Encryption of backup data using customer managed keys is in public preview
Published date: 12 August, 2020
When backing up your Azure Virtual Machines, you can now encrypt your data using keys owned and managed by you. Azure Backup lets you use your RSA keys stored in the Azure Key Vault for encrypting your backups. The encryption key used for encrypting backups may be different from the one used for the source. The data is protected using an AES 256 based data encryption key (DEK), which is, in turn, protected using your keys stored in the Key Vault. This gives you full control over the data and the keys.
This feature is in public preview for new vaults in all Azure regions.