diff --git a/internal/crypto/aes.go b/internal/crypto/aes.go
new file mode 100644
index 0000000000..31d3e46847
--- /dev/null
+++ b/internal/crypto/aes.go
@@ -0,0 +1,136 @@
+package crypto
+
+import (
+	"crypto/aes"
+	"crypto/cipher"
+	"crypto/rand"
+	"encoding/base64"
+	"io"
+
+	"github.com/caos/zitadel/internal/errors"
+)
+
+var _ EncryptionAlg = (*AESCrypto)(nil)
+
+type AESCrypto struct {
+	keys            map[string]string
+	encryptionKeyID string
+	keyIDs          []string
+}
+
+func NewAESCrypto(config *KeyConfig) (*AESCrypto, error) {
+	keys, ids, err := LoadKeys(config)
+	if err != nil {
+		return nil, err
+	}
+	return &AESCrypto{
+		keys:            keys,
+		encryptionKeyID: config.EncryptionKeyID,
+		keyIDs:          ids,
+	}, nil
+}
+
+func (a *AESCrypto) Algorithm() string {
+	return "aes"
+}
+
+func (a *AESCrypto) Encrypt(value []byte) ([]byte, error) {
+	return EncryptAES(value, a.encryptionKey())
+}
+
+func (a *AESCrypto) Decrypt(value []byte, keyID string) ([]byte, error) {
+	key, err := a.decryptionKey(keyID)
+	if err != nil {
+		return nil, err
+	}
+	return DecryptAES(value, key)
+}
+
+func (a *AESCrypto) DecryptString(value []byte, keyID string) (string, error) {
+	key, err := a.decryptionKey(keyID)
+	if err != nil {
+		return "", err
+	}
+	b, err := DecryptAES(value, key)
+	if err != nil {
+		return "", err
+	}
+	return string(b), nil
+}
+
+func (a *AESCrypto) EncryptionKeyID() string {
+	return a.encryptionKeyID
+}
+
+func (a *AESCrypto) DecryptionKeyIDs() []string {
+	return a.keyIDs
+}
+
+func (a *AESCrypto) encryptionKey() string {
+	return a.keys[a.encryptionKeyID]
+}
+
+func (a *AESCrypto) decryptionKey(keyID string) (string, error) {
+	key, ok := a.keys[keyID]
+	if !ok {
+		return "", errors.ThrowNotFound(nil, "CRYPT-nkj1s", "unknown key id")
+	}
+	return key, nil
+}
+
+func EncryptAESString(data string, key string) (string, error) {
+	encrypted, err := EncryptAES([]byte(data), key)
+	if err != nil {
+		return "", err
+	}
+	return base64.URLEncoding.EncodeToString(encrypted), nil
+}
+
+func EncryptAES(plainText []byte, key string) ([]byte, error) {
+	block, err := aes.NewCipher([]byte(key))
+	if err != nil {
+		return nil, err
+	}
+
+	cipherText := make([]byte, aes.BlockSize+len(plainText))
+	iv := cipherText[:aes.BlockSize]
+	if _, err = io.ReadFull(rand.Reader, iv); err != nil {
+		return nil, err
+	}
+
+	stream := cipher.NewCFBEncrypter(block, iv)
+	stream.XORKeyStream(cipherText[aes.BlockSize:], plainText)
+
+	return cipherText, nil
+}
+
+func DecryptAESString(data string, key string) (string, error) {
+	text, err := base64.URLEncoding.DecodeString(data)
+	if err != nil {
+		return "", nil
+	}
+	decrypted, err := DecryptAES(text, key)
+	if err != nil {
+		return "", err
+	}
+	return string(decrypted), nil
+}
+
+func DecryptAES(cipherText []byte, key string) ([]byte, error) {
+	block, err := aes.NewCipher([]byte(key))
+	if err != nil {
+		return nil, err
+	}
+
+	if len(cipherText) < aes.BlockSize {
+		err = errors.ThrowPreconditionFailed(nil, "CRYPT-23kH1", "cipher text block too short")
+		return nil, err
+	}
+	iv := cipherText[:aes.BlockSize]
+	cipherText = cipherText[aes.BlockSize:]
+
+	stream := cipher.NewCFBDecrypter(block, iv)
+	stream.XORKeyStream(cipherText, cipherText)
+
+	return cipherText, err
+}
diff --git a/internal/crypto/aes_test.go b/internal/crypto/aes_test.go
new file mode 100644
index 0000000000..c7e31de3d5
--- /dev/null
+++ b/internal/crypto/aes_test.go
@@ -0,0 +1,17 @@
+package crypto
+
+import (
+	"testing"
+
+	"github.com/stretchr/testify/assert"
+)
+
+func TestDecrypt_OK(t *testing.T) {
+	encryptedpw, err := EncryptAESString("ThisIsMySecretPw", "passphrasewhichneedstobe32bytes!")
+	assert.NoError(t, err)
+
+	decryptedpw, err := DecryptAESString(encryptedpw, "passphrasewhichneedstobe32bytes!")
