It still has a pretty serious security hole: Passwords are visible in plain text. A quick trip into "Personal Stuff" and "Manage saved passwords..." is all you need in order to expose this info.
I ran a quick test. Without straining much, you can click the "show" button on about 40 passwords in one minute. A quick Ctrl+P and the entire list is printed in plain text! It probably wouldn't take much longer than that to email it or transmit the plain text list via some other method.
If you have three to five minutes on someone's workstation you can walk away with the login information for absolutely everything they've done through the browser, banking, social, email, whatever.
What sucks is that people have been very vocal on the Chrome support forum about this particular issue and, well, they've been summarily ignored.
Maybe I'm missing something fundamental here but I just can't understand why Google would leave this huge gaping hole in there. It can't be that hard to at least provide one more layer of security. You should not be able to see any passwords without a master password.
I've looked at some of the arguments pointing out that this could provide a false sense of security. My point (and that made by countless others) is very simple: The way it works today a ten-year-old could steal all of your passwords inside of five minutes without even having to work very hard. A layer or two of security would make it so that a far more knowledgeable and seriously involved process (or spying software) would have to be utilized to steal your stuff. I vote for option #2.
I use Chrome as my primary browser, but I am not a civil servant at a government office. I am keenly aware of the security hole.
That said, I don't recommend it to family and friends because a non-techie will screw themselves in an instant with this browser. Imagine Uncle Pete taking his laptop to be serviced and having all of his personal login data fully exposed to the 17-year-old pimple-faced kid at the computer shop. Terrible stuff.
Google: Please fix this before it becomes the source of embarrassment and huge personal loss to lots of people.