Applies to Dynamics 365 (online), version 9.x
Applies to Dynamics 365 (online), version 8.x

Dynamics 365 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. This feature can help organizations meet FIPS 140-2 compliance.

For Dynamics 365 (online), all new and upgraded organizations use data encryption by default. Data encryption can’t be turned off.

Dynamics 365 users who have the system administrator security role can change the encryption key at any time.

Change an organization encryption key

  1. Go to Settings > Data Management.

  2. Click Data Encryption.

  3. In the Change Encryption Key box type the new encryption key and then select Change.

  4. Select OK in the confirmation message and then click Close to exit the Data Encryption page.

  5. We recommend that you copy the key to a safe place. Copy your organization data encryption key

Copy your organization data encryption key

We strongly recommend that you make a copy of your data encryption key.

  1. Sign in to Dynamics 365 as a user with the system administrator security role.

  2. Go to Settings > Data Management.

  3. Click Data Encryption.

  4. In the Data Encryption dialog box, select Show Encryption Key, in the Current encryption key box select the encryption key, and copy it to the clipboard.

  5. Paste the encryption key in to a text editor, such as Notepad.


    By default, Dynamics 365 generates a passphrase that is a random collection of Unicode characters. Therefore, you must save the system-generated passphrase by using an application and file that supports Unicode characters. Some text editors, such as Notepad use ANSI coding by default. Before you save the passphrase using Notepad, select Save As, and then in the Encoding list, select Unicode.

  6. As a best practice, save the text file that contains the encryption key on a computer in a secure location on an encrypted hard drive.