+	assert.NoError(t, err)
+
+	assert.Equal(t, "ThisIsMySecretPw", decryptedpw)
+}
diff --git a/internal/crypto/bcrypt.go b/internal/crypto/bcrypt.go
new file mode 100644
index 0000000000..e7daffb27d
--- /dev/null
+++ b/internal/crypto/bcrypt.go
@@ -0,0 +1,27 @@
+package crypto
+
+import (
+	"golang.org/x/crypto/bcrypt"
+)
+
+var _ HashAlg = (*BCrypt)(nil)
+
+type BCrypt struct {
+	cost int
+}
+
+func NewBCrypt(cost int) *BCrypt {
+	return &BCrypt{cost: cost}
+}
+
+func (b *BCrypt) Algorithm() string {
+	return "bcrypt"
+}
+
+func (b *BCrypt) Hash(value []byte) ([]byte, error) {
+	return bcrypt.GenerateFromPassword(value, b.cost)
+}
+
+func (b *BCrypt) CompareHash(hashed, value []byte) error {
+	return bcrypt.CompareHashAndPassword(hashed, value)
+}
diff --git a/internal/crypto/code.go b/internal/crypto/code.go
new file mode 100644
index 0000000000..0537710da6
--- /dev/null
+++ b/internal/crypto/code.go
@@ -0,0 +1,153 @@
+package crypto
+
+import (
+	"crypto/rand"
+	"time"
+
+	"github.com/caos/zitadel/internal/errors"
+)
+
+var (
+	LowerLetters = []rune("abcdefghijklmnopqrstuvwxyz")
+	UpperLetters = []rune("ABCDEFGHIJKLMNOPQRSTUVWXYZ")
+	Digits       = []rune("0123456789")
+	Symbols      = []rune("~!@#$^&*()_+`-={}|[]:<>?,./")
+)
+
+type Generator interface {
+	Length() uint
+	Expiry() time.Duration
+	Alg() Crypto
+	Runes() []rune
+}
+
+type EncryptionGenerator struct {
+	length uint
+	expiry time.Duration
+	alg    EncryptionAlg
+	runes  []rune
+}
+
+func (g *EncryptionGenerator) Length() uint {
+	return g.length
+}
+
+func (g *EncryptionGenerator) Expiry() time.Duration {
+	return g.expiry
+}
+
+func (g *EncryptionGenerator) Alg() Crypto {
+	return g.alg
+}
+
+func (g *EncryptionGenerator) Runes() []rune {
+	return g.runes
+}
+
+func NewEncryptionGenerator(length uint, expiry time.Duration, alg EncryptionAlg, runes []rune) *EncryptionGenerator {
+	return &EncryptionGenerator{
+		length: length,
+		expiry: expiry,
+		alg:    alg,
+		runes:  runes,
+	}
+}
+
+type HashGenerator struct {
+	length uint
+	expiry time.Duration
+	alg    HashAlg
+	runes  []rune
+}
+
+func (g *HashGenerator) Length() uint {
+	return g.length
+}
+
+func (g *HashGenerator) Expiry() time.Duration {
+	return g.expiry
+}
+
+func (g *HashGenerator) Alg() Crypto {
+	return g.alg
+}
+
+func (g *HashGenerator) Runes() []rune {
+	return g.runes
+}
+
+func NewHashGenerator(length uint, expiry time.Duration, alg HashAlg, runes []rune) *HashGenerator {
+	return &HashGenerator{
+		length: length,
+		expiry: expiry,
+		alg:    alg,
+		runes:  runes,
+	}
+}
+
+func NewCode(g Generator) (*CryptoValue, string, error) {
+	code, err := generateRandomString(g.Length(), g.Runes())
+	if err != nil {
+		return nil, "", err
+	}
+	crypto, err := Crypt([]byte(code), g.Alg())
+	if err != nil {
+		return nil, "", err
+	}
+	return crypto, code, nil
+}
+
+func IsCodeExpired(creationDate time.Time, expiry time.Duration) bool {
+	return creationDate.Add(expiry).Before(time.Now().UTC())
+}
+
+func VerifyCode(creationDate time.Time, expiry time.Duration, cryptoCode *CryptoValue, verificationCode string, g Generator) error {
+	if IsCodeExpired(creationDate, expiry) {
+		return errors.ThrowPreconditionFailed(nil, "CODE-QvUQ4P", "verification code is expired")
+	}
+	switch alg := g.Alg().(type) {
+	case EncryptionAlg:
+		return verifyEncryptedCode(cryptoCode, verificationCode, alg)
+	case HashAlg:
+		return verifyHashedCode(cryptoCode, verificationCode, alg)
+	}
+	return errors.ThrowInvalidArgument(nil, "CODE-fW2gNa", "generator alg is not supported")
+}
+
