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BTW, 3G is a lot slower than WiFi.
If all you intend to do online from the Kindle is download ebooks you've either purchased from Amazon using another computer or emailed to your Kindle's address from a computer, the speed difference will matter very little.
If you intend to browse the ebook store, Amazon's or one of the free ones like PG or Manybooks, from your Kindle you may find WiFi preferable and should really consider "Option #2", adding a second WiFi access point. You'll still have the same "long password security issue", but you only have to successfully type it in once.
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