This is just fear mongering.
Boo hoo. Did I say it's a bug? I said it's a security issue. It's also an exceptionally stupid thing to have as standard behavior without warning. It demonstrates poor priorities and ideas about safety on the part of LastPass.
I would prefer a tool that works for teams if anyone has suggestions. I care about how my team manages and shares their passwords. Looking for something that works across devices, and where I can share access but not necessarily share the actual passwords if I can avoid it. I really like LastPass, it's a shame about some of their issues.
Disclosure: happy user of pass, but haven't tried encrypting to multiple identities.
Perhaps this is a case where a feature that makes some sense in some cases was added, the problem is, outside that scope it's a really bad idea. But then someone said "We'll make it optional..." and the rest was history?
What would I do? I'd probably set up a second Chrome user and the LP for that user/browser would be auth creds for only stuff I'd need offline.
That would allow the main LP vault to have it disabled. This mitigates exposure.