Resolution:
Yes, TIBCO ActiveMatrix Adapter for Database sends encrypted password to database.

Passwords are encrypted using the DES algorithm with a 64-bit (8-byte) key. The key is generated and provided by the server at connection time, and is different for each session.  The encryption method and key strength are not determined by the driver, but by the server.  The Oracle server requires passwords to be encrypted; they cannot be sent in the clear.  
The exact algorithm is proprietary.

Environment
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