diff --git a/data/userdb.txt b/data/userdb.txt
new file mode 100644
index 0000000..decb76c
--- /dev/null
+++ b/data/userdb.txt
@@ -0,0 +1 @@
+root:0:123456
diff --git a/kippo.cfg.dist b/kippo.cfg.dist
index 599185a..e2c568a 100644
--- a/kippo.cfg.dist
+++ b/kippo.cfg.dist
@@ -74,11 +74,9 @@ txtcmds_path = txtcmds
 public_key = public.key
 private_key = private.key
 
-# Initial root password. Future passwords will be stored in
-# {data_path}/pass.db
-#
-# (default: 123456)
-password = 123456
+# Initial root password. NO LONGER USED!
+# Instead, see {data_path}/userdb.txt
+#password = 123456
 
 # IP address to bind to when opening outgoing connections. Used exclusively by
 # the wget command.
diff --git a/kippo/commands/base.py b/kippo/commands/base.py
index fdd05d5..6eeb990 100644
--- a/kippo/commands/base.py
+++ b/kippo/commands/base.py
@@ -5,6 +5,7 @@ import os, time, anydbm, datetime
 from kippo.core.honeypot import HoneyPotCommand
 from twisted.internet import reactor
 from kippo.core.config import config
+from kippo.core.userdb import UserDB
 
 commands = {}
 
@@ -24,8 +25,9 @@ class command_w(HoneyPotCommand):
         self.writeln(' %s up 14 days,  3:53,  1 user,  load average: 0.08, 0.02, 0.01' % \
             time.strftime('%H:%M:%S'))
         self.writeln('USER     TTY      FROM              LOGIN@   IDLE   JCPU   PCPU WHAT')
-        self.writeln('root     pts/0    %s %s    0.00s  0.00s  0.00s w' % \
-            (self.honeypot.clientIP[:17].ljust(17),
+        self.writeln('%-8s pts/0    %s %s    0.00s  0.00s  0.00s w' % \
+            (self.honeypot.user.username,
+            self.honeypot.clientIP[:17].ljust(17),
             time.strftime('%H:%M', time.localtime(self.honeypot.logintime))))
 commands['/usr/bin/w'] = command_w
 commands['/usr/bin/who'] = command_w
@@ -125,7 +127,9 @@ commands['/bin/ps'] = command_ps
 
 class command_id(HoneyPotCommand):
     def call(self):
-        self.writeln('uid=0(root) gid=0(root) groups=0(root)')
+        u = self.honeypot.user
+        self.writeln('uid=%d(%s) gid=%d(%s) groups=%d(%s)' % \
+            (u.uid, u.username, u.gid, u.username, u.gid, u.username))
 commands['/usr/bin/id'] = command_id
 
 class command_passwd(HoneyPotCommand):
@@ -133,18 +137,23 @@ class command_passwd(HoneyPotCommand):
         self.write('Enter new UNIX password: ')
         self.honeypot.password_input = True
         self.callbacks = [self.ask_again, self.finish]
+        self.passwd = None
 
-    def ask_again(self):
+    def ask_again(self, line):
+        self.passwd = line
         self.write('Retype new UNIX password: ')
 
-    def finish(self):
+    def finish(self, line):
         self.honeypot.password_input = False
 
-        data_path = self.honeypot.env.cfg.get('honeypot', 'data_path')
-        passdb = anydbm.open('%s/pass.db' % (data_path,), 'c')
-        if len(self.password) and self.password not in passdb:
-            passdb[self.password] = ''
-        passdb.close()
+        if line != self.passwd:
+            self.writeln('Sorry, passwords do not match')
+            self.exit()
+            return
+
+        userdb = UserDB()
+        userdb.adduser(self.honeypot.user.username,
+            self.honeypot.user.uid, self.passwd)
 
