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Userspace Filesystem Encryption with EncFS (O'ReillyNet)

O'ReillyNet has this article on protecting data with an encrypted file system. "For a long time now, computer-related theft has been a real problem. The most likely victims of these thefts are laptops and USB sticks, which are obviously very easy to lift (and leave with). Desktop computers and backup media are stolen less frequently. In all of these cases, much of the time, the data stored in the media is more valuable than both the computer and the media. An important question is how to protect valuable data in our computer's storage areas."
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