DislikedNote:
- This is a qualified guess. I do not know exactly how that protection software is implemented.
- Hooking.
One way that form of protection can be implemented is to install a hook in the OS that gets called when targeted files are read. The hook would intercept the data read, decrypt it and pass it on to the calling program.
To bypass such protection, one could install a hook between the protection hook and the program to read and save the decrypted data-stream...Ignored
Hiding code in a DLL and using a verification system (e.g. calling your server with receipt and email matching and limiting # of users, etc.) is probably enough protection. Lastly, as we try more complicated methods to protect our software, we are often making it less compatible and more difficult to use, which is going to make loyal, paying customers unhappy.