[Blikkentrekker]

It doesn't matter and it's still a theatre. Those malicious applications can do what they want regardless by editing arbitrary files and obtain the same end.

The supposed threads of malicious applications keylogging and stealing your website passwords to worry about is rather strange when such an application can edit the files on your system such that you're starting a modified version of a web browser they injected with whatever code they want to do the same. In fact, this is probably easier to do than try to write some kind of a.i. that filters what it thinks are “password keypresses” opposed to altering the code of the web browser such that it simply sends whatever is being put into a field marked as “password” on a website.

It's a moral panic boogeyman that has no actual implications for actual real life security. Like quite a bit of “security” talk these days. Much of it comes down to the “door in your room” analogy where “security experts” talk about putting a big door in the middle of one's living room with an impenetrable lock on the idea of kindly asking criminals to only go through that door to steal things. In reality they'll just walk around it, and now one has an inconvenient door in the middle of one's living room.