"These terms are similar to each other and commonly used interchangeably, but there are differences between them that impact when to use them and why they are each important. If used incorrectly, a breach could occur, so it's really important to understand them and how they should be used. Encoding can be defined as a process that involves changing data into a new format using a scheme. Because it is easy to reverse, it typically isn't used to protect data. Encryption, on the other hand, encodes data in such a way that it's considered secure because only authorized users with a password or key can decrypt it. It is used to protect data. Although encryption involves encoding data, they are different because encryption refers to securely encoded data while encoding refers to data that isn't secure. Finally, hashing is the creation of a fixed-length mathematical summary of data, and it isn't reversible. Most of the time it is used to verify the integrity of data or to transform data for authentication purposes (like storing hashed passwords)."