I'm surprised that at least some level of security isn't present on all flash drives. The Cryptek is pretty spendy. Certainly it appears to deliver serious security, but at a cost that puts it out of the market for most people. Lighter weight encryption would do for the majority of people that just need to be safe from the accidental loss of a driver rather than from a targeted theft.
Talk about an 'in your face poof!'...
PS: it is quite easy to implement a squib that pops a small explosive-laden capsule in the USB. I have used something like that for activating an electrically-fired spinning mass gyroscope.
The best innovation that I could think of for a USB device is faster data transfers and instant load/unload. I would really like to see a device that you could plug in pull data off and then unplug without needing to tell it to disconnect. I am sure that the causes are valid but still, wouldn't be really innovative to speed up the whole process?