The company likely came to this conclusion due to a series of hacks and leaks of confidential user information on the dark web. The requirement for users to create a 12-character master password has been in effect since 2018, but it is possible to exceed this requirement. Starting in April 2023, new accounts were required to use only a 12-character password, and old accounts were not required to follow these rules.
All accounts now need to switch to long passwords, otherwise a warning will appear on the screen about the use of insecure master password and the need to fix it.
Source: Ferra

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