In part 1 you got the background - lets look at the sample code. It's a Windows Forms application and shows you the different types of storing solutions discussed. It uses a SQL Server database - and to create the tables the script is available from within the app:
After that you modify the connection string to point to it - and then just press the Start button.
All forms looks pretty much the same:
You can create accounts - and test to login as well.
So the whole point : the hashed solution - take a look at the users foo and extra. Both have entered "bar" as password. Still the database column from the hashedpwd are different for them two:
So please try it out - all code needed is available - there are some helper classes for hashing and encrypting which are easy enough to move to a web solution if that's desired.