The option that will support these requirements is the NTFS (New Technology File System).
File encryption may be defined as a way of encoding files that significantly include the sensitive data they contain, in order to send them securely. The encoding prevents unauthorized access and tampering by malicious actors. It keeps a file from being read by anyone except the person or people for whom it was intended.
According to the context of this question, in most editions of Windows, NTFS is required for the volume in which the window is installed. NTFS supports file and folder permission, disk quotas, encryption, and compression.
Therefore, the option that will support these requirements is the NTFS.
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