I’m not sure is it a bug or not (since TrueCrypt have this issue too), nevertheless I will post this problem and hope it could be fixed.
I installed the latest beta (v1.2.46.58) and tried running it. I decided to encrypt my active partition (C:) to try out the software. Everything work smoothly up to the point (no issues with encrypting) when I decided to restart my computer to test out the boot authentication.
To my horror (or so I have hunch it would happen but never expected it to be that bad), something happened that forces me to format, reinstall my OS and then restore back my backed up data from Acronis Secure Zone.
When I restarted my computer, the first thing my computer do is prompt me for password, so far so good. After I entered my password, the system begins to load the Acronis Recovery Startup Manager and this is where the computer stopped responding (note: no BOSD appeared).
Firstly, I tried rebooting a few times (turning it off and on using the power button on my computer) but the same thing happens.
Secondly, I tried using my Acronis Bootable CD to boot the recovery manager from the disc to undo the changes CDE made but the computer automatically restarted before the recovery could begin.
Lastly, I have no other options but to do the long way around. Format my C: partition, re-install a copy of Win XP and then restore the partition image using Acronis. The fortunate thing is that I did a backup of my system so no data is lost.
I did mentioned earlier that this issue is also present in TrueCrypt, however, this issue was easier to solve with TrueCrypt since it provides an option to make an emergency disc where you can decrypt your encrypted drive using when your computer is unable to boot your OS so I do not have to work the long way to undo the changes.
Anyway, I’m using Windows XP Professional (32-bits).
P.S - I’m not comparing it CDE with TrueCrypt, neither I’m saying TrueCrypt is better so don’t be mistaken. I just hope the issue can be solved in CDE where TrueCrypt is unable to (at least up till now).