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Discussion on: Securing your express/Node.js API with Firebase auth

 
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if every app did authentication the same way you are suggesting then their hashed password is still all that will be needed in a case of compromise.

There are, I think, ways to mitigate this kind of hash re-use. And I think Michael is right about there being some security advantages to interception of a hash vs a plaintext password.

Ideally a variable-salted hash of the passphrase would be signed by a given client's private key specific to the user, the same one used for a mutual TLS session.

It could still be intercepted via a MITM attack, but the attack might then give evidence of tampering.