+func generateRandomString(length uint, chars []rune) (string, error) {
+	if length == 0 {
+		return "", nil
+	}
+
+	max := len(chars) - 1
+	maxStr := int(length - 1)
+
+	str := make([]rune, length)
+	randBytes := make([]byte, length)
+	if _, err := rand.Read(randBytes); err != nil {
+		return "", err
+	}
+	for i, rb := range randBytes {
+		str[i] = chars[int(rb)%max]
+		if i == maxStr {
+			return string(str), nil
+		}
+	}
+	return "", nil
+}
+
+func verifyEncryptedCode(cryptoCode *CryptoValue, verificationCode string, alg EncryptionAlg) error {
+	code, err := DecryptString(cryptoCode, alg)
+	if err != nil {
+		return err
+	}
+
+	if code != verificationCode {
+		return errors.ThrowInvalidArgument(nil, "CODE-woT0xc", "verification code is invalid")
+	}
+	return nil
+}
+
+func verifyHashedCode(cryptoCode *CryptoValue, verificationCode string, alg HashAlg) error {
+	return CompareHash(cryptoCode, []byte(verificationCode), alg)
+}
diff --git a/internal/crypto/code_test.go b/internal/crypto/code_test.go
new file mode 100644
index 0000000000..f7f55390e7
--- /dev/null
+++ b/internal/crypto/code_test.go
@@ -0,0 +1,92 @@
+package crypto
+
+import (
+	"testing"
+	"time"
+
+	"github.com/golang/mock/gomock"
+	"github.com/stretchr/testify/assert"
+)
+
+func Test_Encrypted_OK(t *testing.T) {
+	mCrypto := NewMockEncryptionAlg(gomock.NewController(t))
+	mCrypto.EXPECT().Algorithm().AnyTimes().Return("enc")
+	mCrypto.EXPECT().EncryptionKeyID().AnyTimes().Return("id")
+	mCrypto.EXPECT().DecryptionKeyIDs().AnyTimes().Return([]string{"id"})
+	mCrypto.EXPECT().Encrypt(gomock.Any()).DoAndReturn(
+		func(code []byte) ([]byte, error) {
+			return code, nil
+		},
+	)
+	mCrypto.EXPECT().DecryptString(gomock.Any(), gomock.Any()).DoAndReturn(
+		func(code []byte, _ string) (string, error) {
+			return string(code), nil
+		},
+	)
+	generator := NewEncryptionGenerator(6, 0, mCrypto, Digits)
+
+	crypto, code, err := NewCode(generator)
+	assert.NoError(t, err)
+
+	decrypted, err := DecryptString(crypto, generator.alg)
+	assert.NoError(t, err)
+	assert.Equal(t, code, decrypted)
+	assert.Equal(t, 6, len(decrypted))
+}
+
+func Test_Verify_Encrypted_OK(t *testing.T) {
+	mCrypto := NewMockEncryptionAlg(gomock.NewController(t))
+	mCrypto.EXPECT().Algorithm().AnyTimes().Return("enc")
+	mCrypto.EXPECT().EncryptionKeyID().AnyTimes().Return("id")
+	mCrypto.EXPECT().DecryptionKeyIDs().AnyTimes().Return([]string{"id"})
+	mCrypto.EXPECT().DecryptString(gomock.Any(), gomock.Any()).DoAndReturn(
+		func(code []byte, _ string) (string, error) {
+			return string(code), nil
+		},
+	)
+	creationDate := time.Now()
+	code := &CryptoValue{
+		CryptoType: TypeEncryption,
+		Algorithm:  "enc",
+		KeyID:      "id",
+		Crypted:    []byte("code"),
+	}
+	generator := NewEncryptionGenerator(6, 0, mCrypto, Digits)
+
+	err := VerifyCode(creationDate, 1*time.Hour, code, "code", generator)
+	assert.NoError(t, err)
+}
+func Test_Verify_Encrypted_Invalid_Err(t *testing.T) {
+	mCrypto := NewMockEncryptionAlg(gomock.NewController(t))
+	mCrypto.EXPECT().Algorithm().AnyTimes().Return("enc")
+	mCrypto.EXPECT().EncryptionKeyID().AnyTimes().Return("id")
+	mCrypto.EXPECT().DecryptionKeyIDs().AnyTimes().Return([]string{"id"})
+	mCrypto.EXPECT().DecryptString(gomock.Any(), gomock.Any()).DoAndReturn(
+		func(code []byte, _ string) (string, error) {
+			return string(code), nil
+		},
+	)
+	creationDate := time.Now()
+	code := &CryptoValue{
+		CryptoType: TypeEncryption,
+		Algorithm:  "enc",
+		KeyID:      "id",
+		Crypted:    []byte("code"),
+	}
+	generator := NewEncryptionGenerator(6, 0, mCrypto, Digits)
+
