diff --git a/apps/web/src/scss/styles.scss b/apps/web/src/scss/styles.scss
index d17181615c..e2b764e45a 100644
--- a/apps/web/src/scss/styles.scss
+++ b/apps/web/src/scss/styles.scss
@@ -4,6 +4,7 @@
 @import "../../../../libs/angular/src/scss/icons.scss";
 @import "../../../../libs/components/src/multi-select/scss/bw.theme";
 @import "@angular/cdk/overlay-prebuilt.css";
+@import "@angular/cdk/text-field-prebuilt.css";
 
 //@import "~bootstrap/scss/bootstrap";
 @import "~bootstrap/scss/_functions";
diff --git a/libs/components/src/tw-theme.css b/libs/components/src/tw-theme.css
index 3bc7cd3d81..24f0b7adaa 100644
--- a/libs/components/src/tw-theme.css
+++ b/libs/components/src/tw-theme.css
@@ -1,4 +1,5 @@
 @import "@angular/cdk/a11y-prebuilt.css";
+@import "@angular/cdk/text-field-prebuilt.css";
 @import "./reset.css";
 @import "./popover/popover.component.css";
 @import "./toast/toast.tokens.css";
diff --git a/libs/vault/src/cipher-view/custom-fields/custom-fields-v2.component.html b/libs/vault/src/cipher-view/custom-fields/custom-fields-v2.component.html
index ab31ede57b..b71851ef6c 100644
--- a/libs/vault/src/cipher-view/custom-fields/custom-fields-v2.component.html
+++ b/libs/vault/src/cipher-view/custom-fields/custom-fields-v2.component.html
@@ -5,13 +5,19 @@
   <bit-card>
     <div
       class="tw-border-secondary-300 [&_bit-form-field:last-of-type]:tw-mb-0"
-      *ngFor="let field of cipher.fields; let last = last"
+      *ngFor="let field of cipher.fields; let last = last; let i = index"
       [ngClass]="{ 'tw-mb-4': !last }"
       data-testid="custom-field"
     >
       <bit-form-field *ngIf="field.type === fieldType.Text" [disableReadOnlyBorder]="last">
         <bit-label [appTextDrag]="field.value">{{ field.name }}</bit-label>
-        <input readonly bitInput type="text" [value]="field.value" aria-readonly="true" />
+        <textarea
+          readonly
+          bitInput
+          [value]="field.value"
+          aria-readonly="true"
+          vaultAutosizeReadOnlyTextArea
+        ></textarea>
         <button
           bitIconButton="bwi-clone"
           bitSuffix
@@ -32,14 +38,26 @@
           [value]="field.value"
           aria-readonly="true"
           class="tw-font-mono"
+          *ngIf="!revealedHiddenFields.includes(i)"
         />
+        <!-- `type="password"` is only available for inputs, but textarea should show the entire field when visible. -->
+        <textarea
+          *ngIf="revealedHiddenFields.includes(i)"
+          readonly
+          bitInput
+          type="password"
+          [value]="field.value"
+          aria-readonly="true"
+          class="tw-font-mono"
+          vaultAutosizeReadOnlyTextArea
+        ></textarea>
         <button
           bitSuffix
           type="button"
           bitIconButton
           bitPasswordInputToggle
           *ngIf="canViewPassword"
-          (toggledChange)="logHiddenEvent($event)"
+          (toggledChange)="toggleHiddenField($event, i)"
         ></button>
         <button
           bitIconButton="bwi-clone"
diff --git a/libs/vault/src/cipher-view/custom-fields/custom-fields-v2.component.ts b/libs/vault/src/cipher-view/custom-fields/custom-fields-v2.component.ts
index 313607ce3a..4873760696 100644
--- a/libs/vault/src/cipher-view/custom-fields/custom-fields-v2.component.ts
+++ b/libs/vault/src/cipher-view/custom-fields/custom-fields-v2.component.ts
@@ -23,6 +23,8 @@ import {
   CheckboxModule,
 } from "@bitwarden/components";
 
