Wonder if the next law will be an attempt at making services that mask the users activity illegal. Now that they could really enforce or prove what you were actually doing.”

no because if they did this then all of peoples banking information and everything else that is encrypted then would be plain as day. Using ssl would be a federal offense & everyone would be in jail for trying to check their myspace, email, band account, credit card, etc. This would also give a field day to scammers since everything would be wide open, so get rich days in other words. The world would be so corrupts as for almost everyone everything they have would be available for whoever wants it. How would you like everyone to have all your banking info free to distribute & reciprocate along with your email and everything that is encrypted as of now?

Do you think they will make encrypted traffic illegal? I don’t think so as for the above is true.

Oh yeah, the internet is global so unless they were to make it illegal all over the, then it still remain

I Remember hearing about that, all it did was cause software manufacturers to create a system where reasonable doubt could be brought forth on the claim of an encrypted volume. Never looked into deep enough, but from what I understand it makes it hard or even impossible to identify a sector as an encrypted volume. You can tell an entire hard drive isn’t being used, but no way to prove that its an encrypted volume. Anyway, always thought one way around it would be to create 2 passwords, one fake decrypt the file and generate random files, the other would actually decrypt the file. This way you can give them a password, and all they can do is assume its a fake, they can’t prove it.