In a world where data breaches are reported almost every day, organizations that handle sensitive government information must take encryption seriously. FIPS validated cryptography is a government security standard that goes beyond basic encryption. It requires independent validation testing under CMVP validation to confirm that a cryptographic module truly supports CUI protection.
This article explains how FIPS validation works, why it matters for NIST 800‑171 and CMMC compliance, and how agencies and contractors can use it to protect data at rest, data in transit, and sensitive information from unauthorized disclosure. You will learn what the standards mean, how they tie to real cryptography requirements, and how to confirm that your systems meet these government standards for secure data.
What is FIPS Validated Cryptography?
When you first hear FIPS validated cryptography, it may sound technical, but it really refers to a cryptography standard that has been tested and confirmed to meet strict federal requirements. At its core, it involves using a cryptographic module—either a hardware module, a software module, or a firmware module—that has passed government validation testing under a FIPS 140‑2 or FIPS 140‑3 security standard. This standard exists as part of NIST standards for encryption and is tied directly to protecting controlled unclassified information (CUI) under NIST 800‑171 and to achieving CMMC compliance.
A cryptographic module includes all elements necessary for secure communication and data protection, such as the implementation of a cryptography algorithm like AES encryption, encryption key management routines, and the boundaries that define where cryptographic functions operate. When a module earns a validation certificate via CMVP validation, it demonstrates that the encryption implementation meets exacting rules for encryption strength, key protection, and secure handling of plaintext keys and ciphertext output. This gives organizations a reliable foundation for building or improving their cybersecurity program and secure systems, especially those required to protect sensitive information.
Why FIPS Validation Matters for Security?
People often ask why basic encryption is not enough. The answer lies in the difference between any encryption and validated encryption. A vendor might claim that a product uses strong AES encryption or another encryption protocol, but unless that product has passed FIPS lab testing and received a FIPS certification, there is no guarantee the implementation follows accepted cryptography process guidelines. Modules that pass CMVP validation show that a trusted third‑party has conducted cryptographic testing according to federal cryptography requirements and confirmed they meet the FIPS 140‑2 or FIPS 140‑3 standard.
This matters for protecting data both at rest and in transit. For example, data stored on disk in a database server (data at rest) or moving across a secure network using secure VPN or VPN encryption (data in transit) benefit from vetted cryptographic tools. Using FIPS‑validated modules prevents attackers from exploiting weak or poorly configured encryption and helps organizations maintain compliance with security controls required for federal systems, contractors in the defense industrial base, and any entity required to protect CUI.
What Does FIPS Stand For?
The acronym FIPS refers to Federal Information Processing Standard, created by the National Institute of Standards and Technology (NIST). These are formal documents that define security standards for how government systems must manage and protect sensitive data, including how encryption should be executed. The most widely referenced cryptography standards under this umbrella are FIPS 140‑2 and its successor FIPS 140‑3. Both ssetsdetailed requirements for cryptography module validation, such as how keys are generated and stored, how encryption operations are isolated within a module boundary, and how access and authorization are managed during cryptographic operations.
Because government agencies and contractors must follow NIST standards, products that comply with FIPS guidelines are trusted for information protection. It is not enough to support strong encryption in theory; an encryption solution must have been tested and verified under a FIPS program to confirm it delivers real secure communication channels and reliable encryption implementation.
Understanding the Federal Standards
Federal standards like FIPS 140‑2 and FIPS 140‑3 set rules on how cryptographic modules must behave. They cover requirements such as key management, how cryptographic boundaries are defined, and how encryption tools must be designed so that keys cannot be extracted by unauthorized parties. The shift from FIPS 140‑2 to FIPS 140‑3 introduced updates to align with modern technology and threats, but both standards continue to play a role in federal compliance frameworks. Systems and products that achieve certification under these standards are listed in a public CMVP database, and this information can be used to confirm that a technology meets official encryption compliance criteria.
