Easiest way I learned PGP

You and me have each others public keys.

I use your public key to encrypt the message and you use your private key to decrypt the message.

Vise versa

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Conceptually I get it, never quite understood how to actually use it; apparently you can use it to encrypt files, and such?

It's also been a while since I've had the time to tinker.

Its also used to verify your identity and there is no 3rd party involvement.