https://tblogng.com/what-can-be-expected-from-data-room-software-with-secure-data-room/

A secure dataroom (also called a virtual dataroom) is software that allows you to share sensitive information with other parties. It provides a streamlined safe and secure method for businesses to share documents with multiple parties with document tracking as well as version control and other advanced features. Traditionally, companies have relied on spreadsheets and emails to share their due diligence files however these aren’t secure and could result in a range of liability if the wrong persons have access.

Secure data rooms can have a lot to say about the security of their servers are, declaring that they use encryption on their hosting servers. This is great however, it does nothing to stop unauthorised users from gaining access – and even if they didn’t, the server houses thousands of temporary files with the contents of your document that can be downloaded by hackers using screen graber software. Most browsers also have built-in tools for capturing high-quality images of webpages and there isn’t much secure data rooms can do to prevent this from occurring.

Some’secure data rooms’ also claim that their system blocks sharing by requiring users to log in with 2FA. However, this is merely an additional layer of security that doesn’t address the fact that authorised users can still copy and paste links to others – or simply forward their own emails with hyperlinks. Secure file sharing using DRM are the best option for business. They secure the files to specific devices and locations, which means they can’t be shared or forwarded.