What Is Cryptography?
At its simplest, cryptography is the practice of protecting information by transforming it from readable data into a format that cannot be understood without a key. The cryptography process begins with plaintext—the original information—and applies a cryptography algorithm such as AES encryption to produce ciphertext that hides the underlying data. Only someone with the correct encryption key can reverse this transformation.
Cryptography is used everywhere: from secure websites and cloud storage to encrypted email and secure remote access tools. It protects sensitive data wherever it resides, whether in databases (data at rest) or moving over networks (data in transit). The security provided by cryptography depends on the strength of the algorithm, the integrity of the encryption key management, and how the cryptographic functions are implemented. When these elements are combined inside a validated cryptographic module, organizations can trust that their secure communication and information security practices meet official standards.
Basics of Encryption and Data Protection
Encryption takes normal information and runs it through an algorithm using a secret encryption key, producing a coded result called ciphertext. Without access to the correct key, an attacker should not be able to make sense of the hidden information. A simple example is file encryption: an encrypted file or secure file stored on a laptop can only be read by those with the right key. When data travels over the internet, technologies like secure VPN and VPN encryption protect the data in motion by creating a secure communication channel between endpoints. Good cryptography also relies on consistent cryptographic configuration so that the settings and key lengths match cryptography guideline expectations.
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Key NIST 800‑171 Controls Addressing FIPS Validated Cryptography
The NIST 800‑171 standard sets security requirements for protecting CUI in non‑federal systems. A central part of these requirements is that encryption used to protect CUI must come from modules validated under the FIPS program.
SC.L2‑3.13.11
Control SC.L2‑3.13.11 is the core requirement for FIPS validation in NIST 800‑171. It requires that all cryptography protecting the confidentiality of controlled unclassified data must use FIPS validated cryptography. This means your encryption software, hardware, or firmware must be certified with a module certificate from a recognized FIPS lab. It is not enough to simply use a product with encryption; it must be a module with a validation certificate confirming that it meets federal standards for secure storage, secure transmission, and protection against unauthorized disclosure.
SC.L2‑3.13.8
Control SC.L2‑3.13.8 focuses on cryptographic mechanisms that prevent unauthorized disclosure of CUI during transmission. This includes systems where physical safeguards are not sufficient to protect sensitive information. For example, if data leaves a secure building over a network or is accessed via remote access, the encryption mechanisms must follow FIPS guidelines to prevent interception and must appear in the organization’s CUI scoping and data flow documentation.
AC.L2‑3.1.13
Control AC.L2‑3.1.13 relates to remote access, such as connections made through VPN encryption, wireless networks, or other connections initiated outside a controlled environment. In these cases, using FIPS‑validated cryptographic modules helps provide a layer of protection needed under NIST standards for CUI protection. This puts responsibility on organizations to verify that their cryptography configuration and encryption environment support secure remote connections to sensitive systems.
How to Identify FIPS‑Validated Assets
To comply with FIPS standards and meet CMMC compliance, it is necessary to know which assets in your environment are actually using FIPS validated cryptography.
Checking Certificates and Compliance Status
The best way to confirm validation is to consult the public CMVP database maintained by NIST. This database lists products and modules with valid FIPS certification. You can search by vendor name, product name, or module certificate number to confirm whether a device or software truly uses validated cryptography. Once identified, you should also check that the product is running in the correct FIPS mode so the cryptographic configuration is active. This step is important because some products require specific settings or patches to operate in a validated mode that satisfies the encryption requirement under NIST 800‑171 and CMMC.
FIPS Validated Cryptography and CMMC Compliance
For organizations seeking CMMC compliance, understanding how FIPS fits into this broader framework is key. The CMMC model incorporates NIST 800‑171 controls, including those requiring FIPS‑validated modules, as part of certification requirements for contractors handling CUI.