+import { VaultAutosizeReadOnlyTextArea } from "../../directives/readonly-textarea.directive";
+
 @Component({
   selector: "app-custom-fields-v2",
   templateUrl: "custom-fields-v2.component.html",
@@ -38,6 +40,7 @@ import {
     SectionHeaderComponent,
     TypographyModule,
     CheckboxModule,
+    VaultAutosizeReadOnlyTextArea,
   ],
 })
 export class CustomFieldV2Component implements OnInit {
@@ -45,6 +48,9 @@ export class CustomFieldV2Component implements OnInit {
   fieldType = FieldType;
   fieldOptions: any;
 
+  /** Indexes of hidden fields that are revealed */
+  revealedHiddenFields: number[] = [];
+
   constructor(
     private i18nService: I18nService,
     private eventCollectionService: EventCollectionService,
@@ -63,7 +69,13 @@ export class CustomFieldV2Component implements OnInit {
     return this.cipher.viewPassword;
   }
 
-  async logHiddenEvent(hiddenFieldVisible: boolean) {
+  async toggleHiddenField(hiddenFieldVisible: boolean, index: number) {
+    if (hiddenFieldVisible) {
+      this.revealedHiddenFields.push(index);
+    } else {
+      this.revealedHiddenFields = this.revealedHiddenFields.filter((i) => i !== index);
+    }
+
     if (hiddenFieldVisible) {
       await this.eventCollectionService.collect(
         EventType.Cipher_ClientToggledHiddenFieldVisible,
diff --git a/libs/vault/src/directives/readonly-textarea.directive.spec.ts b/libs/vault/src/directives/readonly-textarea.directive.spec.ts
new file mode 100644
index 0000000000..ec2e3ce112
--- /dev/null
+++ b/libs/vault/src/directives/readonly-textarea.directive.spec.ts
@@ -0,0 +1,34 @@
+import { CdkTextareaAutosize } from "@angular/cdk/text-field";
+import { EventEmitter, NgZone } from "@angular/core";
+
+import { VaultAutosizeReadOnlyTextArea } from "./readonly-textarea.directive";
+
+describe("VaultAutosizeReadOnlyTextArea", () => {
+  let directive: VaultAutosizeReadOnlyTextArea;
+  let onStable: EventEmitter<void>;
+
+  beforeEach(async () => {
+    onStable = new EventEmitter<void>();
+
+    directive = new VaultAutosizeReadOnlyTextArea(
+      { enabled: undefined } as unknown as CdkTextareaAutosize,
+      { onStable } as NgZone,
+    );
+  });
+
+  it("disables CdkTextareaAutosize by default", () => {
+    expect(directive["autosize"].enabled).toBe(false);
+  });
+
+  it("enables CdkTextareaAutosize after view init", async () => {
+    expect(directive["autosize"].enabled).toBe(false);
+
+    const viewInitPromise = directive.ngAfterViewInit();
+
+    onStable.emit();
+
+    await viewInitPromise;
+
+    expect(directive["autosize"].enabled).toBe(true);
+  });
+});
diff --git a/libs/vault/src/directives/readonly-textarea.directive.ts b/libs/vault/src/directives/readonly-textarea.directive.ts
new file mode 100644
index 0000000000..65bd9d6e35
--- /dev/null
+++ b/libs/vault/src/directives/readonly-textarea.directive.ts
@@ -0,0 +1,29 @@
+import { CdkTextareaAutosize, TextFieldModule } from "@angular/cdk/text-field";
+import { AfterViewInit, Directive, Host, NgZone } from "@angular/core";
+import { firstValueFrom } from "rxjs";
+
+@Directive({
+  standalone: true,
+  selector: "textarea[vaultAutosizeReadOnlyTextArea]",
+  providers: [TextFieldModule],
+  hostDirectives: [CdkTextareaAutosize],
+})
+export class VaultAutosizeReadOnlyTextArea implements AfterViewInit {
+  constructor(
+    @Host() private autosize: CdkTextareaAutosize,
+    private ngZone: NgZone,
+  ) {
+    // initially disable autosize
+    this.autosize.enabled = false;
+  }
+
+  // <textarea>s are commonly used within `bit-form-field` components which render
+  // content within templates. This causes the `CdkTextareaAutosize` to error out
+  // when trying to access the `parentNode` of the textarea. To avoid this, wait
+  // for the next change detection cycle to enable the autosize directive.
+  async ngAfterViewInit(): Promise<void> {
+    await firstValueFrom(this.ngZone.onStable);
+
+    this.autosize.enabled = true;
+  }
+}