diff --git a/res/css/views/rooms/_MessageComposer.scss b/res/css/views/rooms/_MessageComposer.scss
index 5efca51844..fae9d0dfe3 100644
--- a/res/css/views/rooms/_MessageComposer.scss
+++ b/res/css/views/rooms/_MessageComposer.scss
@@ -76,6 +76,8 @@ limitations under the License.
     left: 60px;
     margin-right: 0; // Counteract the E2EIcon class
     margin-left: 3px; // Counteract the E2EIcon class
+    width: 12px;
+    height: 12px;
 }
 
 .mx_MessageComposer_noperm_error {
diff --git a/src/components/structures/RoomView.js b/src/components/structures/RoomView.js
index 6e20b2c8f2..5c243f04bc 100644
--- a/src/components/structures/RoomView.js
+++ b/src/components/structures/RoomView.js
@@ -813,10 +813,10 @@ export default createReactClass({
         /* Check all verified user devices. */
         for (const userId of verified) {
             const devices = await cli.getStoredDevicesForUser(userId);
-            const allDevicesVerified = devices.every(({deviceId}) => {
-                return cli.checkDeviceTrust(userId, deviceId).isVerified();
+            const anyDeviceNotVerified = devices.some(({deviceId}) => {
+                return !cli.checkDeviceTrust(userId, deviceId).isVerified();
             });
-            if (!allDevicesVerified) {
+            if (anyDeviceNotVerified) {
                 this.setState({
                     e2eStatus: "warning",
                 });
diff --git a/src/components/views/rooms/E2EIcon.js b/src/components/views/rooms/E2EIcon.js
index 545d1fd7ed..df5fe204d4 100644
--- a/src/components/views/rooms/E2EIcon.js
+++ b/src/components/views/rooms/E2EIcon.js
@@ -1,5 +1,6 @@
 /*
 Copyright 2019 New Vector Ltd
+Copyright 2020 The Matrix.org Foundation C.I.C.
 
 Licensed under the Apache License, Version 2.0 (the "License");
 you may not use this file except in compliance with the License.
@@ -14,76 +15,102 @@ See the License for the specific language governing permissions and
 limitations under the License.
 */
 
+import React, {useState} from "react";
+import PropTypes from "prop-types";
 import classNames from 'classnames';
-import { _t } from '../../../languageHandler';
-import AccessibleButton from '../elements/AccessibleButton';
-import SettingsStore from '../../../settings/SettingsStore';
 
