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Encryption: XChaCha20 vs. AES-256 – What’s the difference?

Maciej Bartłomiej Sikora
Content Writer
XChaCha20 vs AES-256

The battle of encryption standards

Encryption is the cornerstone of online data security. It ensures that confidential information is accessible only to its owner or authorized recipients, making it nearly impossible for cybercriminals to open or use the files, even if they somehow get ahold of them.

But there's not just one way to encrypt data. Multiple encryption algorithms exist to help protect sensitive information, and naturally, debates arise over which one is the best.

In this article, we'll dive into two leading encryption algorithms, XChaCha20 and AES-256. We'll explore how they work and how they differ, trying to determine which one might be better. Let’s start by defining both.

What is AES encryption?

AES is a type of encryption that uses the same key for both encrypting and decrypting data, which is why it's called symmetric encryption. It works by chopping data into small blocks and then using that single secret key to scramble and unscramble the information. Known for being both secure and efficient, AES is used by the US government and many other organizations.

How does AES encryption work?

To explain how AES works, we’ll dive into a bit of technical detail, but stick with us if you’re curious about the process. So, as already mentioned, AES breaks your data into blocks (each 128 bits or 16 bytes in size) and encrypts each block separately.

While the block size stays the same, you can choose between 128-, 192-, or 256-bit keys for encryption—more bits mean more possible key combinations and stronger security.

Encryption with AES involves several rounds of processing for each data block. For instance, AES with a 256-bit key goes through 14 rounds. Once encrypted, the data can be sent safely over the web, and only someone with the right key can decrypt it; otherwise, the data is unreadable.

What is XChaCha20 encryption?

Like AES, XChaCha20 is symmetric encryption, which means it uses a single key to scramble and unscramble data. However, XChaCha20 is also a 256-bit stream encryption type, with “stream” referring to the fact that, instead of dividing data into blocks, XChaCha20 encrypts each bit of data one at a time. Some argue that this makes XChaCha20 a better choice than AES, which is why XChaCha20 is often used in modern encryption systems.

How does XChaCha20 work?

XChaCha20 uses a 256-bit key and a 192-bit nonce to generate a keystream—a sequence of random numbers. It encrypts data by combining this keystream with the plaintext using XOR, which compares corresponding bits: if they are the same, the result is 0; if they are different, the result is 1.

This process scrambles the data in a way that can be reversed for decryption. The larger nonce size in XChaCha20 helps prevent security issues related to nonce reuse, enhancing its overall security.

Key differences between XChaCha20 and AES

We know that technical details can be a lot to take in. So, to make things easier, we’ve created a simple bulleted list that breaks down the differences between the two encryption algorithms. Here’s a straightforward comparison:

AES encryption

  • Older: AES has been around since 2001.

  • Block-based: Works with fixed-size blocks of data (128 or 16 bits).

  • More complex: Involves multiple rounds of encryption with key sizes of 128, 192, or 256 bits.

  • Hardware-dependent: Often requires hardware support for optimal performance.

  • Prone to human error: Key management and nonce handling can be tricky, leading to potential errors.

XChaCha20

  • More modern: XChaCha20 was introduced in 2014.

  • Stream-based: Encrypts data bit by bit using a stream cipher.

  • Simpler: Faster to implement with a 256-bit key and a 192-bit nonce.

  • Less hardware-dependent: Doesn’t always require hardware support for efficient performance.

  • Less prone to human error: Larger nonce size helps reduce issues with nonce reuse and simplifies key management.

The main difference between AES-256 and XChaCha20 encryption is that AES-256 is a block cipher, meaning it encrypts data in fixed-size chunks, while XChaCha20 is a stream cipher that handles data one bit at a time. AES-256 has a long-standing reputation as the “advanced encryption standard,” while XChaCha20 is relatively new but gaining popularity.

AES-256 encryption is more complex than XChaCha20, which comes with a few drawbacks:

  1. The more complex the algorithm, the higher the chance of mistakes that could put your data at risk.

  2. AES-256 often needs special hardware to run efficiently, whereas XChaCha20 works well on regular software. For example, newer Intel, AMD, and ARM processors support AES, but older or entry-level devices like Android Go phones, smart TVs, and smartwatches may not have built-in support.

  3. Without that special hardware, AES-256 can be significantly slower compared to XChaCha20.

Use cases and industry adoption

As we discussed earlier, AES has become a popular encryption standard across many industries. You'll find it widely used in finance, healthcare, and government services. However, XChaCha20 is starting to make waves, especially in areas where high security and performance are critical, like mobile devices and IoT applications.

One of the key reasons for its growing popularity is that XChaCha20 is less susceptible to certain side-channel attacks compared to AES, making it a top pick for situations that demand extra security.

XChaCha20 vs. AES – which is better?

Although both AES and XChaCha offer high security and are useful in various scenarios, the speed and simplicity of XChaCha20, along with its ability to run smoothly without specialized hardware, are making it a popular choice for many companies—even Google.

On top of that, key management is much easier with XChaCha20. The longer nonce it uses reduces the risk of collisions and simplifies the process overall, making implementations more straightforward and less prone to errors.

Here at NordPass, we know how crucial it is to stay ahead of the curve and provide our customers with the best, most up-to-date tech solutions. That’s why we’ve chosen XChaCha20 encryption for our password manager. With its speed, simplicity, and ease of use, it’s likely that more companies will follow suit in the future.

Bottom line

Both AES-256 and XChaCha20 are great at encrypting and, therefore, securing sensitive data. But XChaCha20 really shines when it comes to simplicity and speed, making it a better choice for situations where you need both top performance and easy setup.

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