Video: Fundamentals of Encryption

In this lesson, Nick Palazzolo, CPA, breaks down the essentials of encryption, a cornerstone of information security vital for protecting data from unauthorized access. He starts by explaining the conversion of plain text into cipher text through encryption algorithms and the critical roles of encryption keys in this process. Nick simplifies these concepts with relatable examples, ensuring clarity on how encryption safeguards confidentiality and integrity in various applications from secure communications to e-commerce. Additionally, he covers different encryption techniques, including symmetric and asymmetric encryption, and explores their specific uses in technology today, such as digital signatures and cryptocurrency security. This comprehensive overview provides a solid foundation in understanding and applying encryption strategies effectively.

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Video Transcript

Instructor: Nick Palazzolo

Nick Palazzolo is head instructor of ExamPrep.ai CPA Review. Nick's teaching style is engaging & upbeat, combining practical Big 4 tax & assurance expertise with years of 1-on-1 coaching. His lessons are concise and emphasize what you need to know to pass. Whether you're a recent grad or working full-time, we’re confident you can conquer your CPA exams with Nick’s review.

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What are the fundamentals of encryption? We've mentioned encryption in many lessons, but let's really dive into it as much as you need to know for the exam. We're not gonna make you the utmost authority on encryption, but this is a crucial concept in the field of information security. It's used to protect data from unauthorized access. So what are the fundamentals? Well, first off, it's the process of converting data or information into a code specifically and especially to prevent unauthorized access. So that's the purpose of it. We're not doing it for fun. We're doing it to prevent unauthorized access. It involves the use of algorithms to transform plain text, which is what you are seeing and reading into cipher text. So let's understand these key concepts, these terms. So plain text, this is the Excel file that has the financial data on it. This is the password that you're encrypting. This is the PDF. This is the original readable data. Now the cipher text, this is the transformed unreadable data. Then we have an encryption algorithm. This is a method or formula used to convert plain text into cipher text. So this is essentially the mechanism that hides the plain text. And then the key. The key is super important. That's the piece of information used by the algorithm to transform the data. Keys are secret and are used to both encrypt and decrypt the data. Super simple example. If a client sends you over a file that's password protected, that password protection is the encryption algorithm and the key is the password. That's just a basic, basic example, right? Obviously there are more complex ways of encryption. You know, we can give examples as much as needed, but that's what you can think of as

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Confidentiality, Privacy, & Incident Response

Module: 2 Concepts, 20 Videos

Confidentiality and Privacy - Overview

0:52

Introduction to Confidentiality and Privacy

2:24

Fundamentals of Encryption

3:29

Confidentiality vs. Privacy