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Depends on how you back up.

If you copy the raw database files that you also run queries on (e.g. take a zfs snapshot), then you'd need some very special encryption to be able to query across differently-encrypted data.

But if your database is just on an encrypted disk but otherwise readable, and you only encrypt the records on an individual level when exporting them to the backup system... that can work. Generating a secure random encryption key after seeding can be as fast as a single AES function call, and symmetric encryption isn't particularly expensive either. Still extra work compared to just copying bytes between memory regions (now everything has to be operated on by the CPU), I'm not saying it's going to be trivial, but it doesn't seem infeasible.

Also at 2B users as you mention, which is an extreme example considering we have only a few billion internet users (multiply by one or two bots for every person, but even then), you need huge storage and compute clusters anyway. Storing 16 bytes of key material extra isn't going to be the difference between feasible and infeasible. It doesn't really matter if you're talking 2e2 or 2e9 users in terms of computational or storage overhead.



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