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Solana-cli requests a passphrase for creating a keypair but store it as insecure plain text ...

This is expected. Your local id.json should only be used for tests and nothing more e.g storage of your assets. Still, it is possible to not write the KP to the id.json file using solana-keygen new -- …
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Different pubkey in wallet as to what was display in CLI

A seed phrase can point to multiple addresses. To get the address you generated from the CLI import the private key via Phantom. The SK is stored as a byte array in ~/.config/solana/id.json(Linux)
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