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HashiCorp Certified: Terraform Associate (003) · HashiCorp
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Your security team scanned some Terraform workspaces and found secrets stored in a plaintext in state files. How can you protect sensitive data stored in Terraform state files? A. Delete the state file every time you run Terraform B. Store the state in an encrypted backend C. Edit your state file to scrub out the sensitive data D. Always store your secrets in a secrets.tfvars file.
B. Store the state in an encrypted backend Explanation: Storing the Terraform state in an encrypted backend is the recommended approach to protect sensitive data. Terraform supports various backends, and using an encrypted backend ensures that the state file is encrypted at rest, adding an extra layer of security.
B is the answer.