That's why I don't ever trust even once in an online password manager. As an IT professional, I know the risk and danger of storing passwords or seed phrases in password managers. First, of course, the application or website is being managed by other people; it of course has the risk of being breached or hacked. It is a common sense, especially now that hacking and scamming are prominent.
If you are a cryptocurrency holder and are storing seed phrases and passwords online, this is a wake-up call thanks to the topic, and op he discovered this news and posted it here immediately, so if you do that, then stop it right now, any minute, or anytime. We never know your passwords or valuable keys can be stolen by those who take advantage of the technology. Instead of relying on password managers or even an online note, find another option or way to keep your passwords or anything that is a credential to your accounts.