Tor is short for The Onion Router (thus the logo) and was initially a worldwide network of servers developed with the U.S. Navy that enabled people to browse the internet anonymously. Now, it’s a non-profit organization whose main purpose is the research and development of online privacy tools. The Tor network disguises your identity by moving your traffic across different Tor servers, and encrypting that traffic so it isn’t traced back to you. Anyone who tries would see traffic coming from random nodes on the Tor network, rather than your computer. For a more in-depth explanation, check out this post from Gizmodo.
We will have a Page Dedicated to Anonymity and INFOSEC up over the weekend.