+	err := VerifyCode(creationDate, 1*time.Hour, code, "wrong", generator)
+	assert.Error(t, err)
+}
+
+func TestIsCodeExpired_Expired(t *testing.T) {
+	creationDate := time.Date(2019, time.April, 1, 0, 0, 0, 0, time.UTC)
+	expired := IsCodeExpired(creationDate, 1*time.Hour)
+	assert.True(t, expired)
+}
+
+func TestIsCodeExpired_NotExpired(t *testing.T) {
+	creationDate := time.Now()
+	expired := IsCodeExpired(creationDate, 1*time.Hour)
+	assert.False(t, expired)
+}
diff --git a/internal/crypto/crypto.go b/internal/crypto/crypto.go
new file mode 100644
index 0000000000..38ee06577b
--- /dev/null
+++ b/internal/crypto/crypto.go
@@ -0,0 +1,103 @@
+package crypto
+
+import (
+	"github.com/caos/zitadel/internal/errors"
+)
+
+const (
+	TypeEncryption CryptoType = iota
+	TypeHash
+)
+
+type Crypto interface {
+	Algorithm() string
+}
+
+type EncryptionAlg interface {
+	Crypto
+	EncryptionKeyID() string
+	DecryptionKeyIDs() []string
+	Encrypt(value []byte) ([]byte, error)
+	Decrypt(hashed []byte, keyID string) ([]byte, error)
+	DecryptString(hashed []byte, keyID string) (string, error)
+}
+
+type HashAlg interface {
+	Crypto
+	Hash(value []byte) ([]byte, error)
+	CompareHash(hashed, comparer []byte) error
+}
+
+type CryptoValue struct {
+	CryptoType CryptoType
+	Algorithm  string
+	KeyID      string
+	Crypted    []byte
+}
+
+type CryptoType int
+
+func Crypt(value []byte, c Crypto) (*CryptoValue, error) {
+	switch alg := c.(type) {
+	case EncryptionAlg:
+		return Encrypt(value, alg)
+	case HashAlg:
+		return Hash(value, alg)
+	}
+	return nil, errors.ThrowInternal(nil, "CRYPT-r4IaHZ", "algorithm not supported")
+}
+
+func Encrypt(value []byte, alg EncryptionAlg) (*CryptoValue, error) {
+	encrypted, err := alg.Encrypt(value)
+	if err != nil {
+		return nil, errors.ThrowInternal(err, "CRYPT-qCD0JB", "error encrypting value")
+	}
+	return &CryptoValue{
+		CryptoType: TypeEncryption,
+		Algorithm:  alg.Algorithm(),
+		KeyID:      alg.EncryptionKeyID(),
+		Crypted:    encrypted,
+	}, nil
+}
+
+func Decrypt(value *CryptoValue, alg EncryptionAlg) ([]byte, error) {
+	if err := checkEncAlg(value, alg); err != nil {
+		return nil, err
+	}
+	return alg.Decrypt(value.Crypted, value.KeyID)
+}
+
+func DecryptString(value *CryptoValue, alg EncryptionAlg) (string, error) {
+	if err := checkEncAlg(value, alg); err != nil {
+		return "", err
+	}
+	return alg.DecryptString(value.Crypted, value.KeyID)
+}
+
+func checkEncAlg(value *CryptoValue, alg EncryptionAlg) error {
+	if value.Algorithm != alg.Algorithm() {
+		return errors.ThrowInvalidArgument(nil, "CRYPT-Nx7XlT", "value was encrypted with a different key")
+	}
+	for _, id := range alg.DecryptionKeyIDs() {
+		if id == value.KeyID {
+			return nil
+		}
+	}
+	return errors.ThrowInvalidArgument(nil, "CRYPT-Kq12vn", "value was encrypted with a different key")
+}
+
+func Hash(value []byte, alg HashAlg) (*CryptoValue, error) {
+	hashed, err := alg.Hash(value)
+	if err != nil {
+		return nil, errors.ThrowInternal(err, "CRYPT-rBVaJU", "error hashing value")
+	}
+	return &CryptoValue{
+		CryptoType: TypeHash,
+		Algorithm:  alg.Algorithm(),
+		Crypted:    hashed,
+	}, nil
+}
+
+func CompareHash(value *CryptoValue, comparer []byte, alg HashAlg) error {
+	return alg.CompareHash(value.Crypted, comparer)
+}
diff --git a/internal/crypto/crypto_mock.go b/internal/crypto/crypto_mock.go
new file mode 100644
index 0000000000..3785c285ae
--- /dev/null
+++ b/internal/crypto/crypto_mock.go
@@ -0,0 +1,223 @@
+// Code generated by MockGen. DO NOT EDIT.
+// Source: crypto.go
+
+// Package crypto is a generated GoMock package.
