Tails is an operating system based on Debian GNU/Linux that can loaded from a USB or DVD that preserves the privacy and anonymity of the user.
Online anonymity is guaranteed through connection to the Internet through Tor. In fact, any application that attempts to connect to the Internet directly has its connection blocked. For those unfamiliar with Tor, it essentially works by creating a unique path among network of computers that relay information to its destination. Tor can be used to hide your location and access censored websites (a wealth of information about Tor can be found on their website). The creators of Tails acknowledge several security limitations of Tor, particularly the potential of exit node eavesdropping.
Tails can be used on any computer, independent of the operating system the original computer runs. Removing the USB or DVD and restarting the computer leaves no trace that it was previously running another OS. The operating system uses no disk space and only uses the RAM of the host computer.
For more information, visit the Tails website.
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