Encryption can indeed and is decrypted all the time.
That is why I have stated several times now that Security is in the HARDWARE, below the TSS stack.
Software by itself IS NOT SECURE, and that includes encryption, whether it is 128 or 256 bit.
Again, you should get familiar with the TCG stuff and learn about it if you are really interested. You can buy a Dell, Lenovo, Acer, HP notebook today with a TPM on it and the management tools for it, along with a Self encrypting hard drive with the only access to it through the KEYS which are stored in the TPM silicon.
Amazing new technology designed specifically for the very reasons you guys are discussing.
http://www.trustedcomputinggroup.org/
check it out.
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