-export default function(props) {
-    const { isUser } = props;
-    const isNormal = props.status === "normal";
-    const isWarning = props.status === "warning";
-    const isVerified = props.status === "verified";
-    const e2eIconClasses = classNames({
+import {_t, _td} from '../../../languageHandler';
+import {useFeatureEnabled} from "../../../hooks/useSettings";
+import AccessibleButton from "../elements/AccessibleButton";
+import Tooltip from "../elements/Tooltip";
+
+export const E2E_STATE = {
+    VERIFIED: "verified",
+    WARNING: "warning",
+    UNKNOWN: "unknown",
+    NORMAL: "normal",
+};
+
+const crossSigningUserTitles = {
+    [E2E_STATE.WARNING]: _td("This user has not verified all of their devices."),
+    [E2E_STATE.NORMAL]: _td("You have not verified this user. This user has verified all of their devices."),
+    [E2E_STATE.VERIFIED]: _td("You have verified this user. This user has verified all of their devices."),
+};
+const crossSigningRoomTitles = {
+    [E2E_STATE.WARNING]: _td("Someone is using an unknown device"),
+    [E2E_STATE.NORMAL]: _td("This room is end-to-end encrypted"),
+    [E2E_STATE.VERIFIED]: _td("Everyone in this room is verified"),
+};
+
+const legacyUserTitles = {
+    [E2E_STATE.WARNING]: _td("Some devices for this user are not trusted"),
+    [E2E_STATE.VERIFIED]: _td("All devices for this user are trusted"),
+};
+const legacyRoomTitles = {
+    [E2E_STATE.WARNING]: _td("Some devices in this encrypted room are not trusted"),
+    [E2E_STATE.VERIFIED]: _td("All devices in this encrypted room are trusted"),
+};
+
+const E2EIcon = ({isUser, status, className, size, onClick}) => {
+    const [hover, setHover] = useState(false);
+
+    const classes = classNames({
         mx_E2EIcon: true,
-        mx_E2EIcon_warning: isWarning,
-        mx_E2EIcon_normal: isNormal,
-        mx_E2EIcon_verified: isVerified,
-    }, props.className);
+        mx_E2EIcon_warning: status === E2E_STATE.WARNING,
+        mx_E2EIcon_normal: status === E2E_STATE.NORMAL,
+        mx_E2EIcon_verified: status === E2E_STATE.VERIFIED,
+    }, className);
+
     let e2eTitle;
-
-    const crossSigning = SettingsStore.isFeatureEnabled("feature_cross_signing");
+    const crossSigning = useFeatureEnabled("feature_cross_signing");
     if (crossSigning && isUser) {
-        if (isWarning) {
-            e2eTitle = _t(
-                "This user has not verified all of their devices.",
-            );
-        } else if (isNormal) {
-            e2eTitle = _t(
-                "You have not verified this user. " +
-                "This user has verified all of their devices.",
-            );
-        } else if (isVerified) {
-            e2eTitle = _t(
-                "You have verified this user. " +
-                "This user has verified all of their devices.",
-            );
-        }
+        e2eTitle = crossSigningUserTitles[status];
     } else if (crossSigning && !isUser) {
-        if (isWarning) {
-            e2eTitle = _t(
-                "Some users in this encrypted room are not verified by you or " +
-                "they have not verified their own devices.",
-            );
-        } else if (isVerified) {
-            e2eTitle = _t(
-                "All users in this encrypted room are verified by you and " +
-                "they have verified their own devices.",
-            );
-        }
+        e2eTitle = crossSigningRoomTitles[status];
     } else if (!crossSigning && isUser) {
-        if (isWarning) {
-            e2eTitle = _t("Some devices for this user are not trusted");
-        } else if (isVerified) {
-            e2eTitle = _t("All devices for this user are trusted");
-        }
+        e2eTitle = legacyUserTitles[status];
     } else if (!crossSigning && !isUser) {
-        if (isWarning) {
-            e2eTitle = _t("Some devices in this encrypted room are not trusted");
-        } else if (isVerified) {
-            e2eTitle = _t("All devices in this encrypted room are trusted");
-        }
+        e2eTitle = legacyRoomTitles[status];
     }
 
-    let style = null;
-    if (props.size) {
-        style = {width: `${props.size}px`, height: `${props.size}px`};
+    let style;
+    if (size) {
+        style = {width: `${size}px`, height: `${size}px`};
     }
 
-    const icon = (<div className={e2eIconClasses} style={style} title={e2eTitle} />);
-    if (props.onClick) {
-        return (<AccessibleButton onClick={props.onClick}>{ icon }</AccessibleButton>);
-    } else {
-        return icon;
+    const onMouseOver = () => setHover(true);
+    const onMouseOut = () => setHover(false);
+
+    let tip;
+    if (hover) {
+        tip = <Tooltip label={e2eTitle ? _t(e2eTitle) : ""} />;
     }
-}
+
+    if (onClick) {
+        return (
+            <AccessibleButton
+                onClick={onClick}
+                onMouseOver={onMouseOver}
+                onMouseOut={onMouseOut}
+                className={classes}
+                style={style}
+            >
+                { tip }
+            </AccessibleButton>
+        );
+    }
+
+    return <div onMouseOver={onMouseOver} onMouseOut={onMouseOut} className={classes} style={style}>
+        { tip }
+    </div>;
+};
+
+E2EIcon.propTypes = {
+    isUser: PropTypes.bool,
+    status: PropTypes.oneOf(Object.values(E2E_STATE)),
+    className: PropTypes.string,
+    size: PropTypes.number,
+    onClick: PropTypes.func,
+};
+
+export default E2EIcon;
diff --git a/src/components/views/rooms/EventTile.js b/src/components/views/rooms/EventTile.js
index 634b77c9e1..940515f02e 100644
--- a/src/components/views/rooms/EventTile.js
+++ b/src/components/views/rooms/EventTile.js
@@ -33,6 +33,7 @@ import {MatrixClientPeg} from '../../../MatrixClientPeg';
 import {ALL_RULE_TYPES} from "../../../mjolnir/BanList";
 import * as ObjectUtils from "../../../ObjectUtils";
 import MatrixClientContext from "../../../contexts/MatrixClientContext";
+import {E2E_STATE} from "./E2EIcon";
 
 const eventTileTypes = {
     'm.room.message': 'messages.MessageEvent',
@@ -66,13 +67,6 @@ const stateEventTileTypes = {
     'm.room.related_groups': 'messages.TextualEvent',
 };
 
