diff --git a/ChangeLog b/ChangeLog
index ad7c95421..d313f2735 100644
--- a/ChangeLog
+++ b/ChangeLog
@@ -1,3 +1,8 @@
+	* Changed the supybot.user configuration variable so that if it
+	isn't configured, the user will stay up-to-date with the current
+	version of the bot.  To take advantage of this, set your
+	supybot.user configuration variable to ""
+	
 	* Fixed a bug with AutoMode's auto-banning feature; a variable
 	was misspelled.
 	
diff --git a/src/User.py b/src/User.py
index 55aa0e057..e50140f10 100755
--- a/src/User.py
+++ b/src/User.py
@@ -259,31 +259,24 @@ class User(callbacks.Privmsg):
     removehostmask = wrap(removehostmask, ['private', 'otherUser', 'something',
                                            additional('something', '')])
 
-    def setpassword(self, irc, msg, args, optlist, user, password,newpassword):
-        """[--hashed] <name> <old password> <new password>
+    def setpassword(self, irc, msg, args, user, password,newpassword):
+        """<name> <old password> <new password>
 
         Sets the new password for the user specified by <name> to
         <new password>.  Obviously this message must be sent to the bot
-        privately (not in a channel).  If --hashed is given, the password will
-        be hashed on disk (rather than being stored in plaintext.  If the
-        requesting user is an owner user (and the user whose password is being
-        changed isn't that same owner user), then <old password> needn't be
-        correct.
+        privately (not in a channel). If the requesting user is an owner user
+        (and the user whose password is being changed isn't that same owner
+        user), then <old password> needn't be correct.
         """
-        hashed = conf.supybot.databases.users.hash()
-        for (option, arg) in optlist:
-            if option == 'hashed':
-                hashed = True
         u = ircdb.users.getUser(msg.prefix)
         if user.checkPassword(password) or \
            (u.checkCapability('owner') and not u == user):
-            user.setPassword(newpassword, hashed=hashed)
+            user.setPassword(newpassword)
             ircdb.users.setUser(user)
             irc.replySuccess()
         else:
             irc.error(conf.supybot.replies.incorrectAuthentication())
-    setpassword = wrap(setpassword, [getopts({'hashed':''}), 'otherUser',
-                                     'something', 'something'])
+    setpassword = wrap(setpassword, ['otherUser', 'something', 'something'])
 
     def username(self, irc, msg, args, hostmask):
         """<hostmask|nick>
diff --git a/src/ircdb.py b/src/ircdb.py
index d9ff11ead..97d394bc5 100644
--- a/src/ircdb.py
+++ b/src/ircdb.py
@@ -755,8 +755,7 @@ class UsersDictionary(utils.IterableMap):
 
     def newUser(self):
         """Allocates a new user in the database and returns it and its id."""
-        hashed = conf.supybot.databases.users.hash()
-        user = IrcUser(hashed=hashed)
+        user = IrcUser(hashed=True)
         self.nextId += 1
         id = self.nextId
         self.users[id] = user
diff --git a/test/test_User.py b/test/test_User.py
index 0eb5dc258..020f12567 100644
--- a/test/test_User.py
+++ b/test/test_User.py
@@ -87,19 +87,13 @@ class UserTestCase(PluginTestCase, PluginDocumentation):
         self.assertNotError('changename foo baz')
 
     def testSetpassword(self):
-        orig = conf.supybot.databases.users.hash()
-        try:
-            conf.supybot.databases.users.hash.setValue(False)
-            self.prefix = self.prefix1
-            self.assertNotError('register foo bar')
-            self.assertEqual(ircdb.users.getUser(self.prefix).password, 'bar')
-            self.assertNotError('setpassword foo bar baz')
-            self.assertEqual(ircdb.users.getUser(self.prefix).password, 'baz')
-            self.assertNotError('setpassword --hashed foo baz biff')
-            self.assertNotEqual(ircdb.users.getUser(self.prefix).password,
-                                'biff')
-        finally:
-            conf.supybot.databases.users.hash.setValue(orig)
+        self.prefix = self.prefix1
+        self.assertNotError('register foo bar')
+        password = ircdb.users.getUser(self.prefix).password
+        self.assertNotEqual(password, 'bar')
+        self.assertNotError('setpassword foo bar baz')
+        self.assertNotEqual(ircdb.users.getUser(self.prefix).password,password)
+        self.assertNotEqual(ircdb.users.getUser(self.prefix).password, 'baz')
 
     def testStats(self):
         self.assertNotError('user stats')