+package crypto
+
+import (
+	gomock "github.com/golang/mock/gomock"
+	reflect "reflect"
+)
+
+// MockCrypto is a mock of Crypto interface
+type MockCrypto struct {
+	ctrl     *gomock.Controller
+	recorder *MockCryptoMockRecorder
+}
+
+// MockCryptoMockRecorder is the mock recorder for MockCrypto
+type MockCryptoMockRecorder struct {
+	mock *MockCrypto
+}
+
+// NewMockCrypto creates a new mock instance
+func NewMockCrypto(ctrl *gomock.Controller) *MockCrypto {
+	mock := &MockCrypto{ctrl: ctrl}
+	mock.recorder = &MockCryptoMockRecorder{mock}
+	return mock
+}
+
+// EXPECT returns an object that allows the caller to indicate expected use
+func (m *MockCrypto) EXPECT() *MockCryptoMockRecorder {
+	return m.recorder
+}
+
+// Algorithm mocks base method
+func (m *MockCrypto) Algorithm() string {
+	m.ctrl.T.Helper()
+	ret := m.ctrl.Call(m, "Algorithm")
+	ret0, _ := ret[0].(string)
+	return ret0
+}
+
+// Algorithm indicates an expected call of Algorithm
+func (mr *MockCryptoMockRecorder) Algorithm() *gomock.Call {
+	mr.mock.ctrl.T.Helper()
+	return mr.mock.ctrl.RecordCallWithMethodType(mr.mock, "Algorithm", reflect.TypeOf((*MockCrypto)(nil).Algorithm))
+}
+
+// MockEncryptionAlg is a mock of EncryptionAlg interface
+type MockEncryptionAlg struct {
+	ctrl     *gomock.Controller
+	recorder *MockEncryptionAlgMockRecorder
+}
+
+// MockEncryptionAlgMockRecorder is the mock recorder for MockEncryptionAlg
+type MockEncryptionAlgMockRecorder struct {
+	mock *MockEncryptionAlg
+}
+
+// NewMockEncryptionAlg creates a new mock instance
+func NewMockEncryptionAlg(ctrl *gomock.Controller) *MockEncryptionAlg {
+	mock := &MockEncryptionAlg{ctrl: ctrl}
+	mock.recorder = &MockEncryptionAlgMockRecorder{mock}
+	return mock
+}
+
+// EXPECT returns an object that allows the caller to indicate expected use
+func (m *MockEncryptionAlg) EXPECT() *MockEncryptionAlgMockRecorder {
+	return m.recorder
+}
+
+// Algorithm mocks base method
+func (m *MockEncryptionAlg) Algorithm() string {
+	m.ctrl.T.Helper()
+	ret := m.ctrl.Call(m, "Algorithm")
+	ret0, _ := ret[0].(string)
+	return ret0
+}
+
+// Algorithm indicates an expected call of Algorithm
+func (mr *MockEncryptionAlgMockRecorder) Algorithm() *gomock.Call {
+	mr.mock.ctrl.T.Helper()
+	return mr.mock.ctrl.RecordCallWithMethodType(mr.mock, "Algorithm", reflect.TypeOf((*MockEncryptionAlg)(nil).Algorithm))
+}
+
+// EncryptionKeyID mocks base method
+func (m *MockEncryptionAlg) EncryptionKeyID() string {
+	m.ctrl.T.Helper()
+	ret := m.ctrl.Call(m, "EncryptionKeyID")
+	ret0, _ := ret[0].(string)
+	return ret0
+}
+
+// EncryptionKeyID indicates an expected call of EncryptionKeyID
+func (mr *MockEncryptionAlgMockRecorder) EncryptionKeyID() *gomock.Call {
+	mr.mock.ctrl.T.Helper()
+	return mr.mock.ctrl.RecordCallWithMethodType(mr.mock, "EncryptionKeyID", reflect.TypeOf((*MockEncryptionAlg)(nil).EncryptionKeyID))
+}
+
+// DecryptionKeyIDs mocks base method
+func (m *MockEncryptionAlg) DecryptionKeyIDs() []string {
+	m.ctrl.T.Helper()
+	ret := m.ctrl.Call(m, "DecryptionKeyIDs")
+	ret0, _ := ret[0].([]string)
+	return ret0
+}
+
+// DecryptionKeyIDs indicates an expected call of DecryptionKeyIDs
+func (mr *MockEncryptionAlgMockRecorder) DecryptionKeyIDs() *gomock.Call {
+	mr.mock.ctrl.T.Helper()
+	return mr.mock.ctrl.RecordCallWithMethodType(mr.mock, "DecryptionKeyIDs", reflect.TypeOf((*MockEncryptionAlg)(nil).DecryptionKeyIDs))
+}
+
+// Encrypt mocks base method
+func (m *MockEncryptionAlg) Encrypt(value []byte) ([]byte, error) {
+	m.ctrl.T.Helper()
+	ret := m.ctrl.Call(m, "Encrypt", value)
+	ret0, _ := ret[0].([]byte)
+	ret1, _ := ret[1].(error)
+	return ret0, ret1
+}
+
+// Encrypt indicates an expected call of Encrypt
+func (mr *MockEncryptionAlgMockRecorder) Encrypt(value interface{}) *gomock.Call {
+	mr.mock.ctrl.T.Helper()
+	return mr.mock.ctrl.RecordCallWithMethodType(mr.mock, "Encrypt", reflect.TypeOf((*MockEncryptionAlg)(nil).Encrypt), value)