-const E2E_STATE = {
-    VERIFIED: "verified",
-    WARNING: "warning",
-    UNKNOWN: "unknown",
-    NORMAL: "normal",
-};
-
 // Add all the Mjolnir stuff to the renderer
 for (const evType of ALL_RULE_TYPES) {
     stateEventTileTypes[evType] = 'messages.TextualEvent';
diff --git a/src/components/views/rooms/MessageComposer.js b/src/components/views/rooms/MessageComposer.js
index 8d36f02d02..53e10fa750 100644
--- a/src/components/views/rooms/MessageComposer.js
+++ b/src/components/views/rooms/MessageComposer.js
@@ -26,6 +26,7 @@ import Stickerpicker from './Stickerpicker';
 import { makeRoomPermalink } from '../../../utils/permalinks/Permalinks';
 import ContentMessages from '../../../ContentMessages';
 import E2EIcon from './E2EIcon';
+import SettingsStore from "../../../settings/SettingsStore";
 
 function ComposerAvatar(props) {
     const MemberStatusMessageAvatar = sdk.getComponent('avatars.MemberStatusMessageAvatar');
@@ -168,7 +169,6 @@ export default class MessageComposer extends React.Component {
     constructor(props) {
         super(props);
         this.onInputStateChanged = this.onInputStateChanged.bind(this);
-        this.onEvent = this.onEvent.bind(this);
         this._onRoomStateEvents = this._onRoomStateEvents.bind(this);
         this._onRoomViewStoreUpdate = this._onRoomViewStoreUpdate.bind(this);
         this._onTombstoneClick = this._onTombstoneClick.bind(this);
@@ -182,11 +182,6 @@ export default class MessageComposer extends React.Component {
     }
 
     componentDidMount() {
-        // N.B. using 'event' rather than 'RoomEvents' otherwise the crypto handler
-        // for 'event' fires *after* 'RoomEvent', and our room won't have yet been
-        // marked as encrypted.
-        // XXX: fragile as all hell - fixme somehow, perhaps with a dedicated Room.encryption event or something.
-        MatrixClientPeg.get().on("event", this.onEvent);
         MatrixClientPeg.get().on("RoomState.events", this._onRoomStateEvents);
         this._roomStoreToken = RoomViewStore.addListener(this._onRoomViewStoreUpdate);
         this._waitForOwnMember();
@@ -210,7 +205,6 @@ export default class MessageComposer extends React.Component {
 
     componentWillUnmount() {
         if (MatrixClientPeg.get()) {
-            MatrixClientPeg.get().removeListener("event", this.onEvent);
             MatrixClientPeg.get().removeListener("RoomState.events", this._onRoomStateEvents);
         }
         if (this._roomStoreToken) {
@@ -218,13 +212,6 @@ export default class MessageComposer extends React.Component {
         }
     }
 
-    onEvent(event) {
-        if (event.getType() !== 'm.room.encryption') return;
-        if (event.getRoomId() !== this.props.room.roomId) return;
-        // TODO: put (encryption state??) in state
-        this.forceUpdate();
-    }
-
     _onRoomStateEvents(ev, state) {
         if (ev.getRoomId() !== this.props.room.roomId) return;
 
@@ -282,18 +269,33 @@ export default class MessageComposer extends React.Component {
     }
 
