kgo, pretty cool. What's your connection to this? Or you just happen to have a short dozen you want to sell?
How does this relate to bitcoin? Do you encrypt your wallet to yourself? I conventionally/symetrically encrypt the wallet, so I'm vulnerable to key loggers and of course during the few minutes while the wallet remains in use on my disk.
I had two or three spare cards around. They were the only thing was able to reliably sell on #bitcoin-otc. Since the cards come from Germany, shipping can get expensive. I decided to order a ten pack along with some readers and see if I could sell them all for bitcoins.
You can use gpg to encrypt wallet backups. I do. But there are other methods that are just fine. But there's no direct integration with gpg.
gpg is used more extensively on the #bitcoin-otc web of trust. If you're unfamiliar, it's a feedback system like Ebay, but based around gpg. It also lets you ensure that the person you're talking to is indeed the person with the good rating, since someone could log onto the channel with your name.
It's also used some to digitally sign contracts. You can write out a statement like:
-----BEGIN PGP SIGNED MESSAGE-----
Hash: SHA1
I will deliver one OpenPGP + SmartCard combo to you via priority mail for 3 BTC.
-----BEGIN PGP SIGNATURE-----
Version: GnuPG v2.0.17 (MingW32)
iQEcBAEBAgAGBQJOGjILAAoJEP5F5V2hilTWxl0H/ip6+3WrXoK8rI+YghnIOJle
gNoW6+xygv8pP4oBR77pYqOtOzQP0LF1GCLX30sPi4tZoAHAAPnpsCdNGCYMKYN/
Sb3fVgH0KEN+4uo+pPm5PmGAdLp9K5kr3U2m+5yUb/ygWjJbTB4nCl4vbxkdhDnN
f0jZIywnbl/mzyWJ664ZAn8Zn2ITX08pUK9VAGsxkuHmoKKfJKMkdkqf+ky09IKc
VVz+LuHolsjkh1+Qi3k4y0ic1+9XbHsreF+wUIP3e11Ao6X+aEEPxZG/dDY2xdIA
jLCYs4ulb5m2r1uDS+1/Eph1iZOsDjfH2KueDt+NBPAkpsX1zYR4mt4AqH9leAI=
=6yS6
-----END PGP SIGNATURE-----
A user can use gpg to verify that you wrote this. And if you try to deny it down the road they can prove you signed it. A concept called non-repudiation.
If someone tries to forge the content:
-----BEGIN PGP SIGNED MESSAGE-----
Hash: SHA1
I will deliver a one ounce gold nugget to you via priority mail for 0.3 BTC.
-----BEGIN PGP SIGNATURE-----
Version: GnuPG v2.0.17 (MingW32)
iQEcBAEBAgAGBQJOGjILAAoJEP5F5V2hilTWxl0H/ip6+3WrXoK8rI+YghnIOJle
gNoW6+xygv8pP4oBR77pYqOtOzQP0LF1GCLX30sPi4tZoAHAAPnpsCdNGCYMKYN/
Sb3fVgH0KEN+4uo+pPm5PmGAdLp9K5kr3U2m+5yUb/ygWjJbTB4nCl4vbxkdhDnN
f0jZIywnbl/mzyWJ664ZAn8Zn2ITX08pUK9VAGsxkuHmoKKfJKMkdkqf+ky09IKc
VVz+LuHolsjkh1+Qi3k4y0ic1+9XbHsreF+wUIP3e11Ao6X+aEEPxZG/dDY2xdIA
jLCYs4ulb5m2r1uDS+1/Eph1iZOsDjfH2KueDt+NBPAkpsX1zYR4mt4AqH9leAI=
=6yS6
-----END PGP SIGNATURE-----
Then it can be proven that the document has been tampered with.
These cards just provide a more secure way to store your gpg keys.