With Vietnam’s National Assembly continuously introducing new regulations on data and personal information, data security has become a top priority for Vietnamese enterprises. These stringent requirements compel organizations to not only ensure legal compliance, but also maintain business continuity and customer trust.

Among various technical measures, data encryption is widely recognized as the most critical safeguard - endorsed not only by Vietnamese law, but also by international legal frameworks such as GDPR, HIPAA, and PCI DSS.

In this article, VNG Cloud, in collaboration with Data Protectify, will help businesses explore the big picture of data encryption. Understanding how encryption protects your enterprise is the key to meeting increasingly strict compliance requirements, strengthening customer trust, and securing your most valuable information for the long term.

What is Data Encryption?

According to Article 3.16 of the Data Law 2024, encryption refers to the process of converting data from an identifiable form into an “unreadable” format, which can only be decrypted using the appropriate key.

Put simply: if enterprise data is the “golden key”, then encryption is the multi-layered safe that only the key holder can unlock.

When is encryption mandatory for businesses?

According to Decree 165/2025/NĐ-CP, data encryption is a mandatory requirement in the following cases:

• Data in transit: when transferred over the Internet or between systems.
• Data at rest: stored in databases, servers, or storage devices.
• Data on digital devices: such as personal computers or mobile devices.

With VNG Cloud, all data is encrypted both in transit and at rest in compliance with legal requirements, giving businesses peace of mind in their operations. Explore here!  

Data encryption solutions

From a technical perspective, data encryption solutions (including cloud data encryption and data encryption software) are commonly categorized based on the state of data: In-Transit Encryption & At-Rest Encryption. 

In-Transit Encryption

Data is considered “in transit” when it is moving between devices, across the Internet, or within an internal network. In this state, data is more vulnerable because it must be decrypted before transmission. Implementing end-to-end encryption ensures that data remains secure and confidential - even if it is intercepted along the way.

At-Rest Encryption

“Data at rest” refers to data that resides on a storage device and is not being transmitted or actively used. While it may appear less risky than data in transit, at-rest data is often highly valuable, making it an attractive target for hackers. Encrypting stored data minimizes the risk of theft due to stolen devices, misconfigured access rights, or accidental password sharing. At the same time, it extends the time it would take an attacker to access the information - giving businesses a critical window to detect early signs of threats such as ransomware, data leaks, unauthorized access changes, or remote deletion.

Common types of encryption

Encryption techniques are typically classified based on the type of key used for encrypting and decrypting data: Symmetric Encryption and Asymmetric Encryption.

Asymmetric Encryption

Also known as public-key encryption, this method uses two different keys: a public key for encryption and a private key for decryption. This approach ensures strong security when sharing data across open environments such as the Internet.

Symmetric Encryption

This method uses a single key for both encryption and decryption. Its biggest advantage is speed and efficiency, making it particularly suitable for processing large volumes of data or within closed systems. However, in multi-user environments over a network, key distribution can present potential risks.

vStorage - Reliable Cloud Storage Solution from VNG Cloud

Trusted by more than 1,000 leading enterprises across Finance & Banking, Media & Entertainment, Retail, Technology & Services (including FE Credit, MSB, VTVCab, AEON, 7-Eleven…),  vStorage delivers a modern, secure, and Vietnam-compliant cloud storage platform. With multi-zone infrastructure in Hanoi and Ho Chi Minh City, and international-standard data centers, vStorage ensures:

• 99.99% SLA uptime and 99,99999999999% data durability
• 05 availability zones, guaranteeing system continuity
• Comprehensive security layers covering storage, backup, and recovery - equivalent to global standards but optimized specifically for the Vietnamese market

vStorage - Data encryption in transit 

During transmission, data is often vulnerable to monitoring or theft. To ensure security, VNG Cloud applies the most advanced encryption algorithms, keeping your data confidential - even if intercepted or monitored over the Internet.

• One key standard is AES (Advanced Encryption Standard), the world’s most widely used symmetric encryption protocol, trusted by global enterprises and organizations.
• In parallel, VNG Cloud employs TLS/SSL protocols to secure data in transit. This mechanism uses asymmetric encryption (public/private keys) for safe key exchange, then switches to symmetric encryption to protect all data throughout its journey.

vStorage - Data encryption at rest

Data protection does not end with transmission—it must also remain secure throughout storage. With vStorage, VNG Cloud provides two encryption methods:

• Client-Side Encryption: Data is encrypted directly on your device or application before being uploaded. You retain full control over encryption keys and data access.
• Server-Side Encryption: Once uploaded to vStorage, the system automatically encrypts the data before storage. This ensures protection even if devices are lost or access rights are compromised.

Thanks to the multi-layered security architecture, VNG Cloud gives businesses absolute peace of mind: Your data is always safe, compliant, and protected - from creation to storage to transmission.

In today’s tightening regulatory landscape, data encryption not only enables businesses to meet strict government security requirements but also safeguards critical information assets and strengthens long-term trust with customers and partners.

Connect with the VNG Cloud team today for tailored solutions that keep your systems Secure - Compliant - Continuous.