Positive evidence-of-use feature for portable storage devices

1. A method for providing positive evidence-of-use for a portable storage device, comprising:

surrounding a portion of the portable storage device with a movable outer sleeve, wherein the movable outer sleeve is configured for movement in one direction only;

retracting and permanently locking the movable outer sleeve into a housing of the portable storage device, using a ratcheting mechanism, to expose a contact area of the portable storage device, wherein the movable outer sleeve can only be retracted a single time into the housing of the portable storage device; and

causing the ratcheting mechanism to be broken upon any attempt to extend the movable outer sleeve after the movable outer sleeve has been retracted and permanently locked into the housing of the portable storage device;

wherein retraction of the movable outer sleeve into the housing of the portable storage device provides positive evidence-of-use for the portable storage device.

2. The method of claim 1 , further comprising:

indicating a state of the portable storage device using indicia provided on the movable outer sleeve; and

displaying the indicia in a window formed in the housing of the portable storage device.

3. The method of claim 1 , wherein the portable storage device further comprises non-volatile memory for storing data.

4. The method of claim 1 , wherein the movable outer sleeve is formed of a non-conductive material.

5. The method of claim 4 , wherein the movable outer sleeve is provided around an outer perimeter of a ground shell surrounding the contact area of the portable storage device.

6. The method of claim 1 , wherein the movable outer sleeve completely covers the contact area of the portable storage device prior to use, the method further comprising:

blocking access to the contact area of the portable storage device using a removable portion of the movable outer sleeve;

preventing retraction of the movable outer sleeve into the housing of the portable storage device using the removable portion of the movable outer sleeve; and

permanently removing the portion of the movable outer sleeve before the movable outer sleeve can be retracted into the housing of the portable storage device.

7. The method of claim 6 , wherein the removable portion of the movable outer sleeve further comprises a frangible tab.

8. The method of claim 7 , wherein the frangible tab comprises a proof-of-purchase or rebate token.