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DP-300 Implement a secure environment Practice Question

Which TWO of the following are required steps to configure Azure SQL Database to use a customer-managed key (CMK) for Transparent Data Encryption (TDE) with Azure Key Vault? (Choose two.)

⚠ Common exam trap

Watch out — candidates often confuse the required managed identity type (system-assigned vs. user-assigned) or assume network-level constraints (like VNet integration) are mandatory, when in fact only identity and key permissions are strictly required.

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

Set the TDE protector to the Key Vault key via the Azure portal or T-SQL

Setting the TDE protector to the Key Vault key is the step that actually enables customer-managed key (CMK) encryption for Azure SQL Database. This can be done via the Azure portal, PowerShell, Azure CLI, or T-SQL (using ALTER DATABASE SCOPED CONFIGURATION SET TDE_PROTECTOR). Without this step, the database continues to use a service-managed key.

Answer analysis

Option-by-option breakdown

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

  • Create a user-assigned managed identity for the SQL Database server

    Why it's wrong here

    A system-assigned managed identity can also be used.

  • Set the TDE protector to the Key Vault key via the Azure portal or T-SQL

    Why this is correct

    This configures the server to use the CMK.

  • Grant the SQL Database server's managed identity Get, Wrap Key, and Unwrap Key permissions on the Key Vault key

    Why this is correct

    These permissions are required for the server to use the key.

  • Store the encryption key in the SQL Database server's hardware security module (HSM)

    Why it's wrong here

    CMK requires the key to be in Azure Key Vault.

  • Ensure the SQL Database server is inside the same virtual network as the Key Vault

    Why it's wrong here

    Not required; Key Vault can be accessed over the internet or private endpoint.

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Written by Johnson Ajibi, MSc IT Security

Senior Network & Security Engineer · founder of Courseiva

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