Data room software safety involves several layers of protection to ensure the security of sharing, storage, and collaboration with sensitive information. It has access controls that are granular that limit who can access and edit documents, as well as audit trails that track the activities of users. It also offers a range of encryption options to ensure data security both at its rest and during transport. Other features, such as watermarks, prevent unauthorized sharing by displaying an immovable unique identifier on every document. It also comes with two-factor authentication that requires users to make use of a second method of verification to sign in. This lowers the risk for malware. It should also support secure spreadsheet viewing to protect formulas, PII, and other confidential content in Excel files.
Many industries are subject to state, federal as well as international laws and regulations, like the California Consumer Privacy Act (CCPA), GDPR, HIPAA, FISMA, SOC 1 and 2, SOX and ISO 27001. Data breaches can trigger legal penalties, fines as well as lawsuits and reputational damage. They may also result in disruptions to operations and even loss of revenue. Data room security can help ensure compliance with these regulations and laws by ensuring that only authorized users can access shared sensitive information. It also helps to prevent data leaks and other security risks by reducing the possibility that unauthorized users can gain access to sensitive information via hacking or malware, phishing and man-in the-middle attacks. It includes end-to-end encryption that encrypts documents on the device of the sender and only decrypts them on the recipient’s device blocking access by unauthorized users to data even if the document is intercepted during transmission. It also comes with activity monitoring, which tracks the user’s activity and records every change made to files and alerts administrators to suspicious behaviour.
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