No, that's not what an IP Block List program does.

The way it works is that it monitors all the IP addresses that attempt to connect to you and filters out the ones that have been flagged as POSSIBLE threats.

It determines which ones are possible threats according to a block list which you download separately--though with Peer Guardian you can download and update block lists through the program, however you can't set it up to do it for you automatically.

As for the Block Lists themselves, they're maintained by people who somehow find out which IP's are possible threats--usually through reports that people who've been caught downloading copyrighted material send to the block list maintainers. That's why PeerGuardian keeps a history, a record of every IP address that connects or attempts to connect to you while PeerGuardian is running (it's like a firewall in that regard) so that if you get caught (again) you can check the History to see which IP's look suspect and send your report to the block list maintainers.

So, it's all very scientific and junk (actually not so much)

Needless to say, this won't provide foolproof protection since the copyright "police" constantly switch which IP's they use to connect to p2p networks (like a never-ending game of cat-and-mouse...where if anything you're the Swiss Cheese. Or maybe the kitty litter)

This is the sort of service you're looking for:
http://hidemyass.com/vpn/

(DISCLAIMER: I've never tried it, nor do I know anyone who has. Can't vouch for the claims this service makes. You and you alone are responsible for what may or may not arise either good, bad or sort of in-between if you choose to use this service. Have a nice day and good luck not getting caught again /seriously)

if you want something free i think google tor, its for win and osx i think

About Tor, don't expect to get decent speeds using it for torrents:

Bandwidth hogging
    It is considered impolite by Tor community members to transfer massive amounts of data across the Tor network – the onion routers are run by volunteers using their own bandwidth at their own cost. Due to the high bandwidth usage caused by the peer-to-peer file sharing networks, it is considered impolite and inappropriate by Tor community members to use the Tor network for transfers like BitTorrent. By default, the Tor exit policy blocks the commonly used peer-to-peer ports."