Passwords have protected our online accounts for decades, but things have changed. More sophisticated cybercriminals are devising new ways to defraud unsuspecting victims, such as social engineering schemes, phishing scams, and data breaches. This makes me wonder if passwords are still enough to protect us.
Fortunately, cybersecurity experts are also developing new ways of protecting our online lives and personal data. The only thing we must do is follow their tips and instructions.
The risks of using passwords in the current era
Traditional digital passwords may have worked in the past decades, but things have changed. There are now plenty of risks in relying on passwords alone, such as:
1. Security risks
It’s amusing that after decades of cybersecurity innovations and education, the most popular password around the world is still “123456,” according to Private Internet Access (PIA).
This presents the stark reality that the weakest link in our fight against cybercrimes is ourselves, as many still reuse the same passwords across social media, mobile banking, or email accounts.
2. Financial costs
When I was working in corporate IT, we always had webinars on cybersecurity, which always included the potential financial costs to the company for falling into cybercrimes, including ransomware, data breaches, and hacking.
IBM’s Cost of a Data Breach Report also revealed that the average cost of data breaches in the ASEAN region reached $3.23 million in 2024 – a new high.
3. Monetary loss
You may think individuals are safe from cybercriminals, but that’s far from the truth. That’s why they are being arrested for hacking websites, especially when government and banking sites are involved. This shows that our data may have been compromised without our knowledge, which can lead to further damages, including monetary loss.
Password alternatives
Since we can’t totally eliminate the risk of cybercrimes, we can only minimize it by adding additional protection to our accounts and credentials. So, to ensure digital security, here are some password alternatives you can try.
1. Passkeys
Passkeys are a great alternative to sign-in credentials. They eliminate the need for individual usernames and passwords for each account you own, making signing in more secure and less prone to hacking, keylogging, or phishing attempts.
These passkeys use public key cryptography and are stored on your device, removing the need to remember anything. Don’t worry; passkeys are easier to use.
2. Multi-Factor Authentication (MFA)
Using multi-factor authentication (MFA) improves your security by adding another layer of verification on top of your usual username and password. You may not notice it, but you’re probably already using a form of MFA daily, like receiving one-time pins (OTP) via SMS, call, or email, using a security token, or answering a security question.
3. Biometric Security
Biometric passwords refer to using your physical characteristics, such as fingerprints, facial scans, or voice recognition, as credentials instead of traditional passwords. This type of identification is already used in many government offices, and some private institutions also use it to improve security.
4. Password Managers
Password managers are not technically a password alternative, as you still use passwords. However, it allows you to store your credentials in a single repository. This way, you can create or generate harder and longer passwords (which you don’t need to memorize) since your password manager will auto-fill it for you. If you’re interested to know how password managers can help you, check out our explainer here.
Challenges of replacing passwords with security alternatives
Despite the existence of more secure password alternatives, people are more likely to continue sticking with them because of these challenges:
1. Familiarity with passwords
Passwords have been the default for a long time, and changing people’s habits will be an uphill battle. We can’t expect people who have been using their passwords since high school to suddenly switch to using passkeys and password managers. However, educating them is a great start.
2. Age of users
Age will always be a factor in using passwords. Older folks are less likely to change their ways than their younger counterparts. For instance, despite constant reminders, older people may still write down their passwords in their notebooks, and learning to use newer technologies can be frustrating.
3. Compatibility issues
Compatibility will always be one of the reasons why password alternatives will be an issue. Legacy systems and older devices are often not supported by newer updates in the security initiatives. Companies would need to invest a lot of money to improve their systems – which they’re likely unwilling to do.
Passwords have been used since the 1960s. However, cyber crimes have become more sophisticated and dangerous in the past six decades. This encourages everyone to improve digital security by implementing more secure authentication methods, even if it means saying goodbye to passwords.