+}
+
+// Decrypt mocks base method
+func (m *MockEncryptionAlg) Decrypt(hashed []byte, keyID string) ([]byte, error) {
+	m.ctrl.T.Helper()
+	ret := m.ctrl.Call(m, "Decrypt", hashed, keyID)
+	ret0, _ := ret[0].([]byte)
+	ret1, _ := ret[1].(error)
+	return ret0, ret1
+}
+
+// Decrypt indicates an expected call of Decrypt
+func (mr *MockEncryptionAlgMockRecorder) Decrypt(hashed, keyID interface{}) *gomock.Call {
+	mr.mock.ctrl.T.Helper()
+	return mr.mock.ctrl.RecordCallWithMethodType(mr.mock, "Decrypt", reflect.TypeOf((*MockEncryptionAlg)(nil).Decrypt), hashed, keyID)
+}
+
+// DecryptString mocks base method
+func (m *MockEncryptionAlg) DecryptString(hashed []byte, keyID string) (string, error) {
+	m.ctrl.T.Helper()
+	ret := m.ctrl.Call(m, "DecryptString", hashed, keyID)
+	ret0, _ := ret[0].(string)
+	ret1, _ := ret[1].(error)
+	return ret0, ret1
+}
+
+// DecryptString indicates an expected call of DecryptString
+func (mr *MockEncryptionAlgMockRecorder) DecryptString(hashed, keyID interface{}) *gomock.Call {
+	mr.mock.ctrl.T.Helper()
+	return mr.mock.ctrl.RecordCallWithMethodType(mr.mock, "DecryptString", reflect.TypeOf((*MockEncryptionAlg)(nil).DecryptString), hashed, keyID)
+}
+
+// MockHashAlg is a mock of HashAlg interface
+type MockHashAlg struct {
+	ctrl     *gomock.Controller
+	recorder *MockHashAlgMockRecorder
+}
+
+// MockHashAlgMockRecorder is the mock recorder for MockHashAlg
+type MockHashAlgMockRecorder struct {
+	mock *MockHashAlg
+}
+
+// NewMockHashAlg creates a new mock instance
+func NewMockHashAlg(ctrl *gomock.Controller) *MockHashAlg {
+	mock := &MockHashAlg{ctrl: ctrl}
+	mock.recorder = &MockHashAlgMockRecorder{mock}
+	return mock
+}
+
+// EXPECT returns an object that allows the caller to indicate expected use
+func (m *MockHashAlg) EXPECT() *MockHashAlgMockRecorder {
+	return m.recorder
+}
+
+// Algorithm mocks base method
+func (m *MockHashAlg) Algorithm() string {
+	m.ctrl.T.Helper()
+	ret := m.ctrl.Call(m, "Algorithm")
+	ret0, _ := ret[0].(string)
+	return ret0
+}
+
+// Algorithm indicates an expected call of Algorithm
+func (mr *MockHashAlgMockRecorder) Algorithm() *gomock.Call {
+	mr.mock.ctrl.T.Helper()
+	return mr.mock.ctrl.RecordCallWithMethodType(mr.mock, "Algorithm", reflect.TypeOf((*MockHashAlg)(nil).Algorithm))
+}
+
+// Hash mocks base method
+func (m *MockHashAlg) Hash(value []byte) ([]byte, error) {
+	m.ctrl.T.Helper()
+	ret := m.ctrl.Call(m, "Hash", value)
+	ret0, _ := ret[0].([]byte)
+	ret1, _ := ret[1].(error)
+	return ret0, ret1
+}
+
+// Hash indicates an expected call of Hash
+func (mr *MockHashAlgMockRecorder) Hash(value interface{}) *gomock.Call {
+	mr.mock.ctrl.T.Helper()
+	return mr.mock.ctrl.RecordCallWithMethodType(mr.mock, "Hash", reflect.TypeOf((*MockHashAlg)(nil).Hash), value)
+}
+
+// CompareHash mocks base method
+func (m *MockHashAlg) CompareHash(hashed, comparer []byte) error {
+	m.ctrl.T.Helper()
+	ret := m.ctrl.Call(m, "CompareHash", hashed, comparer)
+	ret0, _ := ret[0].(error)
+	return ret0
+}
+
+// CompareHash indicates an expected call of CompareHash
+func (mr *MockHashAlgMockRecorder) CompareHash(hashed, comparer interface{}) *gomock.Call {
+	mr.mock.ctrl.T.Helper()
+	return mr.mock.ctrl.RecordCallWithMethodType(mr.mock, "CompareHash", reflect.TypeOf((*MockHashAlg)(nil).CompareHash), hashed, comparer)
+}
diff --git a/internal/crypto/crypto_test.go b/internal/crypto/crypto_test.go
new file mode 100644
index 0000000000..76334884b9
--- /dev/null
+++ b/internal/crypto/crypto_test.go
@@ -0,0 +1,273 @@
+package crypto
+
+import (
+	"bytes"
+	"errors"
+	"reflect"
+	"testing"
+)
+
+type mockEncCrypto struct {
+}
+
+func (m *mockEncCrypto) Algorithm() string {
+	return "enc"
+}
+
+func (m *mockEncCrypto) Encrypt(value []byte) ([]byte, error) {
+	return value, nil
+}
+
+func (m *mockEncCrypto) Decrypt(value []byte, _ string) ([]byte, error) {
