I might argue instead that simply having Passwords as another item inside Settings is appropriate for what functionality it exposes.
It's a feature, not a product, doesn't do everything that Keychain Access does in macOS, and doesn't need (or deserve) to be in your face all the time.
Do keyboards/wallpaper/voip apps/whatever really need to have their own app icon on your homescreen? Probably not, but Apple's conditioned us over the course of 15 years that all apps have icons you can see - a view at odds with things like Fantastical and SwitchGlass, which are really "apps that run in your menubar" and can be used without a Dock icon at all.
iOS doesn't have the concept of "Utilities" within "/Applications" like macOS does, but maybe it needs to in order to address this class of app which has such a specific focus.
After 15 years, are we at a point where some of the early affordances aren't neccessary anymore?
Do you really need to go back to your car, open your trunk, get the wallet just to show your ID?
Passwords are my ID, sometimes I have to enter them onto another computer or app or just share them with someone; I shouldn’t need to hunt my ID in the trunk of my car.
Keychain Access did this right decades ago, so there’s some logic behind it. The issue is that the app is not built for this decade and its UI is lacking.
It's a feature, not a product, doesn't do everything that Keychain Access does in macOS, and doesn't need (or deserve) to be in your face all the time.
Do keyboards/wallpaper/voip apps/whatever really need to have their own app icon on your homescreen? Probably not, but Apple's conditioned us over the course of 15 years that all apps have icons you can see - a view at odds with things like Fantastical and SwitchGlass, which are really "apps that run in your menubar" and can be used without a Dock icon at all.
iOS doesn't have the concept of "Utilities" within "/Applications" like macOS does, but maybe it needs to in order to address this class of app which has such a specific focus.
After 15 years, are we at a point where some of the early affordances aren't neccessary anymore?