The DBMS must use NSA-approved cryptography to protect classified information in accordance with the data owner's requirements. Assuming FIPS 140-2 as the data owners requirements.
Dx NetOps Performance Management 21.2.6+
We do try and use high encryption algorithms like AES, SHA2 when we can. 21.2.6 moved to use AES for CADefaultCookie and SNMP profile sync. So FIPSMode is always on now for 21.2.6+.
We use either AES or SHA2 for most, if not all, password storage controlled by us.