https://6dataroom.com/virtual-data-room-secure-private-cloud-storage/

A virtual dataroom secure is a web-based platform on which large volumes of confidential documents can be shared securely outside the walls of a company. It is usually used for M&A deals, due diligence, litigation, bankruptcy as well as fundraising, audits and other matters – any time there are multiple parties that require a review of sensitive data.

The best virtual datarooms are equipped with an array of security features that are standard to ensure that data stays where it belongs – within the data room. These include physical security, granular permissions settings and monitoring document activity.

Data Center Security: The top VDRs utilize industry-grade data centres with adequate physical security. This includes offsite backups of data, redundancy of data and fire protection and biometric access control. They also utilize a robust business continuity plan and go through regular penetration testing.

Document Access Security: The most reliable virtual data rooms provide specific permissions for documents that allow administrators to restrict access to certain folders and documents. They can set printing only, viewing only, and downloading options. They also permit users to add dynamic watermarks on pages of documents that are printed or viewed and set time-limits for access.

Privacy Security: A reputable VDR is in compliance with or exceeds ISO 27001 compliance and is HIPAA fully compliant. It provides end-to-end encryption (E2EE) that blocks unauthorized access to information by service providers or hackers.

Finally, a top-rated VDR is certified for FINRA (Financial Industry Regulatory Authority) and SOC 2 (Service Organization Controls) and ensures that it follows the most stringent practices for handling to safeguard PII. This helps prevent hefty fines and other legal expenses associated with data breaches, as well as the lost revenue that could result from compromise of trade secrets or strategic plans.