As mentioned in the comments, plain text keys aren’t bad because they are necessary. You have to have at least one plain text key in order to be able to use encryption
I kind of agree that this may be a little overblown. Exploiting this requires device and filesystem access so if you can get the keys you can already get a lot more stuff.
Sorry, I don’t think I understand what you’re suggesting. Are you saying encryption keys should themselves be encrypted?
FYI this story isn’t about plaintext passwords, it’s about plaintext encryption keys to chat history.