A secure data room is a solution in the cloud designed specifically for the storing and sharing of confidential business data. It is often employed in M&A due diligence, IPOs, litigation, fundraising, and other sensitive document-based processes. It offers a higher level of security than online file sharing services. The server space itself is secured, which prevents hackers from gaining access to the content Many also offer options like granular permissions and search capabilities, as well as customizable NDAs with a Q&A function with personal watermarking and multi-factor authentication.

However, these features don't prevent authorized users from making copies of the files that they have legal access and then sharing those with others. This can be quite easy to do. Furthermore, these services do not offer an identification link that can reveal the source of illegal distribution.

This is the reason why businesses looking for an improved method to store and share files should consider a virtual dataroom (VDR). VDRs provide a greater level of protection than email, Google Drive, and Dropbox. They accomplish this by using advanced encryption, tracking features as well as other security measures that make it impossible for users to copy and www.getdataroom.com/5-tips-on-choosing-a-data-room-provider/ distribute protected documents. This includes dynamic watermarking that adds unique identifiers for each document including the email address of the person who received it and IP address to prevent unauthorized sharing. Furthermore, a solid data storage facility such as Digify can track automatically the documents that are viewed by whom, at what frequency and for how long.