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Description of problem:
While there is a generic LUKS driver for QEMU that can be layered above or below any block backend, neither of these options are desirable in combination with QCow2.

If layered below qcow2, both the header & payload are encrypted making it impossible to query basic info about the qcow2 volume (eg its size) without decrypting it first.

If layered above qcow2, the payload is encrypted using virtual disk sector numbers as the input for initialization vectors. This is insecure when combined with qcow2 internal snapshots, since data in each snapshot will use the same initialization vector for any given guest sector.

Thus qemu will provide native integration of LUKS & qcow2. Libvirt needs to be able to enable this feature.

Version-Release number of selected component (if applicable):
libvirt-2.0.0-10.el7

This feature will be finished in the next major release of RHEL.