I wonder if this is related to console switching, video modes, etc. What happens if you try to switch VTs from VT1 to VT7 and back, is the password still shown in the clear?
-- [edgy] boot with "single" option shows the text of the typed root password https://launchpad.net/bugs/63592 -- ubuntu-bugs mailing list ubuntu-bugs@lists.ubuntu.com https://lists.ubuntu.com/mailman/listinfo/ubuntu-bugs