Homomorphic encryption allows computations to be performed on ciphertext without decrypting it first, which means the data remains secure during processing. This capability provides a significant advantage in terms of privacy and security, as sensitive information can be analyzed and manipulated without exposing it. The IAPP documentation explains that homomorphic encryption is an emerging technology that can revolutionize data security by enabling secure computations on encrypted data (IAPP, "Advanced Encryption Techniques").
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