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In-place LUKS conversion exists:

http://www.johannes-bauer.com/linux/luksipc/

I am wondering if there is the possibility to do the reverse, that is, an in-place luks decryption: turning a LUKS disk/partition into a non encrypted disk/partition.

1

No, it is not possible, at least not in any way that is even remotely safe. Backup the data to some place, reformat the partition using the filesystem you want, and restore the data.

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