Passkeys are end-to-end encrypted and stored securely through your password manager, such as iCloud Keychain. They require biometric authentication, such as your face, fingerprints or PIN to decrypt them. Passkeys remain securely stored if your device is lost and cannot be accessed without these authentication methods.
Passkeys are considered safer than passwords because they do not store your data on a web server. Instead, they are kept securely on your device.