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Townsend Security Data Privacy Blog

Encryption and Key Management Explained

Posted by Liz Townsend on Mar 8, 2013 7:47:00 AM

Video: What is Encryption Key Management

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Today there are so many ways to lose control over sensitive data. Hackers are constantly trying to access networks, laptops get stolen out of cars, and unauthorized employees are given access to data that they were never meant to see. With so many ways to lose data, no wonder so many IT execs bury their heads in the sand at the idea of data security. It seems like there's nothing they can do.

Unfortunately for those people who ignore the pressing need for tighter data security (and are probably setting themselves up for a data breach), there is something they can do. They can encrypt their data, and they can use key management best practices to protect their encryption keys.

Encryption and key management are considered the highest standard in data protection, and are required or recommended by most industry regulations such as PCI-DSS, GLBA/FFIEC, FISMA, and HIPAA-HITECH Act.

But what exactly is encryption and why do you need key management?

I recently talked with data security expert Patrick Townsend, founder and CEO of Townsend Security, to find out. Watch the video of that discussion here.

What is encryption?

Encryption is a means of encoding data using an encryption algorithm to render data unreadable. AES encryption is a standard put forth by the National Institute of Standards and Technology (NIST). It is accepted as the strongest method to secure sensitive data. Encrypted data looks like gibberish. For example, an encrypted version of the name "John Doe" might look like "Ue%#KD#@". In order to read the gibberish, someone must have access to the encryption key, which unlocks the encrypted data to make it readable.

What is an Encryption Key?

When you encrypt data, an encryption "key" is created. Each encryption key is unique.  Encryption keys are the secret that must be protected. Encryption keys are a lot like the keys you use to lock your house. It's likely that you and several of your neighbors use the same kind of lock on your door, but each of you owns a unique key. Like a house lock, encryption uses the same algorithm to encrypt data, however in each instance, a unique key is created to unlock each piece of data. Losing your encryption key to a hacker is like losing your house key to a thief.

Hackers don't break encryption. They find the keys.

A lot of IT executives have dug themselves into a hole because they know they need encryption and key management, but they don't want to admit to their bosses that they've been ignoring the issue--and putting the company at risk--for years. It can be a very difficult subject to talk about, especially when budget has played a role in the decision making.

If you’re ready to begin having this discussion with your IT team, you should arm yourself with the right questions. We recommend you check out this video, “What is Encryption Key Management?” featuring Patrick Townsend, Founder & CEO of Townsend Security.

Topics: Alliance Key Manager, Encryption, Encryption Key Management

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