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CCSP Practice Question: A financial services company is migrating…

A financial services company is migrating sensitive customer data to a cloud environment. The compliance team requires that all data at rest be encrypted using a key managed by the organization, not the cloud provider. Which solution should the company implement?

⚠ Common exam trap

Test-takers frequently confuse server-side encryption with customer-managed keys (SSE-C) as meeting the requirement, but SSE-C still involves the cloud provider performing the encryption on their infrastructure, whereas client-side encryption ensures the provider never sees the plaintext or the key.

Answer choices

Why each option matters

Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.

Correct answer & explanation

Client-side encryption using a customer-managed key

Client-side encryption ensures that data is encrypted before it leaves the organization's control, and the customer retains sole possession of the encryption key. This satisfies the compliance requirement that the cloud provider never has access to the key, as the provider only stores the encrypted ciphertext. In contrast, server-side encryption options (like SSE-S3) involve the provider managing or having access to the key material.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • Enforce TLS 1.2 for all data transfers

    Why it's wrong here

    Incorrect: Protects in transit, not at rest.

  • Implement tokenization for all sensitive fields

    Why it's wrong here

    Incorrect: Tokenization does not use customer-managed encryption keys.

  • Client-side encryption using a customer-managed key

    Why this is correct

    Correct: Data encrypted before upload; keys held by customer.

  • Server-side encryption with AWS S3 managed keys (SSE-S3)

    Why it's wrong here

    Incorrect: Cloud provider manages keys.

Quick reference

AWS S3 Storage Class Comparison

Storage ClassMin DurationRetrievalUse Case
S3 StandardNoneImmediateFrequently accessed data
S3 Standard-IA30 daysImmediateInfrequent access, rapid retrieval
S3 One Zone-IA30 daysImmediateNon-critical infrequent data
S3 Intelligent-TieringNoneImmediate–hoursUnknown or changing access patterns
S3 Glacier Instant90 daysMillisecondsArchive with instant retrieval
S3 Glacier Flexible90 daysMinutes–hoursArchive, flexible retrieval
S3 Glacier Deep Archive180 daysHoursLong-term compliance archive

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JA

Written by Johnson Ajibi, MSc IT Security

Senior Network & Security Engineer · founder of Courseiva

This CCSP practice question is part of Courseiva's free ISC2 certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the CCSP exam.