Mega Explains Its Encryption Dismissing Some of the Fears and Criticism
Mega’s high-profile launch was under a lot of scrutiny, for obvious reasons, with many curious to see how the fabled encryption features would work. Mega boasted client-side encryption to ensure total privacy over the uploaded files.
But Mega also made it possible to share those files and didn’t require users to actually remember or store any key, things which could mean weaker security.
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Story added 23. January 2013, content source with full text you can find at link above.