What is the difference between encryption at rest and encryption in transit?

Answer

Encryption at rest is like storing your data in a vault, encryption in transit is like putting it in an armored vehicle for transport.

Background

For encryption in transit, the data is encrypted before transmission; the computer system endpoints are then authenticated; and the data is decrypted and verified on arrival. This is to protect data if communications are intercepted while data moves between two computer systems. For encryption at rest, stored data is protected from a system compromise or data exfiltration.