Earlier quoted context omitted.
No. No it's not. please tell me how someone is going to get those passwords without root. (hint, they're not) additionally, how is this different than NY laptop with Pidgin accounts, my IMAP client, Firefox's stored passwords, etc.
Actually Android phones cannot use two way authentication so after you enable it in google account you will have to create an application specific password: that means that your android phone will login to google account using your usual username and a "per application" password randomly generated by google. That is the one that is stored in the sql db. All google has to do is to make sure that you cannot login using…
My iPad 2 was recently stolen (sad face) and I just had to revoke the different passwords I used for the different apps (Reeder, Mail, Safari, etc.).