Definition ∞ Data obfuscation is a technique used to conceal sensitive information within a dataset. It involves altering or masking data to prevent unauthorized access while retaining its analytical utility. This process is critical for protecting privacy and meeting data protection mandates.
Context ∞ Discussions surrounding data obfuscation often arise in the context of regulatory compliance, such as GDPR and CCPA, and the need to secure user data in distributed ledger technologies. Innovations are being explored to enhance obfuscation methods for blockchain applications, aiming to preserve transaction privacy without compromising auditability. The balance between anonymity and transparency remains a central challenge.
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