Put simply, when you connect to the internet...it connects back to you!
ISPs in many countries are required BY LAW to track what websites you visit, though they can only give that information to someone via something like a search warrent. (Though the P.A.T.R.I.O.T. act in the US means 'authorities' need less than a search warrent to read where you're surfing.)
MPAA and RIAA 'bust' someone downloading via torrents by actually connecting to that torrent and then connecting to that 'someone' to verify they're actually in that torrent. After that, it's just a paper trail...and not always a legal one...that they use to threaten a massive civil fine. But now at least they have to get a court order even to force your ISP to give them your name...all they know at first is an ip address. BTW, being simply firewalled won't matter against this -- they aren't so they can connect to those that are.
Peer Guardian 2 with the latest blocklists offers at least some protection against RIAA, MPAA, BSA, and other questionable companies searches.
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