+	return value, nil
+}
+
+func (m *mockEncCrypto) DecryptString(value []byte, _ string) (string, error) {
+	return string(value), nil
+}
+
+func (m *mockEncCrypto) EncryptionKeyID() string {
+	return "keyID"
+}
+func (m *mockEncCrypto) DecryptionKeyIDs() []string {
+	return []string{"keyID"}
+}
+
+type mockHashCrypto struct {
+}
+
+func (m *mockHashCrypto) Algorithm() string {
+	return "hash"
+}
+
+func (m *mockHashCrypto) Hash(value []byte) ([]byte, error) {
+	return value, nil
+}
+
+func (m *mockHashCrypto) CompareHash(hashed, comparer []byte) error {
+	if !bytes.Equal(hashed, comparer) {
+		return errors.New("not equal")
+	}
+	return nil
+}
+
+type alg struct{}
+
+func (a *alg) Algorithm() string {
+	return "alg"
+}
+
+func TestCrypt(t *testing.T) {
+	type args struct {
+		value []byte
+		c     Crypto
+	}
+	tests := []struct {
+		name    string
+		args    args
+		want    *CryptoValue
+		wantErr bool
+	}{
+		{
+			"encrypt",
+			args{[]byte("test"), &mockEncCrypto{}},
+			&CryptoValue{CryptoType: TypeEncryption, Algorithm: "enc", KeyID: "keyID", Crypted: []byte("test")},
+			false,
+		},
+		{
+			"hash",
+			args{[]byte("test"), &mockHashCrypto{}},
+			&CryptoValue{CryptoType: TypeHash, Algorithm: "hash", Crypted: []byte("test")},
+			false,
+		},
+		{
+			"wrong type",
+			args{[]byte("test"), &alg{}},
+			nil,
+			true,
+		},
+	}
+	for _, tt := range tests {
+		t.Run(tt.name, func(t *testing.T) {
+			got, err := Crypt(tt.args.value, tt.args.c)
+			if (err != nil) != tt.wantErr {
+				t.Errorf("Crypt() error = %v, wantErr %v", err, tt.wantErr)
+				return
+			}
+			if !reflect.DeepEqual(got, tt.want) {
+				t.Errorf("Crypt() = %v, want %v", got, tt.want)
+			}
+		})
+	}
+}
+
+func TestEncrypt(t *testing.T) {
+	type args struct {
+		value []byte
+		c     EncryptionAlg
+	}
+	tests := []struct {
+		name    string
+		args    args
+		want    *CryptoValue
+		wantErr bool
+	}{
+		{
+			"ok",
+			args{[]byte("test"), &mockEncCrypto{}},
+			&CryptoValue{CryptoType: TypeEncryption, Algorithm: "enc", KeyID: "keyID", Crypted: []byte("test")},
+			false,
+		},
+	}
+	for _, tt := range tests {
+		t.Run(tt.name, func(t *testing.T) {
+			got, err := Encrypt(tt.args.value, tt.args.c)
+			if (err != nil) != tt.wantErr {
+				t.Errorf("Encrypt() error = %v, wantErr %v", err, tt.wantErr)
+				return
+			}
+			if !reflect.DeepEqual(got, tt.want) {
+				t.Errorf("Encrypt() = %v, want %v", got, tt.want)
+			}
+		})
+	}
+}
+
+func TestDecrypt(t *testing.T) {
+	type args struct {
+		value *CryptoValue
+		c     EncryptionAlg
+	}
+	tests := []struct {
+		name    string
+		args    args
+		want    []byte
+		wantErr bool
+	}{
+		{
+			"ok",
+			args{&CryptoValue{CryptoType: TypeEncryption, Algorithm: "enc", KeyID: "keyID", Crypted: []byte("test")}, &mockEncCrypto{}},
+			[]byte("test"),
+			false,
+		},
+		{
+			"wrong id",
+			args{&CryptoValue{CryptoType: TypeEncryption, Algorithm: "enc", KeyID: "keyID2", Crypted: []byte("test")}, &mockEncCrypto{}},
+			nil,
+			true,
+		},
+	}
+	for _, tt := range tests {
+		t.Run(tt.name, func(t *testing.T) {
+			got, err := Decrypt(tt.args.value, tt.args.c)
+			if (err != nil) != tt.wantErr {
+				t.Errorf("Decrypt() error = %v, wantErr %v", err, tt.wantErr)
+				return
+			}
+			if !reflect.DeepEqual(got, tt.want) {
+				t.Errorf("Decrypt() = %v, want %v", got, tt.want)
+			}
+		})
+	}
+}
+
+func TestDecryptString(t *testing.T) {
+	type args struct {
+		value *CryptoValue
+		c     EncryptionAlg
+	}
+	tests := []struct {
+		name    string
+		args    args
+		want    string
+		wantErr bool
+	}{
+		{
+			"ok",
+			args{&CryptoValue{CryptoType: TypeEncryption, Algorithm: "enc", KeyID: "keyID", Crypted: []byte("test")}, &mockEncCrypto{}},
+			"test",
+			false,
+		},
+		{
+			"wrong id",
+			args{&CryptoValue{CryptoType: TypeEncryption, Algorithm: "enc", KeyID: "keyID2", Crypted: []byte("test")}, &mockEncCrypto{}},