Understanding the Role in Cybersecurity Maturity
CMMC is built around the idea that organizations should protect sensitive data at increasing levels of maturity, depending on contract requirements. At maturity levels where encryption is required, using validated modules helps demonstrate that encryption implementation is not only present but follows government standards. During assessments, auditors look for evidence that cryptography requirements are met through documented cryptography configuration, validated modules, and aligned security controls. If an organization cannot show that its encryption assets are validated, it may fail the relevant control and not achieve certification, which in some cases can delay or jeopardize contracts with the federal government.
Benefits of Using FIPS Validated Cryptography
Validated cryptographic solutions offer benefits beyond compliance. They provide a dependable basis for protecting sensitive data and building trust with government partners and customers.
Protecting Sensitive Data
With validated cryptography, you get more confidence that the encryption tools used for secure storage, secure file encryption, and secure transmission meet government standards. This supports broad information security practices and gives readers and partners confidence that your systems use tested technology that can withstand real‑world attacks, reducing risks of unauthorized access to CUI.
Avoiding Security Breaches
Using FIPS validated cryptography from known vendors that have undergone cryptographic testing and CAVP validation makes it less likely that encryption flaws or configuration errors can be exploited. In the event of an audit or breach attempt, organizations can show documented support for cryptography key management and secure cryptographic operations, which strengthens defenses against attackers.
Common Misconceptions About FIPS Validated Cryptography
Many assume that calling a product “FIPS‑compliant” is good enough, but this term has no regulatory weight unless the module has a validation certificate from the CMVP. Some vendors market their encryption tool as meeting FIPS standards, but unless that product passes the formal FIPS lab testing and appears in the approved list, it does not meet the encryption compliance requirements of NIST 800‑171 or CMMC.
How Companies Meet FIPS Validation Requirements
To meet FIPS compliance, companies often employ both external solutions and internal processes.
Tools and Services Like Totem
Companies may turn to specialized products and services designed to help manage cryptography configuration, perform information flow analysis, and produce documentation that ties their encryption modules to validated certificates. Tools can assist with tracking modules, reviewing certificate status, and generating reports needed for audits.
Internal Audit and Verification Processes
Regular internal reviews help confirm that encryption environment setups remain aligned with cryptographic standards. This includes checking that the correct modules are installed, validating their certificates, making sure FIPS mode is enabled where needed, and maintaining records that can be presented during assessment.
Real‑World Examples of FIPS Validated Cryptography Implementation
Numerous organizations use certified encryption in practical settings. A common example is a government contractor configuring firewalls with FIPS‑validated modules to protect secure remote access for employees. Another example is using validated encryption software within enterprise storage systems to protect CUI in databases and cloud repositories. These implementations provide measurable protection against unauthorized access and satisfy federal security controls required for sensitive environments.
Future Trends in FIPS Validated Cryptography
As technology evolves, standards like FIPS are updated to reflect new threats and new types of technology. The transition from FIPS 140‑2 to FIPS 140‑3 reflects an effort to keep pace with modern cryptographic requirements. Emerging technology areas like quantum‑resistant cryptographic algorithms are likely to influence future directions for validated cryptography modules and the associated government standards. Staying informed about these updates helps organizations plan for future compliance and maintain strong data security as threats evolve.
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Frequently Asked Questions (FAQs)
What is FIPS-validated cryptography?
FIPS-validated cryptography is a form of encryption that has been tested and certified under FIPS 140-2 or FIPS 140-3 standards. It ensures that your cryptographic module, whether hardware, software, or firmware, meets government standards for protecting sensitive information like CUI.
Why is FIPS validation important for NIST 800-171 compliance?
FIPS validation shows that your encryption process follows the cryptography requirements set by NIST. Controls like SC.L2-3.13.11 require FIPS validated cryptography to protect controlled unclassified information (CUI) in both storage (data at rest) and during transmission (data in transit).
How does FIPS-validated cryptography protect sensitive data?
