If you did not expect it to be, maybe it isn't.
OpenLDAP tools like ldapsearch and slapcat display userPassword in base64-encoded format, a format designed to represent binary values as text.
A double colon after the attribute name indicates that the value is base64-encoded.
On the other hand, if you have set the password with the LDAP Password Modify Extended Operation (e.g. via the program ldappasswd), then the server did encrypt the password before storing it, according to the 'password-hash' directive in slapd.conf.
h.b.furuseth@usit.uio.no |