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In this video, Hussein addresses common misconceptions about authentication systems, particularly regarding password encryption. He notes that many newcomers and self-proclaimed experts misunderstand the role of client-side password encryption. Hussein emphasizes that encrypting passwords on the client side before sending them via POST requests is unnecessary, as communication between the client and server is already secured through TLS. He highlights that even large companies like Google do not encrypt passwords this way, relying instead on the robustness of TLS 1.3 for security.