Key Stretching (cryptography)

Key stretching techniques are used to make a possibly weak key, typically a password or passphrase, more secure against a brute-force attack by increasing the resources (time and possibly space) it takes to test each possible key. Passwords or passphrases created by humans are often short or predictable enough to allow password cracking, and key stretching is intended to make such attacks more difficult by complicating a basic step of trying a single password candidate. 

There are several ways to perform key stretching. One way is to apply a cryptographic hash function or a block cipher repeatedly in a loop. For example, in applications where the key is used for a cipher, the key schedule in the cipher may be modified so that it takes a specific length of time to perform. Another way is to use cryptographic hash functions that have large memory requirements.

Modern password-based key derivation functions, such as PBKDF2 (see TWOTW PBKDF), use a cryptographic hash, such as SHA-2, a longer salt (e.g. 64 bits) and a high iteration count. The U.S. National Institute of Standards and Technology (NIST) recommends a minimum iteration count of 10,000.

In 2013, a Password Hashing Competition was held to select an improved key stretching standard that would resist attacks from graphics processors and special purpose hardware. The winner, Argon2, was selected on July 1, 2015.

source: https://en.wikipedia.org/wiki/Key_stretching

Further reading: Password Storage Cheat Sheet