The "password" issue has been here since the K first came out. I emailed Amazon on this, and here is their reply.
Hello,
Thanks for writing to us with concern regarding unauthorized Kindle purchases.
Whenever you identified your Kindle as lost or stolen, I request you to de-register your Kindle from your account immediately.
Deregistering also ensures your Archived Items are no longer available from that Kindle and additional purchases from that Kindle won't be charged to your Amazon.com account.
If unauthorized purchases happened before you de-registering the Kindle, I request you to contact us, so that we can refund for those purchases.
I hope this helps. We look forward to seeing you again.
Please let us know if this e-mail resolved your quest
So......as you can see, there is no need for a password. Any unauthorized use by a stolen Kindle will be refunded. That is the only thing they can buy from your Kindle........books.
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