To understand Collection #2, you have to understand its predecessor, "Collection #1." The "Collections" series were not typical data breaches where one company gets hacked. Instead, they were massive compilations of usernames and passwords that had been stolen from thousands of different websites over many years and aggregated into one giant file.
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For the average user, the is a wake-up call that antivirus software is insufficient. You need a password manager (to ensure unique passwords) and a "session management" habit (regularly logging out of apps). To understand Collection #2, you have to understand