.NET 2.0 and FIPS
Starting in the .NET Framework 2.0, some of the Cryptographic Classes no longer work if FIPS compliance is forced on the Server.
Currently, none of the Managed hashing classes will work on a FIPS enabled server. Attempting to use those results in the exception:
"InvalidOperationException: This implementation is not part of the Windows Platform FIPS validated cryptographic algorithms."
This can be problematic for high security environments. The only hashing algorithm that does work in a FIPS environment is the SHA1CryptoServiceProvider. This class uses unmanaged calls to the CSP in Windows.
Your use of symmetric algorithms is greatly decreased. The Rijndael algorithms will not work, however the TripleDESCryptoServiceProvider.
You should start to see a pattern: None of the managed implementations of an algorithm are marked as FIPS Compliant. However, all of the Service Providers (ones that use the CSP) will not cause this exception.