By using validated cryptographic modules, FIPS encryption secures your encryption keys and transforms data into ciphertext output. This prevents unauthorized access to sensitive information during storage, file transfer, or cloud encryption, ensuring data confidentiality.
What are examples of cryptographic modules?
A cryptographic module can be an encryption hardware device like a router or firewall, encryption software such as file encryption tools, or firmware modules embedded in a secure system. All must pass CMVP validation to be FIPS-compliant.
How do I know if an asset is FIPS-validated?
You can verify FIPS validation by checking the CMVP database maintained by NIST. Look for your product’s module certificate, vendor information, and ensure the cryptography configuration is set to FIPS mode for compliance.
What is the difference between FIPS 140-2 and FIPS 140-3?
FIPS 140-3 is the updated version of FIPS 140-2, adding new testing methods and rules for modern encryption technologies. Both ensure your cryptography implementation meets federal cryptography standards, but 140-3 aligns with emerging security needs like quantum-resistant encryption.
How does AES encryption relate to FIPS validation?
AES encryption is a widely used cryptography algorithm supported in FIPS-validated modules. FIPS certification confirms that AES is implemented correctly, and encryption key management is handled securely for protecting CUI and other sensitive assets.
Can FIPS validated cryptography protect cloud storage?
Yes. Validated modules can secure data in transit to cloud servers and data at rest in cloud storage using strong encryption standards. Organizations can configure cryptography settings to meet CMMC compliance and NIST 800-171 controls.
Does using FIPS-validated modules ensure CMMC compliance?
Using FIPS-validated modules is required for certain CMMC controls, especially when handling CUI. While it is a critical part of compliance, organizations also need proper access control, multi-factor authentication, and other security controls to fully meet CMMC requirements.
What is the role of CMVP validation?
The Cryptographic Module Validation Program (CMVP) tests and certifies encryption modules to meet FIPS standards. It ensures that products are secure, properly implemented, and suitable for protecting sensitive information in government and defense systems.
Can I use non-FIPS encryption for sensitive data?
Non-FIPS encryption can provide basic security, but it does not meet NIST 800-171 requirements for protecting CUI. For federal contracts and CMMC audits, only FIPS-validated cryptography is acceptable for secure data handling.
What is FIPS mode in encryption products?
FIPS mode is a setting in encryption software, hardware modules, or VPNs that enforces strict cryptography standards. Activating this mode ensures that all cryptographic operations comply with FIPS 140-2 or 140-3 requirements.
How does key management work in FIPS-validated modules?
FIPS modules securely generate, store, and use encryption keys so that plaintext keys are never exposed to unauthorized parties. Proper key protection is critical for maintaining data security and preventing breaches of controlled unclassified information.
Are all encryption vendors FIPS compliant?
No. Only vendors who submit their products for FIPS lab testing and pass CMVP validation can claim FIPS certification. Always check the vendor certification and module certificate before relying on their cryptography solution.
What industries use FIPS-validated cryptography?
FIPS-validated modules are commonly used in government, defense, healthcare, and finance sectors. Any organization in the defense industrial base handling CUI protection or FCI protection benefits from high-level security, encryption protocol compliance, and validated cryptography configuration.
Conclusion: Why FIPS Validated Cryptography Is Critical for Security
FIPS validated cryptography plays a central role in protecting sensitive and controlled unclassified data, especially for organizations involved with federal government systems and contracts. By using modules that have passed CMVP validation, confirming module certificates, and aligning encryption practices with NIST standards, organizations can both protect information and support their CMMC compliance efforts. With validated encryption, sensitive assets remain protected from unauthorized access, giving leaders confidence that their systems meet established federal information security expectations.
Disclaimer:
“The content in this article is for educational purposes only and does not constitute legal, financial, or professional advice. Readers should verify information independently and follow organizational policies and official guidance when implementing FIPS-validated cryptography or related security measures.”