diff --git a/app/scripts/keyring-controller.js b/app/scripts/keyring-controller.js
index 00c04ea9b..b24c4bac5 100644
--- a/app/scripts/keyring-controller.js
+++ b/app/scripts/keyring-controller.js
@@ -113,34 +113,25 @@ module.exports = class KeyringController extends EventEmitter {
     })
   }
 
-  migrateAndGetKey (password) {
-    let key
+  migrateOldVaultIfAny (password) {
     const shouldMigrate = !!this.configManager.getWallet() && !this.configManager.getVault()
-    return this.loadKey(password)
-    .then((derivedKey) => {
-      key = derivedKey
-      this.key = key
-      return this.idStoreMigrator.migratedVaultForPassword(password)
-    })
+    return this.idStoreMigrator.migratedVaultForPassword(password)
     .then((serialized) => {
       if (serialized && shouldMigrate) {
         const keyring = this.restoreKeyring(serialized)
         this.keyrings.push(keyring)
         this.configManager.setSelectedAccount(keyring.getAccounts()[0])
         return this.persistAllKeyrings()
-        .then(() => { return key })
+        .then(() => { return })
       }
-      return key
+      return
     })
   }
 
   createNewVault (password, cb) {
-    const configManager = this.configManager
-    const salt = this.getSalt()
-    configManager.setSalt(salt)
-
-    return this.migrateAndGetKey(password)
+    return this.migrateOldVaultIfAny(password)
     .then(() => {
+      this.password = password
       return this.persistAllKeyrings()
     })
     .then(() => {
@@ -184,8 +175,8 @@ module.exports = class KeyringController extends EventEmitter {
   }
 
   submitPassword (password, cb) {
-    this.migrateAndGetKey(password)
-    .then((key) => {
+    this.migrateOldVaultIfAny(password)
+    .then(() => {
       return this.unlockKeyrings(password)
     })
     .then((keyrings) => {
@@ -200,21 +191,6 @@ module.exports = class KeyringController extends EventEmitter {
     })
   }
 
-  loadKey (password) {
-    const salt = this.getSalt()
-    return this.encryptor.keyFromPassword(password + salt)
-    .then((key) => {
-      this.key = key
-      this.configManager.setSalt(salt)
-      return key
-    })
-  }
-
-  getSalt () {
-    const vault = this.configManager.getVault()
-    const salt = vault.salt || this.encryptor.generateSalt()
-  }
-
   addNewKeyring (type, opts, cb) {
     const Keyring = this.getKeyringClassForType(type)
     const keyring = new Keyring(opts)
@@ -290,7 +266,7 @@ module.exports = class KeyringController extends EventEmitter {
         data: keyring.serialize(),
       }
     })
-    return this.encryptor.encryptWithKey(this.key, serialized)
+    return this.encryptor.encrypt(this.password, serialized)
     .then((encryptedString) => {
       this.configManager.setVault(encryptedString)
       return true
@@ -299,7 +275,7 @@ module.exports = class KeyringController extends EventEmitter {
 
   unlockKeyrings (password) {
     const encryptedVault = this.configManager.getVault()
-    return this.encryptor.decryptWithKey(key, encryptedVault)
+    return this.encryptor.decrypt(this.password, encryptedVault)
     .then((vault) => {
       vault.forEach(this.restoreKeyring.bind(this))
       return this.keyrings
@@ -407,7 +383,7 @@ module.exports = class KeyringController extends EventEmitter {
       })
     }
 
-    function estimateGas(txData, blockGasLimitHex, cb) {
+    function estimateGas (txData, blockGasLimitHex, cb) {
       const txParams = txData.txParams
       // check if gasLimit is already specified
       txData.gasLimitSpecified = Boolean(txParams.gas)
@@ -419,7 +395,7 @@ module.exports = class KeyringController extends EventEmitter {
       query.estimateGas(txParams, cb)
     }
 
-    function checkForGasError(txData, estimatedGasHex) {
+    function checkForGasError (txData, estimatedGasHex) {
       txData.estimatedGas = estimatedGasHex
       // all gas used - must be an error
       if (estimatedGasHex === txData.txParams.gas) {
@@ -428,7 +404,7 @@ module.exports = class KeyringController extends EventEmitter {
       cb()
     }
 
-    function setTxGas(txData, blockGasLimitHex) {
+    function setTxGas (txData, blockGasLimitHex) {
       const txParams = txData.txParams
       // if OOG, nothing more to do
       if (txData.simulationFails) {
diff --git a/app/scripts/lib/encryptor.js b/app/scripts/lib/encryptor.js
index df72b62c0..8bacab766 100644
--- a/app/scripts/lib/encryptor.js
+++ b/app/scripts/lib/encryptor.js
@@ -26,10 +26,16 @@ module.exports = {
 
 // Takes a Pojo, returns cypher text.
 function encrypt (password, dataObj) {
-  return keyFromPassword(password)
+  const salt = this.generateSalt()
+
+  return keyFromPassword(password + salt)
   .then(function (passwordDerivedKey) {
     return encryptWithKey(passwordDerivedKey, dataObj)
   })
+  .then(function (payload) {
+    payload.salt = salt
+    return JSON.stringify(payload)
+  })
 }
 
 function encryptWithKey (key, dataObj) {
@@ -44,22 +50,26 @@ function encryptWithKey (key, dataObj) {
     var buffer = new Uint8Array(buf)
     var vectorStr = encodeBufferToBase64(vector)
     var vaultStr = encodeBufferToBase64(buffer)
-    return `${vaultStr}\\${vectorStr}`
+    return {
+      data: vaultStr,
+      iv: vectorStr,
+    }
   })
 }
 
 // Takes encrypted text, returns the restored Pojo.
 function decrypt (password, text) {
-  return keyFromPassword(password)
+  const payload = JSON.parse(text)
+  const salt = payload.salt
+  return keyFromPassword(password + salt)
   .then(function (key) {
-    return decryptWithKey(key, text)
+    return decryptWithKey(key, payload)
   })
 }
 
-function decryptWithKey (key, text) {
-  const parts = text.split('\\')
-  const encryptedData = decodeBase64ToBuffer(parts[0])
-  const vector = decodeBase64ToBuffer(parts[1])
+function decryptWithKey (key, payload) {
+  const encryptedData = decodeBase64ToBuffer(payload.data)
+  const vector = decodeBase64ToBuffer(payload.iv)
   return crypto.subtle.decrypt({name: 'AES-GCM', iv: vector}, key, encryptedData)
   .then(function (result) {
     const decryptedData = new Uint8Array(result)
diff --git a/test/unit/keyring-controller-test.js b/test/unit/keyring-controller-test.js
index 437441e0e..c32141cc6 100644
--- a/test/unit/keyring-controller-test.js
+++ b/test/unit/keyring-controller-test.js
@@ -82,13 +82,15 @@ describe('KeyringController', function() {
 
   })
 
-  describe('#migrateAndGetKey', function() {
+  describe('#migrateOldVaultIfAny', function() {
     it('should return the key for that password', function(done) {
-      keyringController.migrateAndGetKey(password)
-      .then((key) => {
-        assert(key, 'a key is returned')
+      keyringController.migrateOldVaultIfAny(password)
+      .then(() => {
         done()
       })
+      .catch((reason) => {
+        assert.ifError(reason)
+      })
     })
   })