VMware vSphere 6.5 addresses the operational and security challenges by leveraging the hypervisor to perform the encryption with no modification to the VM. The security architecture of VMware ESXi achieves this goal at the hypervisor layer.
In this document, Mike Foley elaborates on how the security architecture and controls of vSphere VM encryption address the concerns of the security team while providing the IT operations team with the necessary tools to minimize impact on day-to-day operations.