as a matter of fact KWallet is not very secure in the first place. With a 
password it is secure as long as you have not opened the wallet. Once the 
wallet is open it is unsecure in the following (obvious) ways:
* all information on how to read the passwords has to be in memory. Reading 
the memory would provide the passwords. Turning of the system would not 
protect against it (cold boot attack [1])
* there is no authentication between applications and the wallet. Establishing 
authentication is hardly possible on an open system.

Overall I would say if you do not fear that someone would get access to your 
turned off system there is no need to have a password. That is a desktop 
system is probably fine without a password, but on a notebook which could be 
stolen one should consider using one. There is probably a higher risk from 
malware interacting with the open wallet than that someone steals the hard 
disk.

In most cases the mentioned LUKS solution is excelent, though I just need to 
point out that it's of course also breakable by cold boot attacks.

I'm not a KWallet developer, just subscribed to this report and interested in 
IT security (was my major in my Masters program). If you know think that 
KWallet is insecure: be aware that these are problems probably visible in all 
password store solutions. The security model of Linux is "if it runs, it's 
trusted", which means one does not have to consider malicious software.

[1] http://en.wikipedia.org/wiki/Cold_boot_attack

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https://bugs.launchpad.net/bugs/397466

Title:
  There is no KWallet PAM integration

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