Potassium Hydroxide Bad pH-adjuster-stabiliser No known benefits Potassium Hydroxide description Potassium hydroxide is a highly alkaline ingredient (also known as lye) used in small amounts in cosmetics to modulate the pH of a product. It’s also used as a cleansing agent, most often in pure soaps or soap hybrid products. In higher concentrations, potassium hydroxide can aggravate skin, even if used in rinse-off products.