Security of data room software includes multiple layers that protect sensitive data during storage, sharing and collaboration. It has control that limits the access of users to download, edit and view files. Audit trails are also included to keep track of user activity. It also offers a variety of encryption options for documents to secure data both at storage and in transit. Other features, like watermarks, stop unauthorized sharing by displaying an indestructible identification number on each file. It also comes with two-factor authentication, which requires an additional verification method for users to log-in and reduces the risk of malware. It should also support secure sheet viewing in order to protect formulas and PII in Excel files.
Many industries are governed by state, federal and international laws and regulations. This includes the California Consumer Privacy act (CCPA), GDPR and HIPAA. Other regulations include SOC 1 and 2 and ISO 27001. Data breaches can result in fines, legal penalties lawsuits, reputational damage and fines. They can also lead to disruptions to operations and even loss of revenue. Data room security helps to comply with these laws and regulations, because it ensures that only authorized users have access to sensitive information. It can also help prevent data leaks and other security risks by reducing the possibility that unauthorised users will gain access to sensitive data through hacking, malware, phishing, and man-in-the middle attacks. It also includes end-toend encryption that encrypts data on the sender’s device and decrypts them only on the device of the recipient. This prevents unauthorised access to data, even if a file is intercepted while being transmitted. It also features activity tracking, which tracks and logs changes made on https://dataroomanalytics.net/driving-success-in-ma-the-key-advantages-of-using-a-virtual-data-room-for-deal-room-management files by users and alerts administrators to suspicious behavior.