Setting Up GnuPG

• Once the package is installed, your user needs to have a public/private key pair
• gpg will create a subdirectory, ~/.gnupg in which to keep its files
• If you just run gpg, you will see:

  	[bob@yohost bob]$ gpg
  	gpg: /home/bob/.gnupg: directory created
  	gpg: /home/bob/.gnupg/options: new options file created
  	gpg: you have to start GnuPG again, so it can read the new options file
  	

  This is not your key pair, just the creation of your directory and options file

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http://www.linuxchick.org/gpg