Encryption contributes to data privacy on the Internet by converting sensitive information into a code that can only be deciphered by authorized parties. This process protects data during transmission and storage, ensuring that even if intercepted, the information remains unreadable to unauthorized users. Encryption is critical for securing personal data, financial transactions, and communication, as it helps maintain confidentiality and integrity. Widely used encryption protocols, such as SSL/TLS for web traffic and PGP for email, play a significant role in safeguarding users' digital identities and promoting trust in online services.