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A watermark in an image file works so long as the person doesn't realize it is there. If a person simply copies it, the watermark will still be there. It will always be possible to get around a watermark of a picture file, but often people won't think about it. But an e-book is a glorified text file. You could embed a watermark in the e-book file, but if it is reduced to text, there's no more watermark.
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