[gtsteve]

> Obviously, this would be less convinient and wouldn't sync between devices. But would do the job.

Seems like you answered your own question. While it is less secure, my password safe is synced across all devices. I can also easily share passwords with my family members and I can assist them with lockout issues. I don't think there's a nice solution for this with Keepass.

Also, a typical implementation is that the decryption is performed on your device. I don't think you send your key material to the provider but I don't know about all of them.

It is certainly a "keys to the kingdom" issue as you noticed, and I don't put 2FA reset credentials in the same place for example.