Quote from: Nescio on June 16, 2011, 03:38:47 AM

Quote from: ShadowOfHarbringer on June 15, 2011, 08:22:22 PM

Quote from: Nescio on June 15, 2011, 06:25:18 PM

none of that helps against a compromised machine.

Actually, it does.
You may fool an attacker into thinking that he hacked all the layers, while he only hacked top 2 of them.

Maybe we are misunderstanding eachother, but what do you think gets captured by a keylogger running on the *host* where you open a VM in a VM in a VM via a VNC session and you type in a TrueCrypt password, anywhere? Bonus points for guessing the same for what happens if you press PrtScr.

A VM truecrypt that uses an on-screen keyboard that is randomly scrambled with each startup. User clicks in his passcode. Keylogger fails, mouse recording fails, screen capture does not fail.

Speech to text? Soundcard sniffer?