The purpose of an encryption algorithm in cybersecurity is to protect sensitive information by converting it into a secure format that can only be read by authorized parties. Encryption algorithms use mathematical processes to transform plaintext into ciphertext, making the data unintelligible to potential eavesdroppers. This ensures that even if data is intercepted during transmission, it remains unreadable without the appropriate decryption key. Encryption is essential for safeguarding personal, financial, and confidential information, and it forms a critical component of security protocols in areas such as online banking, email communication, and data storage, thereby enhancing overall cybersecurity measures.