Disable password clearing (config define)
 

I was reading the (extremely informative) article from ct2k7 and came across this define:
PHP Code:


He describes it as:
Sends pasword as raw text over HTTP as POST instead of hashing with MD5. Useful in integrations such as LDAP etc.

(This is hypothetical - I am not going to do this) If I defined this in the config file, would this store passwords as plaintext rather than md5?

I'd like some light shed on this if possible.

Thanks in advance.