Yahoo has launched a new service called “on-demand” passwords, which lets users log into their Yahoo account using a short password provided straight to their phone.
Instead of having to remember their own password, users can now setup their account to have a “send my password” button when they navigate to their Yahoo! login page. Once pressed, users will receive a four-character password to their registered phone, which will allow them to login.
To activate this option, users must log into their Yahoo account using their normal password and turn on on-demand passwords from the security settings.
This is the first step to eliminating passwords, said Dylan Casey, Yahoo’s vice president of product management for consumer platforms.

