I have a USB drive with a keypad on it, it stores my FIPS Compliant SSH-key for IL-5 government systems. I unlock it to add my key into my ssh-agent, and don't use it for anything else. Though it is an 8gig USB stick, so I could in theory run some kind of security/pen testing flavor of linux plus a VPN Client to connect to said systems.

What is your use case for this?

• Confidential files in a public setting? Don't fucking bring confidential files to a public setting. But if you must, a big bulky laptop with (good) FDE is a lot more sequre than a flash drive someone can pickpocket.
• Border crossing? Guess what? You paint a MASSIVE red flag on your back and get to learn that you don't actually have all that many rights in the time between stepping on foreign soil and being admitted by customs. Congrats, you gave them the wrong code three times and it got wiped. They are going to break your face and put you in a black site.
• Hiding sensitive/highly illegal content in the event of a police investigation: Yeah... if you are at the point where there is a warrant (or black van) out for your arrest than it really doesn't matter if they can see whatever you were looking at last night.

At my old job we required these for "thumb drives" and all they ever did was make reformatting machines pure hell.

First time I've seen something like that, but my initial thought was: wow, that's a lot of parts that can break and things that can go wrong (compared to only encrypting the data itself before storage).

They are interesting. But they are a huge red flag and scream examine me if it's in your luggage and your crossing a boarder.

I'm somewhat dubious about a hardware system not having long term undiscovered flaws. Be sure to use software based data protection on top of the hardware solution.

The ones that went through FIPS 140-2 Type 3 or above validation are legit. We used Apricorn for CUI data…examples: https://www.archives.gov/cui/registry/category-list

Useful for what? Hiding stuff from family-member or coworkers? Yeah sure. Why not.

Hiding stuff from professionals that really want your data? Probably not very helpful.

Also what about backup? One controller-malfunction and your stuff goes poof. I just assume the data is somehow important or else you wouldn't care about such a device 😊

Ironkey has been more careful than some other vendors but the concept still seems dubious to me, if you are tryna to stop serious attackers. You want the decryption key to be completely separated from the storage.

As long as the security software it uses is solid I think it's a decent idea.