Comment 7 for bug 296682

hash+salt is for storing passwords you will authenticate against (like /etc/shadow, for instance). In this case, it's the remote credentials so you don't have to type them on each connection. If it was crypt+salted how would the software know what the password is without showing it to everyone anyways?

The final solution is to use the keyring. I will have to see how that is done (or submit a patch *hint*hint*hint*) :)