sync_apply always updates local password if encrypt-on-disk is enabled

lbry/lbry/extras/daemon/Daemon.py

@@ -16,7 +16,7 @@ from traceback import format_exc
 from aiohttp import web
 from functools import wraps, partial
 from google.protobuf.message import DecodeError
-from torba.client.wallet import Wallet
+from torba.client.wallet import Wallet, ENCRYPT_ON_DISK
 from torba.client.baseaccount import SingleKey, HierarchicalDeterministic
 
 from lbry import utils
@@ -1642,6 +1642,7 @@ class Daemon(metaclass=JSONRPCServerType):
 
         """
         wallet = self.wallet_manager.get_wallet_or_default(wallet_id)
+        wallet_changed = False
         if data is not None:
             added_accounts = wallet.merge(self.wallet_manager, password, data)
             if added_accounts and self.ledger.network.is_connected:
@@ -1652,6 +1653,11 @@ class Daemon(metaclass=JSONRPCServerType):
                 else:
                     for new_account in added_accounts:
                         asyncio.create_task(self.ledger.subscribe_account(new_account))
+            wallet_changed = True
+        if wallet.preferences.get(ENCRYPT_ON_DISK, False) and password != wallet.encryption_password:
+            wallet.encryption_password = password
+            wallet_changed = True
+        if wallet_changed:
             wallet.save()
         encrypted = wallet.pack(password)
         return {

lbry/tests/integration/test_wallet_commands.py

@@ -117,15 +117,20 @@ class WalletEncryptionAndSynchronization(CommandTestCase):
         daemon, daemon2 = self.daemon, self.daemon2
         wallet, wallet2 = daemon.wallet_manager.default_wallet, daemon2.wallet_manager.default_wallet
 
+        self.assertEqual(wallet2.encryption_password, None)
+        self.assertEqual(wallet2.encryption_password, None)
+
         daemon.jsonrpc_wallet_encrypt('password')
         self.assertEqual(wallet.encryption_password, 'password')
 
         data = await daemon2.jsonrpc_sync_apply('password2')
+        # sync_apply doesn't save password if encrypt-on-disk is False
+        self.assertEqual(wallet2.encryption_password, None)
+        # need to use new password2 in sync_apply
         with self.assertRaises(ValueError):  # wrong password
             await daemon.jsonrpc_sync_apply('password', data=data['data'], blocking=True)
         await daemon.jsonrpc_sync_apply('password2', data=data['data'], blocking=True)
-
+        # sync_apply with new password2 also sets it as new local password
-        # password changed
         self.assertEqual(wallet.encryption_password, 'password2')
         self.assertEqual(daemon.jsonrpc_wallet_status(), {'is_locked': False, 'is_encrypted': True})
         self.assertEqual(daemon.jsonrpc_preference_get(ENCRYPT_ON_DISK), {'encrypt-on-disk': True})
@@ -137,13 +142,16 @@ class WalletEncryptionAndSynchronization(CommandTestCase):
         self.assertTrue(daemon.jsonrpc_wallet_unlock('password2'))
 
         # propagate disk encryption to daemon2
-        data = await daemon.jsonrpc_sync_apply('password2')
+        data = await daemon.jsonrpc_sync_apply('password3')
+        # sync_apply (even with no data) on wallet with encrypt-on-disk updates local password
+        self.assertEqual(wallet.encryption_password, 'password3')
         self.assertEqual(wallet2.encryption_password, None)
-        await daemon2.jsonrpc_sync_apply('password2', data=data['data'], blocking=True)
+        await daemon2.jsonrpc_sync_apply('password3', data=data['data'], blocking=True)
-        self.assertEqual(wallet.encryption_password, 'password2')
+        # the other device got new password and on disk encryption
+        self.assertEqual(wallet2.encryption_password, 'password3')
         self.assertEqual(daemon2.jsonrpc_wallet_status(), {'is_locked': False, 'is_encrypted': True})
         self.assertEqual(daemon2.jsonrpc_preference_get(ENCRYPT_ON_DISK), {'encrypt-on-disk': True})
         self.assertWalletEncrypted(wallet2.storage.path, True)
 
         daemon2.jsonrpc_wallet_lock()
-        self.assertTrue(daemon2.jsonrpc_wallet_unlock('password2'))
+        self.assertTrue(daemon2.jsonrpc_wallet_unlock('password3'))

torba/torba/client/wallet.py

@@ -178,8 +178,6 @@ class Wallet:
         added_accounts = []
         decrypted_data = self.unpack(password, data)
         self.preferences.merge(decrypted_data.get('preferences', {}))
-        if self.preferences.get(ENCRYPT_ON_DISK, False):
-            self.encryption_password = password
         for account_dict in decrypted_data['accounts']:
             ledger = manager.get_or_create_ledger(account_dict['ledger'])
             _, _, pubkey = ledger.account_class.keys_from_dict(ledger, account_dict)