The Xen Of Linux

Xen hypervisor has been around for some time now and supports a wide range of guest operating systems including Windows, Linux, Solaris, and various versions of the BSD operating systems.
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Qubes - A Highly Secure OS Powered By Xen Hypervisor

Qubes is an open source operating system based on Linux, which is designed to provide strong security for desktop computing. Its unique selling point is that all applications that are run on Qubes is sand-boxed from each other.

This is achieved by way of virtualization of all applications using Xen Hypervisor.
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Install Linux in your Dropbox account using VirtualBox

Dropbox is a very popular online storage service which provides 2GB of free space to store all your files, and selectively share them with the public. What is really nice about Dropbox is that it provides tools which integrates with Windows, Linux and Mac OSX and makes uploading and downloading files to and from your Dropbox, and act as a conduit for backing up all your important files - a seamless affair.

LinuxHaxor has a nice writeup on how to use your free 2GB Dropbox account to install your choice of Linux distribution via Sun's VirtualBox. Make sure the Linux distribution you choose is less than 2GB in size when installed as you will be limited by the 2GB space on Dropbox.

The writeup walks one through the installation of Damn Small Linux on Dropbox using VirtualBox. Read the article.