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If I encrypt something based on the password and it is totally unique to that password (no other password can be used to decrypt
the message) then am I not revealing the password in the encrypted file?
The answer here is a qualified no. If the encryption method (but not the key) is known, a horrendous amount of computing power might be able to determine the key.
Okay. Let's say I have a total of 50 characters I can use to represent other characters to write to what will be the encrypted file. (i.e. Uncrypted 'E' = Encrypted 'O') Doesn't that mean that I have a total of 50 passwords that could be used to make the encrypted file unique to that password?