TL;DR: Last Pass is broken. All passwords at the time of the breach were taken. They also got internal secrets from a laptop and can now probably throw computational power at anything they want to decrypt.
Switch. Do not use. Change everything you have if you were using it. Treat everything as breached.
An unencrypted passwords.txt file sitting on your desktop is probably more secure than anything put in "the cloud".
An encrypted passwords.kdbx file sitting on your desktop would be significantly more secure though.
The cloud is just someone else's computer, that's what I've always thought
Words of the utterly deranged, cloud is a bunch of water droplets :meow-tableflip:
this except named "FILEINTRO_DAT" and with a bunch of gibberish before you scroll down
or alternatively, just a bunch of MSpaint files