Unicode encoding is a standardized method for representing text from different languages and symbols in computers using unique code points. It allows for consistent data exchange and display across various platforms and devices. In cybersecurity, improper handling of Unicode can lead to vulnerabilities such as Unicode-based attacks, where malicious actors exploit encoding ambiguities to bypass security filters or obfuscate malicious input. Secure applications must correctly process and validate Unicode data to prevent these risks, ensuring that different representations of characters are treated consistently and securely.