>>If not is there any
>>wayto store a (live) database in an encrypted file.

> The simplest way - use NTFS encryption.

Easy yes. Secure... that depends on how much you trust
Microsoft (encryption and security is very much about trust).

A recent APC (Australian Personal Computer) magazine reported
that Microsoft were considering leaving a back door in their
EFS (encrypted file system) for government agencies. I have
found no official reports supporting for this assertion, but
it would not be very surprising and I would not expect them
to advertise it.

It is one of the reasons why Open Source has done so well in
the security game. If open source source code can pass
security review then there is a good chance it can be trusted
(although bugs get through whereever you go). If the source
is not open... well you have to trust that the providers have
done, and will continue to do, the right thing.

--
Geoff Worboys
Telesis Computing