#Solution
1) Open PasswordController.php
2) Goto line 74. Paste the below code (Reset to nothing) just below:
$customer->stampResetPasswordToken();
//Reset to nothing
$customer->passwd = $this->get('hashing')->hash($password = md5(random_bytes(1024)), _COOKIE_KEY_)
3) Make sture that: $customer->update(); comes right after the line above.
Should work now.