Vault provides secure multi-tenancy by allowing the creation of namespaces that isolate "Vaults within a Vault". Each namespace can have independent authentication methods, secret engines, policies, identities and access management. Vault also enables API-driven encryption through secret engines like Transit and unified identities across multiple environments through its identity system. These capabilities allow Vault to securely store, restrict access to, and manage encryption of secrets and keys for multi-tenant infrastructure.