VDR and Data Security

VDRs are essential tools for companies that handle sensitive data and are a key element in many business processes. They should be considered part of a comprehensive security strategy for data that includes regular risk assessments as well as training, incident response plans, regular monitoring and the introduction of robust technical controls.

The most obvious reason for implementing a vdr is to protect confidential business documents during transactions. A business conducting due diligence on a merger and acquisition will seek to make it as simple as it is for the potential buyer of the documents to look over the documents without worrying about theft or misuse. The need for speedy and secure document sharing can occur in many scenarios. For instance, if legal counsel requires access to audit reports or company records, or a distant board member needs to review critical documents.

Security features for data in vdrs include access control encryption mechanisms, access control and audit trails to ensure compliance with regulations like GDPR. In addition, a number of VDRs provide features such as dynamic watermarking that overlays confidential documents with visible or invisible markers that can be tracked in the event that the document is leaked outside of the VDR.

In the event of an incident the detailed logs the vdr records can aid in forensic investigations. They can also assist companies Data Room Solutions determine what data was affected and how the breach occurred. In addition, a vdr’s auditing capabilities can also provide insight into areas where further improvements may be required.