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Bcrypt Password Hashing: Why It Is the Gold Standard for Password Security

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Anonymiz Team
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May 16, 2026 ·2 min read ·1 views
Bcrypt Password Hashing: Why It Is the Gold Standard for Password Security

Why bcrypt is the recommended password hashing algorithm, how the cost factor works, and why MD5 and SHA256 are dangerously wrong for passwords.

Why Password Hashing Matters

When users create passwords, you should never store the raw password in your database. If your database is ever breached, attackers will have every user's password in plain text. Instead, store a one-way hash of the password — a mathematical fingerprint that cannot be reversed.

Why MD5 and SHA256 Are Wrong for Passwords

MD5, SHA256 and SHA512 are cryptographic hash functions designed for speed. A modern GPU can compute billions of SHA256 hashes per second. This makes them terrible for passwords — an attacker can try an entire dictionary of common passwords in milliseconds.

Why Bcrypt Is Different

Bcrypt is intentionally slow. It was designed specifically for password hashing with three key properties:

Understanding the Cost Factor

The cost factor (also called work factor) is a number that determines how many iterations bcrypt performs. At cost 10, bcrypt performs 2¹⁰ = 1,024 iterations and takes about 100ms. At cost 12, it performs 4,096 iterations and takes about 400ms. The OWASP recommendation is a minimum cost factor of 10.

Generate and Verify Bcrypt Hashes

Our Bcrypt Hash Generator generates real bcrypt hashes server-side using PHP's password_hash() function and verifies passwords against existing hashes.

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