+			"",
+			true,
+		},
+	}
+	for _, tt := range tests {
+		t.Run(tt.name, func(t *testing.T) {
+			got, err := DecryptString(tt.args.value, tt.args.c)
+			if (err != nil) != tt.wantErr {
+				t.Errorf("DecryptString() error = %v, wantErr %v", err, tt.wantErr)
+				return
+			}
+			if !reflect.DeepEqual(got, tt.want) {
+				t.Errorf("DecryptString() = %v, want %v", got, tt.want)
+			}
+		})
+	}
+}
+
+func TestHash(t *testing.T) {
+	type args struct {
+		value []byte
+		c     HashAlg
+	}
+	tests := []struct {
+		name    string
+		args    args
+		want    *CryptoValue
+		wantErr bool
+	}{
+		{
+			"ok",
+			args{[]byte("test"), &mockHashCrypto{}},
+			&CryptoValue{CryptoType: TypeHash, Algorithm: "hash", Crypted: []byte("test")},
+			false,
+		},
+	}
+	for _, tt := range tests {
+		t.Run(tt.name, func(t *testing.T) {
+			got, err := Hash(tt.args.value, tt.args.c)
+			if (err != nil) != tt.wantErr {
+				t.Errorf("Hash() error = %v, wantErr %v", err, tt.wantErr)
+				return
+			}
+			if !reflect.DeepEqual(got, tt.want) {
+				t.Errorf("Hash() = %v, want %v", got, tt.want)
+			}
+		})
+	}
+}
+
+func TestCompareHash(t *testing.T) {
+	type args struct {
+		value    *CryptoValue
+		comparer []byte
+		c        HashAlg
+	}
+	tests := []struct {
+		name    string
+		args    args
+		wantErr bool
+	}{
+		{
+			"ok",
+			args{&CryptoValue{CryptoType: TypeHash, Algorithm: "hash", Crypted: []byte("test")}, []byte("test"), &mockHashCrypto{}},
+			false,
+		},
+		{
+			"wrong",
+			args{&CryptoValue{CryptoType: TypeHash, Algorithm: "hash", Crypted: []byte("test")}, []byte("test2"), &mockHashCrypto{}},
+			true,
+		},
+	}
+	for _, tt := range tests {
+		t.Run(tt.name, func(t *testing.T) {
+			if err := CompareHash(tt.args.value, tt.args.comparer, tt.args.c); (err != nil) != tt.wantErr {
+				t.Errorf("CompareHash() error = %v, wantErr %v", err, tt.wantErr)
+			}
+		})
+	}
+}
diff --git a/internal/crypto/generate.go b/internal/crypto/generate.go
new file mode 100644
index 0000000000..4c43e7e9b3
--- /dev/null
+++ b/internal/crypto/generate.go
@@ -0,0 +1,3 @@
+package crypto
+
+//go:generate mockgen -source crypto.go -destination ./crypto_mock.go -package crypto
diff --git a/internal/crypto/key.go b/internal/crypto/key.go
new file mode 100644
index 0000000000..da7f6de9b9
--- /dev/null
+++ b/internal/crypto/key.go
@@ -0,0 +1,64 @@
+package crypto
+
+import (
+	"os"
+
+	"github.com/caos/logging"
+	"github.com/caos/utils/errors"
+
+	"github.com/caos/zitadel/internal/config"
+)
+
+const (
+	ZitadelKeyPath = "ZITADEL_KEY_PATH"
+)
+
+type KeyConfig struct {
+	EncryptionKeyID  string
+	DecryptionKeyIDs []string
+	Path             string
+}
+
+type Keys map[string]string
+
+func ReadKeys(path string) (Keys, error) {
+	if path == "" {
+		path = os.Getenv(ZitadelKeyPath)
+		if path == "" {
+			return nil, errors.ThrowInvalidArgument(nil, "CRYPT-56lka", "no path set")
+		}
+	}
+	keys := new(Keys)
+	err := config.Read(keys, path)
+	return *keys, err
+}
+
+func LoadKeys(config *KeyConfig) (map[string]string, []string, error) {
+	if config == nil {
+		return nil, nil, errors.ThrowInvalidArgument(nil, "CRYPT-dJK8s", "config must not be nil")
+	}
+	readKeys, err := ReadKeys(config.Path)
+	if err != nil {
+		return nil, nil, err
+	}
+	keys := make(map[string]string)
+	ids := make([]string, 0, len(config.DecryptionKeyIDs)+1)
+	if config.EncryptionKeyID != "" {
+		key, ok := readKeys[config.EncryptionKeyID]
+		if !ok {
+			return nil, nil, errors.ThrowInternalf(nil, "CRYPT-v2Kas", "encryption key not found")
+		}
+		keys[config.EncryptionKeyID] = key
+		ids = append(ids, config.EncryptionKeyID)
+	}
+	for _, id := range config.DecryptionKeyIDs {
+		key, ok := readKeys[id]
+		if !ok {
+			logging.Log("CRYPT-s23rf").Warnf("description key %s not found", id)
+			continue
+		}
+		keys[id] = key
+		ids = append(ids, id)
+	}
+	return keys, ids, nil
+}