128 bits)
  • Store salt alongside the hash

Work Factor Tuning

  • bcrypt: cost factor 12+ (adjust based on hardware)
  • Argon2: memory cost 64MB+, time cost 3+
  • Target: 250-500ms computation time
  • Regular review and updates as hardware improves

Security Checklist

✅ Implementation
  • ☐ Use modern hashing algorithm
  • ☐ Generate unique salt per password
  • ☐ Configure appropriate work factor
  • ☐ Hash on server-side only
🔄 Maintenance
  • ☐ Regular algorithm review
  • ☐ Monitor computation times
  • ☐ Update work factors annually
  • ☐ Security audit and testing

WordPress Security Context

WordPress handles password hashing automatically using its built-in functions, but understanding the underlying security mechanisms helps you implement additional protections and make informed decisions about user authentication.

WordPress Built-in Security

WordPress uses the PHPass library for password hashing, implementing a secure bcrypt-based approach with salting. The system automatically handles hash generation and verification.

// WordPress password hashing
$hashed = wp_hash_password($password);

// Password verification
$is_valid = wp_check_password($password, $hashed);

Additional Security Layers

Authentication Keys

  • • SECURE_AUTH_KEY
  • • LOGGED_IN_KEY
  • • NONCE_KEY
  • • AUTH_SALT

Session Security

  • • SECURE_AUTH_SALT
  • • LOGGED_IN_SALT
  • • NONCE_SALT
  • • Cookie encryption

WordPress Security Recommendations

Regular Salt Rotation: Update your WordPress salt keys every 6-12 months to maintain security integrity.

Strong Password Policies: Implement minimum password requirements and consider two-factor authentication for administrator accounts.

Security Monitoring: Use security plugins to monitor login attempts and detect potential brute force attacks.

Conclusion

Password hashing forms the cornerstone of modern cybersecurity, protecting user credentials from data breaches and unauthorized access. By understanding the fundamentals of hash functions, salt generation, and proper implementation practices, developers can build robust authentication systems that stand up to evolving security threats.

Essential Security

Password hashing is non-negotiable for any application handling user credentials

Proven Protection

Modern algorithms like Argon2 and bcrypt provide industry-standard security

Ongoing Vigilance

Regular updates and monitoring ensure continued protection against new threats

Ready to Strengthen Your Password Security?

Implement these password hashing best practices in your WordPress site and protect your users with enterprise-grade security.