This setting ensures the system uses algorithms that are FIPS compliant for encryption, hashing, and signing. FIPS-compliant algorithms meet specific standards established by the U.S. Government and must be the algorithms used for all OS encryption functions.
Note: A different registry location is needed when systems are managed by Intune versus GPO.
Check
If the following registry value does not exist or is not configured as specified, this is a finding:
Warning: Clients with this setting enabled will not be able to communicate via digitally encrypted or signed protocols with servers that do not support these algorithms.
Fix
For GPO-managed systems:
Configure the policy value for Computer Configuration >> Windows Settings >> Security Settings >> Local Policies >> Security Options >> "System cryptography: Use FIPS compliant algorithms for encryption, hashing, and signing" to "Enabled".
For Intune-managed systems:
Set the Intune System Cryptography Policy to use FIPS-compliant algorithms for encryption, hashing, and signing.