Looks interesting, but why would I want an AI powered terminal? And why do they try to assure users that all data in the warp drive is encrypted and does not record keystrokes?

It's not.

I've used this a bit - it's pretty nice, especially if you're working in a team. You can share "notebooks" (basically lists of commands and workspaces) with your teammates. But I wouldn't use it personally. The fact that it makes you register with an email gave me pause during onboarding.