TrueCrypt is not exactly “Open Source”, but the source is available. See the reviews to get more information.
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TrueCrypt is a disk encryption software for Windows Vista/XP, Mac OS X, and Linux.
Creates a virtual encrypted disk within a file and mounts it as a real disk.
Encrypts an entire partition or storage device such as USB flash drive or hard drive.

Encrypts a partition or drive where Windows is installed (pre-boot authentication).
Encryption is automatic, real-time (on-the-fly) and transparent.
Parallelization and pipelining allow data to be read and written as fast as if the drive was not encrypted.

Encryption can be hardware-accelerated on modern processors.
Provides plausible deniability, in case an adversary forces you to reveal the password:
Hidden volume (steganography) and hidden operating system.
We at AppsForMyPC have tested and used TrueCrypt and it worked pretty smoothly 🙂 🙂