TrueCrypt is an awesome product and the value-add from a thorough, independent audit would be immense. I use it in conjunction with Dropbox to add my own security layer. Dropbox only uploads the delta changes in a truecrypt container even though it's encrypted.
I don't have to worry about bugs like these : http://techcrunch.com/2011/06/20/dropbox-security-bug-made-p... which can exist with 2FA too.
I'd love to have a heightened sense of trust in TC if it's independently reviewed.
No, it's not. Disk encryption products like TrueCrypt do not have the properties you expect from ordinary file encryption. Only a subset of blocks are modified. It's a tradeoff, but it's the only way to make disk encryption practical.
I'm curious why didn't this go up on kickstarter?