I am not criticizing TrueCrupt here, this seems to be
the best that can be done in the given situation, but
"the best" is not really good.
Personally,i prefer PLAIN volumes over LUKS.An example of why is because when you plug in a LUKS based usb encrypted device to a gnome desktop,the desktop will give a prompt telling whoever is sitting at the desktop that the device is encrypted with LUKS and will demand a password to unlock it.I may not be hiding my stuff from government agencies,but i also do not like to scream at whoever touches my stuff telling them i have encrypted data.
I dont use truecrypt volumes and i never used the hidden volume feature but i can see its appeal,it may not be to hide super secret stuff from governments but simply to have two volumes in one container to "compartmentalize" sensitive data and not try to hide any of it from authorities but from say business competitors.
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