This is obviously edited in RAM, since you can't change and reflash part of the firmware, which the setting button is. Also the first post says so.
So either Neimod has the decryption or encryption keys for the RAM or it's not encrypted. And by "encrypted RAM" I ofcourse mean the data in RAM. That's just how you say something like this. You must live behind the moon if you don't know that. For example you say "my hard drive is encrypted" not "all the data on my hard drive is encrypted".
You act like encrypted RAM has never happened. It has. For example the XBOX360 encrypts it's RAM.