Protecting sensitive data is a growing concern in a world that is ever more connected and dependent on technology. The widespread use of mobile devices, apps and online platforms has created new challenges for keeping data private and secure.
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One of the most widely used ways of meeting these challenges is data encryption: encoding information so that it can’t be read by anyone who doesn’t have the decryption key.
In this article, we look at how this process works, why it matters and how it protects data against privacy breaches, cyberattacks and other threats.
What is data encryption?
Encryption is part of every internet user’s daily life, from WhatsApp messages to banking apps, government websites and online stores.
Almost everything you do online involves some level of encryption. It is one of the most important tools for protecting your privacy, your bank details and even your identity.
Put simply, data encryption turns your information into an unreadable form so that it can be sent to someone else, who then turns it back into readable form. Anyone who intercepts the content along the way won’t be able to read it. Only the intended recipient, whether a person or an organization, can access the data.
Modern encryption schemes can also detect whether a message has been tampered with, protecting your information from interference by third parties.
How does data encryption work?
As we’ve seen, encryption turns information into unreadable text so that it can travel over the network. The result is called ciphertext: it looks random and can only be read with the right decryption key.
A key is a value generated by a mathematical algorithm. Depending on the method, the sender and recipient either share the same secret key or use a pair of related keys, which allows the recipient to decrypt the message and make it readable again. That’s why there are two types of data encryption: symmetric and asymmetric, which we explain below.
Types of encryption
There are two main types of encryption: symmetric and asymmetric.
Symmetric
Symmetric encryption, also called secret-key or private-key encryption, uses the same key to encrypt and decrypt information. It is faster, but the sender has to share the key with the recipient, which increases the risk of it being intercepted by a third party, such as a hacker.
Asymmetric
Asymmetric encryption uses two keys: a public key and a private key. Data encrypted with the recipient’s public key can only be decrypted with the matching private key, which never has to be shared. In practice, most systems combine the two methods: asymmetric encryption is used to exchange a symmetric key securely, and that symmetric key then encrypts the data.
This approach is widely used by companies that handle large amounts of encrypted data, as it makes the process more secure. Because only the holder of the private key can decrypt the information (or produce a valid digital signature), asymmetric encryption also makes it easier to control and verify who accesses it, which symmetric encryption alone can’t do.
What is the difference between cryptography and encryption?
Cryptography and encryption are sometimes used interchangeably, but they mean different things.
Cryptography is the science and practice of keeping information secret and secure. It covers techniques that ensure the confidentiality, integrity and authenticity of information. It is used to protect sensitive data, such as financial and health records, and to secure communications such as emails and instant messages.
While cryptography is the broader discipline, encryption is a specific technique within it: the process of scrambling information so that it can’t be read by anyone who doesn’t have the decryption key. Encryption is used to protect sensitive data such as financial information, personal data and confidential communications.
In short, cryptography is the science of information security, while encryption is a specific technique used to protect information by encoding it so that only authorized people can read it.
How to use data encryption
1 – Encrypt data “in transit”
Encryption “in transit” protects data while it is being sent to other devices, whether in messages, emails or website forms. Encrypting data in these cases stops third parties from intercepting and reading it.
2 – Encrypt data “at rest”
Encryption “at rest” protects files stored on your own devices, such as your computer, an external drive or a USB flash drive. All the major operating systems now offer encryption with fairly simple tools. You set a password, which will be needed to decrypt your information, so keep it (and any recovery key) somewhere safe: without it, the data can’t be accessed.
How encryption is used in different sectors
You’ve probably realized by now that encryption is simpler than it sounds. The underlying operations are complex, but the technology is increasingly accessible and is used in a wide range of sectors. Here are some of the areas that use it most.
1 – Protecting project information
Every company needs to keep new projects and products under development confidential. If this information leaks, years of business strategy can be put at risk. That’s why encryption is an important way of protecting your company’s data from attacks.
We’re not saying that your competitors will hack into your systems themselves. But a hacker could attack your company and steal the information, or try to sell it to other companies. This is known as corporate espionage, and it can do a lot of damage to the company targeted.
An employee could also leak this data when moving to another job, for example. So it’s important to pay close attention to the security of your projects to protect your business.
2 – Communication between teams
Another risk for your company is the interception of conversations between employees. Even if your projects are well protected, the messages people exchange can reveal a lot of strategic information, especially with remote working, which became much more common during the Covid-19 pandemic.
That’s why encryption is essential to keep both your employees’ privacy and your company’s data safe.
3 – Communication between apps and servers
Many apps need an internet connection to communicate with their servers in the cloud. This technology has made a wide range of software more accessible and lets people consult information from anywhere, but keeping these apps secure is another challenge.
Here, encryption protects your customers’ information and keeps the system running properly, with less risk of attacks.
4 – User login
Encryption is also essential for keeping the usernames and passwords of a system, app or website secure.
It works in two ways: it protects the user’s privacy by encrypting communication between the app and the login service, and it helps the company store these credentials securely (passwords should be stored as salted hashes, never in a readable form).
5 – Online payments
Finally, one of the most important uses: online payments. Here, encryption keeps payment data confidential, such as credit card details, the customer’s address and so on. This is one of the most important applications of encryption, as credit card fraud and scams keep growing every year.
Why invest in digital security?
Today, digital security is essential for any company or individual who wants peace of mind online. For businesses, it is also a legal obligation under data protection laws such as the GDPR in Europe.
By encrypting data, companies in every sector make sure their customers’ data is stored properly and can’t easily be stolen. Encryption also protects businesses from dishonest practices such as corporate espionage and makes their services more trustworthy in the eyes of consumers.
Besides encryption, other measures help keep your company secure. Destroying data you no longer need also helps keep your projects and information confidential. It prevents leaks, for example, and is a practical solution in many situations.
Formatting a drive is not enough: secure data destruction makes recovering the data practically impossible, which gives your company much greater peace of mind. Bot, for example, offers this service efficiently and confidentially, in compliance with data protection rules (GDPR).
As well as data recovery, Bot carries out secure data destruction, following recognized standards for the permanent erasure of data.
If your company needs a secure data destruction solution, get in touch with us.
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