Data encryption is a powerful security measure that converts sensitive information into gibberish that is unreadable and only the intended recipient is able to decode it. It is a crucial aspect of digital transformation as it helps to protect the privacy of data stored on or transmitted through computers or networks such as the Internet. It offers integrity and authentication which ensures that the information isn’t altered or altered during transmission or storage.

Encrypting data is the process of changing the original data into an encrypted format that can only be opened by the recipient using keys or passwords. In most instances, the recipient is able to translate the encrypted data back into its original format. Modern encryption techniques employ algorithms that scramble the original data to the ciphertext. Various methods and algorithms are used to accomplish this that include transposition and substitution techniques. The Caesar cipher is a first example of a replacement cipher. Each letter is replaced by a different one at a fixed number positions down the alphabet.

The encryption of data is often required to ensure compliance with regulations set by a variety of organizations or standard bodies, including the Fair Credit Reporting Act (FCRA) and other consumer protection laws. It is an essential security measure to shield sensitive information of a company or patient from cyber-attacks. Retailers, for instance need to safeguard their customers’ credit card information and shipping details when they transfer it between systems or over networks. The encryption process may also protect data on computers, USB devices and other hardware from physical or virtual theft by hackers.