We have replied in you ticket already. What is the idea in contacting us twice?
We replied:
You do not provide enough information.
* What is the SQLyog version you are using?
* What is the exact MySQL version. “5” can be anything from 5.0 to 5.6 (and there is * almost 10 years between them). Please execute “SELECT VERSION();”
* How do you connect from SQLyog? direct connection? SSH tunnel? HTTP/tunnel?
* Do you have a setting in MySQL configuration like 'OLD_PASSWORDS'?
The 16-character hash was used as default by MySQL up to and including version 4.0. From 4.1 the 41-character has is default. There is only one reason to use the 16-character hash ('OLD-PASSWORDS') with recent servers if you need it for compatibility with old clients (such as PHP 4.3 and earlier). The 16-character hash is not very secure.
SQLyog should be able to handle both, however. What is the exact error you get when trying to connect? 'Access denied' or 'Connection denied'?