This person is likely lying. Unless someone did have the ability to break salted hashed encryption within polynomial time, considering you aren't doing a brute force/ dictionary attack (which if Wattpad had not implemented this style of password encryption, shame on them), and DNS has nothing to do with the password management, let alone the insides of the website. Trust no one. I can already tell this man does not know a single thing about InfoSec. If he did, he wouldn't be chatting without PGP/GPG on an insecure website like this. 2FA in and of itself is very insecure. The best method is 3FA, which is made of Password, Token, and Biometrics.