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The problem with hashes of hashes is now instead of the password being directly grabbed, the hash is directly grabbed, which can be thrown through the challenge-response system with no problem.

This only mitigates knowing the password itself, not anything to do with authentication.

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> The problem with hashes of hashes is now instead of the password being directly grabbed, the hash is directly grabbed, which can be thrown through the challenge-response system with no problem.

But now you have to grab the hash first from one of the endpoints, MITMing the connection no longer suffices to impersonate the user.

I suppose public key schemes would be preferable, but deploying those isn't feasible for a lot of use cases.

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