You can encrypt any volume, which includes external drives and USB sticks. It's unlikely most people need such plausible deniability, but for those who do TrueCrypt makes it easy. Simply put, a Govt agency or some other threaten foe will not be able to force (through law or malice) you to reveal the password to your encrypted data, because there will be no way to prove this encrypted data exists. You can create hidden volumes, which makes it possible to completely hide encrypted data. make it impossible for anyone to actually know there's encrypted data on your Mac) TrueCrypt is the way to go. For basic encryption of user data OR for the hiding and protection of data you not only want to encrypt but actually wish to hide completely (i.e.
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