NTFS - New Technology File System
NTFS is a file system used by the Windows NT operating system.
It is also supported by Windows XP, Windows Server 2003, Windows Server 2008, Windows Vista, Windows 7 and Windows 8.
Depending on intended use, NTFS is a major improvement over its predecessor the FAT (File Allocation Table) file system. Its benefits include built-in file encryption which is user-transparent, larger filesize support (single files can be over 4GiB) and on-the-fly file compression. However, due to its complexity compared to FAT, other storage devices, for example, flash drives, digital camera memory cards and such, still use the FAT file system.
Note: If you are considering converting a FAT file system to NTFS, bear in mind that it is not so easy to convert NTFS back to FAT.
The NTFS file system uses a MFT (Master File Table) to locate all files within an NTFS volume. All critical data is duplicated to facilitate error recovery, ensuring the loss of one sector will not mean the loss of the entire partition. Additionally, it can recover data from a bad sector and ensure the bad sector is not used again.
As mentioned above, NTFS offers improved security features. It features the Encrypting File System (EFS) which allows a user to encrypt individual files, folders or entire drives.