Possibly risk with TOR?

So, if I understand it, TOR uses other TOR clients as a proxy hop? Doesn't that mean that everything I send through it is being recieved by other TOR users? What's to stop a TOR user from trapping the info?

 

Tor encrypts traffic. Only the exit node can see the unencrypted traffic (which has to be unencrypted since the website your visiting expects it - unless you are connecting to an https site in which case it will be encrypted) and even if the person running that node takes a peek, they will not be able to tell where it came from unless you have personally identifiable data in there (e.g. if you supplied your real name and address on a non-https web form).

I'd suggest you take the time to read the Tor FAQ so that you understand exactly what Tor does and doesn't do, lest you end up making this mistake.