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This video demonstrates steganography using the tool JP Hide and Seek to conceal an image and a text file within a JPEG. The process allows for any data to be hidden in plain sight within a JPEG, making it undetectable to the human eye. One can only notice the hidden content by comparing the original JPEG with the modified one using software. The tutorial features JP Hide first, with the example of hiding the file littlebub.jpg inside another JPEG named ocean.jpg. This technique is suggested for secretly transmitting messages over the internet, with implications noted in contexts like terrorism. Tool links for JP Hide and Seek, as well as Beyond Compare, are provided in the video description.