This blog has been inactive for quite a while, but users where still commenting. I didn't have the time to respond, but I kept watching the progress. Now is the time to sum up some of the comments.
Recently the idea came up if the communication between the client and the server might be compressed (additionally to being encrypted). I don't think this is the case. From my understanding the game does most likely use opcodes for data exchange. The amount of data is not very high so having the cpu overhead of doing stream encrypting does not really bring much benefit.
Our commenters have also tested to use a "verbose" version of the zlib that writes the protocol of the called method. From what we could observe only calls to "decompress" were made. Therefore it's most likely that the communication is only RC4 encrypted data.
I also was contacted by an Austrian developer that is looking into doing the same attempt we are doing for DDO. He is using easyhook (http://easyhook.codeplex.com/) to trace the calls. He focused on CryptImportKey() and CryptGenKey() to receive the private/public keys and the RC4 stream cipher. This might be an option for Windows users to figure out what the client is doing (Linux users can always use wine and hack it in whatever way they prefer).
I'm looking forward to what else our readers might come up with. Feel free to comment on this blog for whatever reason you like, e.g. connecting to other developers.
