Hello @MSau ,
Thanks for the question and using MS Q&A platform.
By default, the traffic between ADF and SHIR is through TLS1.2, the on-premise to cloud data movement happen through TLS1.2 encryption, but the traffic between SHIR and your service encryption depends on your service protocol (HTTPS, SFTP etc).
Note: All data transfers are via secure channel HTTPS and TLS over TCP to prevent man-in-the-middle attacks during communication with Azure services.
For more details, refer to Security considerations for data movement in Azure Data Factory.
Hope this helps. Do let us know if you any further queries.
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