importing users where password is provided as md5 + much metadata

WordPress used MD5 for password hash in the past, but had since moved on to more secure phpass. The good thing is that it retains backwards compatibility – if user had old MD5 hash then it will be checked as such and automatically re-hashed and re-saved using current algorithm, see wp_check_password().

You are correct that you cannot use wp_insert_user() because it expect plain text password.

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