Good encryption requires a good "key". Forget password, think passphrase.
Encryption is great when it's somebody intercepting your messages or data, but not so useful when they have access to an endpoint.
The effectiveness of a good lock is severely reduced if you can't remove the keys from it. Most hardware like this has a copy that can be gotten at by the diligent. It's how bluray ended up losing it's DRM.
Oh, and
this.