Having fake and real passwords for encryption and additional questions

I am new to Docker so forgive me if I don’t know much.

If I created new Linux containers for every single application, would it take up a lot of resources?

If I installed an application inside Docker Linux container lets just say a web browser like Google Chrome. Would all of its settings and cookies and browsing history etc would it be stored ONLY in that particular Linux container and not on the main directories outside the Linux container?

Is it possible to encrypt the container? If so then you know how with VeraCrypt you can have an outer password and an inner password so the outer password would unlock the fake files and the inner password would unlock the real files and this is so that if the user is forced to give up the password he/she can give the outer password so that they think they have access to all your files? Does something like this exists for Docker?

Not appreciably more than installing and running those applications directly on the host.

Yes, unless you manually mount a portion of the host’s filesystem into the container’s filesystem.

Note that the permission issues around this can be tricky; getting a desktop application to use the host’s display and devices can be tricky, especially where “modern” desktop environments involve a lot of details like specific paths to driver libraries; and if you can run Docker commands, you have root privileges over the system. I don’t feel like it’s easy, or a good idea, to try to use Docker to run interactive desktop applications.

No.

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