Shared folders are the basic directories where you can store and manage files and folders on your DiskStation. Before storing any files, you'll need to create at least one shared folder in DSM.
AES 256-bit encryption protects data by blocking off all unauthorized access attempts. Once a shared folder is encrypted, those without the encryption key will not be able to access or modify the encrypted data even if they remove the hard drives from your DiskStation and mount them on another device.