[Canada]

I just don't buy that argument. If the evidence is mere hearsay, then how could it be good enough for compelling him to testify against himself?

It isn't hearsay in this case though. Hearsay is when Alice testifies that Bob told her he witnessed Charlie viewing child porn. Generally it should not be considered as fact that Bob witnessed this.

It's not hearsay if Alice testifies that she witnessed Charlie viewing child porn, which seems to be the case here. This kind of testimony is direct evidence.

Then there is the circumstantial evidence: The prosecution can show these encrypted drives exist, belong to the defendant, that he knows how to decrypt them and refused, etc.

I just don't see how it's reasonable to claim that isn't good enough for a jury to decide who to believe. They should just try him, or let him go.