Microsoft uses standard SQL Server cell level encryption for a set of default entity attributes that contain sensitive information, such as user names and email passwords. The Field-level data encryption feature can help organizations meet the compliance requirements associated with FIPS 140-2 while configuring an integration between a Dataverse instance and Microsoft Exchange.

In fact, the Federal Information Processing Standard Publication 140-2, (FIPS PUB 140-2),[1][2] is a U.S. government computer security standard used to approve cryptographic modules FIPS 140-2 defines four levels of security, simply named « Level 1 » to « Level 4 ». It does not specify in detail what level of security is required by any particular application.

Since the version 9 of Dynamics 365, all new and upgraded organizations have the data encryption activated and the Administrators can change the encryption key in the Settings > Data Management > Data Encryption area.

The entity attributes that are configured for field-level data encryption are listed below:

  • EmailServerProfile (IncomingPassword, OutgoingPassword)
  • Mailbox (Password)
  • Queue (EmailPassword)
  • UserSettings (EmailPassword)

And for these fields, the following key points are not applicable:

  • Auditing cannot be enabled on encrypted fields.
  • Encrypted fields cannot be customized.
  • Encrypted fields cannot be indexed.
  • Encrypted fields can be set and updated by using standard Create, Update, and Delete methods.
  • When doing a retrieve of an encrypted field’s value, a null is returned.

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