     renderPlaceholderText() {
-        const roomIsEncrypted = MatrixClientPeg.get().isRoomEncrypted(this.props.room.roomId);
-        if (this.state.isQuoting) {
-            if (roomIsEncrypted) {
-                return _t('Send an encrypted reply…');
+        if (SettingsStore.isFeatureEnabled("feature_cross_signing")) {
+            if (this.state.isQuoting) {
+                if (this.props.e2eStatus) {
+                    return _t('Send an encrypted reply…');
+                } else {
+                    return _t('Send a reply…');
+                }
             } else {
-                return _t('Send a reply (unencrypted)…');
+                if (this.props.e2eStatus) {
+                    return _t('Send an encrypted message…');
+                } else {
+                    return _t('Send a message…');
+                }
             }
         } else {
-            if (roomIsEncrypted) {
-                return _t('Send an encrypted message…');
+            if (this.state.isQuoting) {
+                if (this.props.e2eStatus) {
+                    return _t('Send an encrypted reply…');
+                } else {
+                    return _t('Send a reply (unencrypted)…');
+                }
             } else {
-                return _t('Send a message (unencrypted)…');
+                if (this.props.e2eStatus) {
+                    return _t('Send an encrypted message…');
+                } else {
+                    return _t('Send a message (unencrypted)…');
+                }
             }
         }
     }
diff --git a/src/hooks/useSettings.js b/src/hooks/useSettings.js
new file mode 100644
index 0000000000..151a6369de
--- /dev/null
+++ b/src/hooks/useSettings.js
@@ -0,0 +1,52 @@
+/*
+Copyright 2020 The Matrix.org Foundation C.I.C.
+
+Licensed under the Apache License, Version 2.0 (the "License");
+you may not use this file except in compliance with the License.
+You may obtain a copy of the License at
+
+    http://www.apache.org/licenses/LICENSE-2.0
+
+Unless required by applicable law or agreed to in writing, software
+distributed under the License is distributed on an "AS IS" BASIS,
+WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+See the License for the specific language governing permissions and
+limitations under the License.
+*/
+
+import {useEffect, useState} from "react";
+import SettingsStore from '../settings/SettingsStore';
+
+// Hook to fetch the value of a setting and dynamically update when it changes
+export const useSettingValue = (settingName, roomId = null, excludeDefault = false) => {
+    const [value, setValue] = useState(SettingsStore.getValue(settingName, roomId, excludeDefault));
+
+    useEffect(() => {
+        const ref = SettingsStore.watchSetting(settingName, roomId, () => {
+            setValue(SettingsStore.getValue(settingName, roomId, excludeDefault));
+        });
+        // clean-up
+        return () => {
+            SettingsStore.unwatchSetting(ref);
+        };
+    }, [settingName, roomId, excludeDefault]);
+
+    return value;
+};
+
+// Hook to fetch whether a feature is enabled and dynamically update when that changes
+export const useFeatureEnabled = (featureName, roomId = null) => {
+    const [enabled, setEnabled] = useState(SettingsStore.isFeatureEnabled(featureName, roomId));
+
+    useEffect(() => {
+        const ref = SettingsStore.watchSetting(featureName, roomId, () => {
+            setEnabled(SettingsStore.isFeatureEnabled(featureName, roomId));
+        });
+        // clean-up
+        return () => {
+            SettingsStore.unwatchSetting(ref);
+        };
+    }, [featureName, roomId]);
+
+    return enabled;
+};
diff --git a/src/i18n/strings/en_EN.json b/src/i18n/strings/en_EN.json
index 099b64dd49..504ed7c876 100644
--- a/src/i18n/strings/en_EN.json
+++ b/src/i18n/strings/en_EN.json
@@ -887,8 +887,9 @@
     "This user has not verified all of their devices.": "This user has not verified all of their devices.",
     "You have not verified this user. This user has verified all of their devices.": "You have not verified this user. This user has verified all of their devices.",
     "You have verified this user. This user has verified all of their devices.": "You have verified this user. This user has verified all of their devices.",
-    "Some users in this encrypted room are not verified by you or they have not verified their own devices.": "Some users in this encrypted room are not verified by you or they have not verified their own devices.",
-    "All users in this encrypted room are verified by you and they have verified their own devices.": "All users in this encrypted room are verified by you and they have verified their own devices.",
+    "Someone is using an unknown device": "Someone is using an unknown device",
+    "This room is end-to-end encrypted": "This room is end-to-end encrypted",
+    "Everyone in this room is verified": "Everyone in this room is verified",
     "Some devices for this user are not trusted": "Some devices for this user are not trusted",
     "All devices for this user are trusted": "All devices for this user are trusted",
     "Some devices in this encrypted room are not trusted": "Some devices in this encrypted room are not trusted",
@@ -964,8 +965,10 @@
     "Hangup": "Hangup",
     "Upload file": "Upload file",
     "Send an encrypted reply…": "Send an encrypted reply…",
-    "Send a reply (unencrypted)…": "Send a reply (unencrypted)…",
+    "Send a reply…": "Send a reply…",
     "Send an encrypted message…": "Send an encrypted message…",
+    "Send a message…": "Send a message…",
+    "Send a reply (unencrypted)…": "Send a reply (unencrypted)…",
     "Send a message (unencrypted)…": "Send a message (unencrypted)…",
     "The conversation continues here.": "The conversation continues here.",
     "This room has been replaced and is no longer active.": "This room has been replaced and is no longer active.",