Today the Tor Project, a global non-profit developing tools for online privacy and anonymity, and Tails, a portable operating system that uses Tor to protect users from digital surveillance, have joined forces and merged operations. Incorporating Tails into the Tor Project's structure allows for easier collaboration, better sustainability, reduced overhead, and expanded training and outreach programs to counter a larger number of digital threats. In short, coming together will strengthen both organizations' ability to protect people worldwide from surveillance and censorship.
I'm pretty sure that only media content is stored unencrypted, the text database should be encrypted.