I do think though that just using a pinephone as just a password manager might make sense for some people (I think) but at the price of pinephone and the features you can get with it, this is really underselling it (I think)
Maybe I don't have enough money to buy a pinephone just for this purpose but even if I would have, I would personally look more into soldering (esp32?) or some single board chip (SOC?) with a touch screen sounds nice too.
Now I am not kidding, there was this dumb phone which I was using and its cost was like 12.5$ and it had the features of camera, mic , text , messaging, audio, file manager and so much more... Basically it just didn't had a browser or ability to add apps ofc since it wasn't android. But yeah I do believe that something niche could be developed for people like you at maybe 1/10th the price