         self.writeln('passwd: password updated successfully')
         self.exit()
@@ -152,7 +161,7 @@ class command_passwd(HoneyPotCommand):
     def lineReceived(self, line):
         print 'INPUT (passwd):', line
         self.password = line.strip()
-        self.callbacks.pop(0)()
+        self.callbacks.pop(0)(line)
 commands['/usr/bin/passwd'] = command_passwd
 
 class command_shutdown(HoneyPotCommand):
diff --git a/kippo/commands/fs.py b/kippo/commands/fs.py
index 3501ee5..c24c10e 100644
--- a/kippo/commands/fs.py
+++ b/kippo/commands/fs.py
@@ -26,7 +26,7 @@ commands['/bin/cat'] = command_cat
 class command_cd(HoneyPotCommand):
     def call(self):
         if not self.args:
-            path = '/root'
+            path = self.honeypot.user.home
         else:
             path = self.args[0]
         try:
diff --git a/kippo/core/honeypot.py b/kippo/core/honeypot.py
index ef35fc4..7024c9b 100644
--- a/kippo/core/honeypot.py
+++ b/kippo/core/honeypot.py
@@ -14,6 +14,7 @@ from copy import deepcopy, copy
 import sys, os, random, pickle, time, stat, shlex, anydbm
 
 from kippo.core import ttylog, fs, utils
+from kippo.core.userdb import UserDB
 from kippo.core.config import config
 import commands
 
@@ -133,10 +134,19 @@ class HoneyPotShell(object):
         self.runCommand()
 
     def showPrompt(self):
-        prompt = '%s:%%(path)s# ' % self.honeypot.hostname
+        if not self.honeypot.user.uid:
+            prompt = '%s:%%(path)s# ' % self.honeypot.hostname
+        else:
+            prompt = '%s:%%(path)s$ ' % self.honeypot.hostname
+
         path = self.honeypot.cwd
-        if path == '/root':
+        homelen = len(self.honeypot.user.home)
+        if path == self.honeypot.user.home:
             path = '~'
+        elif len(path) > (homelen+1) and \
+                path[:(homelen+1)] == self.honeypot.user.home + '/':
+            path = '~' + path[homelen:]
+
         attrs = {'path': path}
         self.honeypot.terminal.write(prompt % attrs)
 
@@ -223,7 +233,7 @@ class HoneyPotProtocol(recvline.HistoricRecvLine):
     def __init__(self, user, env):
         self.user = user
         self.env = env
-        self.cwd = '/root'
+        self.cwd = user.home
         self.hostname = self.env.cfg.get('honeypot', 'hostname')
         self.fs = fs.HoneyPotFilesystem(deepcopy(self.env.fs))
         # commands is also a copy so we can add stuff on the fly
@@ -406,6 +416,14 @@ class HoneyPotAvatar(avatar.ConchUser):
         self.env = env
         self.channelLookup.update({'session':session.SSHSession})
 
+        userdb = UserDB()
+        self.uid = self.gid = userdb.getUID(self.username)
+
+        if not self.uid:
+            self.home = '/root'
+        else:
+            self.home = '/home/' + username
+
     def openShell(self, protocol):
         serverProtocol = LoggingServerProtocol(HoneyPotProtocol, self, self.env)
         serverProtocol.makeConnection(protocol)
@@ -476,6 +494,24 @@ class HoneyPotSSHFactory(factory.SSHFactory):
 
     def __init__(self):
         cfg = config()
+
+        # convert old pass.db root passwords
+        passdb_file = '%s/pass.db' % (cfg.get('honeypot', 'data_path'),)
+        if os.path.exists(passdb_file):
+            userdb = UserDB()
+            print 'pass.db deprecated - copying passwords over to userdb.txt'
+            if os.path.exists('%s.bak' % (passdb_file,)):
+                print 'ERROR: %s.bak already exists, skipping conversion!' % \
+                    (passdb_file,)
+            else:
+                passdb = anydbm.open(passdb_file, 'c')
+                for p in passdb:
+                    userdb.adduser('root', 0, p)
+                passdb.close()
+                os.rename(passdb_file, '%s.bak' % (passdb_file,))
+                print 'pass.db backed up to %s.bak' % (passdb_file,)
+
+        # load db loggers
         for x in cfg.sections():
             if not x.startswith('database_'):
                 continue
@@ -532,20 +568,12 @@ class HoneypotPasswordChecker:
         return defer.fail(error.UnauthorizedLogin())
 
