The encryption for chat backups is now rolling out for Android phone users for local storage and Google Drive backups, and for Apple iPhone users using iCloud cloud storage.
There will be two methods from which you can choose one to secure end-to-end encrypted chat backups.
1. You can either create a password.
2. You can use a 64-digit unique auto generated encryption key.
You need to use either of them whenever you want to restore chat backup on the same or any other phone. WhatsApp, Google, or Apple will have no access to this security information.
WhatsApp is adding the latest update for Android phones and the Apple iPhone, but not everyone will get to see this feature yet. The company has said it will make encrypted backups available in stages to ensure a smooth rollout.
In case you see it, you can go to Settings > Chats > Chat Backup > End to end Encrypted Backup to create a password or encryption key protected backup.
You can choose to turn this off at any time. Indications are that encrypted backups will not be enabled by default for all users, at least not for now. If you enable this, everything they back up will be encrypted, including messages, videos, photos, and GIFs.