Open a new file in Adobe Photoshop CS3. Make it 400 x 400 pixels so that you have room to work with. The background should be white. Your brush color settings should be a black foreground and white background.
Create a new layer by hitting Shift+Ctrl+N. Draw the circle of the anarchy symbol by selecting the line tool, then choosing the "Custom Shape Tool" from the tool bar at the top. Then go to the "Shape" menu next to that and select the circle shape. Draw it on your layer by clicking and dragging until you get the size circle you want.
Create another layer and switch back to the line tool. Next to the tools is a box marked "weight." Set that to 15 pixels (px) to match the line size of the circle. Draw the two lines that create the base of the "A" in the anarchy symbol by clicking beyond the bottom left "corner" of the circle and dragging the line up past the circle's top center. Draw the next line down from the center top to just beyond the circle's lower right "corner."
Create a new layer and draw a line bisecting the "A" and the circle, with both of its ends extending beyond the circle. Now you have the basic anarchy symbol, but it's very plain and needs a few more touches.
Select the layer with the basic two lines of the "A" shape. Go the "Free Transform" mode by hitting Ctrl+T. Rotate the "A" base to the left so it is skewed and not so straight. Then click the check mark in the upper toolbar. Select the layer with the bisecting line and switch to the "Free Transform" mode as above. Rotate the bisecting line to the right, skewing it as much as you like.
Select the entire image by hitting Ctrl+A. Copy the entire image by hitting Shift+Ctrl+C. Then paste the copy back into the file by hitting Ctrl+V.
Select the new layer and then select "Filter" from the menu and then Noise --> Dust & Scratches. Set the radius to 5, with a 0 threshold. This will melt the lines together where they connect. Select "Filter" from the menu and go to Sketch --> Chalk & Charcoal. Adjust the options to a charcoal area of 6, a chalk area of 6, and a stroke pressure of 1.
Duplicate the image by right clicking on it in the layer menu and selecting "Duplicate Layer." Select Filter on the menu and then Blur --> Motion Blur. Set the angle to -4 and the distance to 35 and hit Okay. Then select the layer, go to the settings at the top of layer pane and set the layer to "Darken" and the opacity to 75%.
Repeat step 2 and select the new layer you pasted in. Then create a masking layer by selecting "Layer" from the menu and then Layer Mask --> Reveal All.
Create a new layer beneath the masked layer and then choose the fill tool to fill the layer with white. This will let the masking changes you're about to make show through.
Use the Spatter Brush at about size 39, set to black at 25% opacity. Make sure the mask layer is selected and then dab at the anarchy symbol with the spatter brush. Use one click at a time to create wear and tear on the symbol.
Repeat step 2 again and select "Filter" and go to Other --> High Pass. Set the radius to 2.5 pixels and click okay. Then set the high pass layer to "Overlay" at the top of the layer pane.