Reference: https://community.jboss.org/wiki/JBossAS7SecuringPasswords

What we need?

1. JDK installation
2. Setting of JAVA_HOME Environment Variable
3. Creation a KeyStore
4. JBoss AS 7.1.x installation

Step 1  JDK Installation

Please go to http://java.com and download JDK installation for Windows. (Remember you need JDK installation and not JRE).

I tested this on Windows 7.  I downloaded and installed JDK 1.6.0_31 from http://www.oracle.com/technetwork/java/javase/downloads/jdk-6u31-download-1501634.html

I installed JDK6 in  c:\Java directory.

Step 2  Setting of JAVA_HOME Environment Variable

I tested this on Windows 7.  So your mileage may vary depending on whether you are on XP, Vista, Win7 etc.  Please google and you will find instructions for your version of windows. They are pretty close.

• I went to Control Panel. 
• Searched for "Environment".
• Chose the "Edit the system environment variables"
• I went into Advanced -> Environment Variables
• I created a new environment variable called   JAVA_HOME     and set the value to     c:\Java\jdk1.6.0_31
• In the PATH environment variable,  I appended    %JAVA_HOME%\bin;       (remember to add ;  at the end)
• Run -> cmd
• Type   java     and you should see a bunch of options  rather than "Java is not recognized"

Step 3  Create a Keystore

I created a directory called keystores in c:\

C:\>md keystores


C:\>cd keystores

C:\keystores>keytool -alias vault -keyalg RSA -keysize 1024 -keystore vault.keys
tore
Usage error: no command provided
Try keytool -help


C:\keystores>keytool -genkey -alias vault -keyalg RSA -keysize 1024 -keystore va
ult.keystore
Enter keystore password:
Re-enter new password:
What is your first and last name?
  [Unknown]:  PicketBox Vault
What is the name of your organizational unit?
  [Unknown]:  PicketBox
What is the name of your organization?
  [Unknown]:  JBoss
What is the name of your City or Locality?
  [Unknown]:  Chicago
What is the name of your State or Province?
  [Unknown]:  IL
What is the two-letter country code for this unit?
  [Unknown]:  US
Is CN=PicketBox Vault, OU=PicketBox, O=JBoss, L=Chicago, ST=IL, C=US correct?
  [no]:  yes


Enter key password for <vault>
        (RETURN if same as keystore password):


C:\keystores>
C:\keystores>dir
 Volume in drive C is  

 Directory of C:\keystores 

03/26/2012  11:58 AM    <DIR>          .
03/26/2012  11:58 AM    <DIR>          ..
03/26/2012  11:58 AM             1,359 vault.keystore

That is it.

Step 4: JBoss AS 7.1.x Installation and Vault Interaction

I downloaded JBoss AS 7.1.1.Final.zip  and extracted it into c:\jboss-as-7.1.1.Final

We will use the vault.bat script in the bin directory of JBoss AS.

c:\jboss-as-7.1.1.Final\bin>vault.bat
not defined java
=========================================================================


  JBoss Vault


  JBOSS_HOME: c:\jboss-as-7.1.1.Final\bin\\..


  JAVA: C:\Java\jdk1.6.0_31\bin\java


  VAULT Classpath: c:\jboss-as-7.1.1.Final\bin\\..\modules\org\picketbox\main\*;
c:\jboss-as-7.1.1.Final\bin\\..\modules\org\jboss\logging\main\*;c:\jboss-as-7.1
.1.Final\bin\\..\modules\org\jboss\common-core\main\*;c:\jboss-as-7.1.1.Final\bi
n\\..\modules\org\jboss\as\security\main\*
=========================================================================


**********************************
****  JBoss Vault ********
**********************************
Please enter a Digit::   0: Start Interactive Session  1: Remove Interactive Ses
sion  2: Exit
0
Starting an interactive session
Enter directory to store encrypted files (end with either / or \ based on Unix o
r Windows:c:\vault\
Enter Keystore URL:c:\keystores\vault.keystore
Enter Keystore password:
Enter Keystore password again:
Values match
Enter 8 character salt:12345678
Enter iteration count as a number (Eg: 44):50


Please make note of the following:
********************************************
Masked Password:MASK-5WNXs8oEbrs
salt:12345678
Iteration Count:50
********************************************


Enter Keystore Alias:vault
Mar 26, 2012 12:59:55 PM org.jboss.security.vault.SecurityVaultFactory get
INFO: Getting Security Vault with implementation of org.picketbox.plugins.vault.
PicketBoxSecurityVault
Obtained Vault
Initializing Vault
Mar 26, 2012 12:59:56 PM org.picketbox.plugins.vault.PicketBoxSecurityVault init


INFO: Default Security Vault Implementation Initialized and Ready
Vault is initialized and ready for use
Handshake with Vault complete
Please enter a Digit::   0: Store a password  1: Check whether password exists
2: Exit
0
Task:  Store a password
Please enter attribute value:
Please enter attribute value again:
Values match
Enter Vault Block:ds_ExampleDS
Enter Attribute Name:password
Attribute Value for (ds_ExampleDS, password) saved


Please make note of the following:
********************************************
Vault Block:ds_ExampleDS
Attribute Name:password
Shared Key:YzU5MDJiMjUtNjJiMy00NTBlLThkYTgtNTUxZDA0ZmI2M2IzTElORV9CUkVBS3ZhdWx0
Configuration should be done as follows:
VAULT::ds_ExampleDS::password::YzU5MDJiMjUtNjJiMy00NTBlLThkYTgtNTUxZDA0ZmI2M2IzT
ElORV9CUkVBS3ZhdWx0
********************************************


Please enter a Digit::   0: Store a password  1: Check whether password exists
2: Exit
1
Task: Verify whether a password exists
Enter Vault Block:ds_ExampleDS
Enter Attribute Name:password
A value exists for (ds_ExampleDS, password)
Please enter a Digit::   0: Store a password  1: Check whether password exists
2: Exit
2
c:\jboss-as-7.1.1.Final\bin> 

As you can see, we have used the vault.bat script successfully to interact with the vault.

Please refer to https://community.jboss.org/wiki/JBossAS7SecuringPasswords   to configure the domain model (standalone.xml or domain.xml) for the attributes that are masked.