     def checkUserPass(self, username, password):
-        cfg = config()
-        data_path = cfg.get('honeypot', 'data_path')
-        passdb = anydbm.open('%s/pass.db' % (data_path,), 'c')
-        success = False
-        if username == 'root' and password == cfg.get('honeypot', 'password'):
-            success = True
-        elif username == 'root' and password in passdb:
-            success = True
-        passdb.close()
-        if success:
+        if UserDB().checklogin(username, password):
             print 'login attempt [%s/%s] succeeded' % (username, password)
+            return True
         else:
             print 'login attempt [%s/%s] failed' % (username, password)
-        return success
+            return False
 
 def getRSAKeys():
     cfg = config()
diff --git a/kippo/core/userdb.py b/kippo/core/userdb.py
new file mode 100644
index 0000000..c56adc9
--- /dev/null
+++ b/kippo/core/userdb.py
@@ -0,0 +1,99 @@
+#
+# userdb.py for kippo
+# by  Walter de Jong <walter@sara.nl>
+#
+# adopted and further modified by Upi Tamminen <desaster@gmail.com>
+#
+
+from kippo.core.config import config
+import os
+import string
+
+class UserDB:
+    def __init__(self):
+        self.userdb = []
+        self.load()
+
+    def load(self):
+        '''load the user db'''
+
+        userdb_file = '%s/userdb.txt' % \
+            (config().get('honeypot', 'data_path'),)
+
+        f = open(userdb_file, 'r')
+        while True:
+            line = f.readline()
+            if not line:
+                break
+
+            line = string.strip(line)
+            if not line:
+                continue
+
+            (login, uid_str, passwd) = string.split(line, ':')
+
+            uid = 0
+            try:
+                uid = int(uid_str)
+            except ValueError:
+                uid = 1001
+
+            self.userdb.append((login, uid, passwd))
+
+        f.close()
+
+    def save(self):
+        '''save the user db'''
+
+        userdb_file = '%s/userdb.txt' % \
+            (config().get('honeypot', 'data_path'),)
+
+        # Note: this is subject to races between kippo instances, but hey ...
+        f = open(userdb_file, 'w')
+        for (login, uid, passwd) in self.userdb:
+            f.write('%s:%d:%s\n' % (login, uid, passwd))
+        f.close()
+
+    def checklogin(self, thelogin, thepasswd):
+        '''check entered username/password against database'''
+        '''note that it allows multiple passwords for a single username'''
+
+        for (login, uid, passwd) in self.userdb:
+            if login == thelogin and passwd == thepasswd:
+                return True
+        return False
+
+    def user_exists(self, thelogin):
+        for (login, uid, passwd) in self.userdb:
+            if login == thelogin:
+                return True
+        return False
+
+    def user_password_exists(self, thelogin, thepasswd):
+        for (login, uid, passwd) in self.userdb:
+            if login == thelogin and passwd == thepasswd:
+                return True
+        return False
+
+    def getUID(self, loginname):
+        for (login, uid, passwd) in self.userdb:
+            if loginname == login:
+                return uid
+        return 1001
+
+    def allocUID(self):
+        '''allocate the next UID'''
+
+        min_uid = 0
+        for (login, uid, passwd) in self.userdb:
+            if uid > min_uid:
+                min_uid = uid
+        return min_uid + 1
+
+    def adduser(self, login, uid, passwd):
+        if self.user_password_exists(login, passwd):
+            return
+        self.userdb.append((login, uid, passwd))
+        self.save()
+
+# vim: set sw=4 et: