Google CloudSQL documentation states that the data is encrypted in transit and at rest.
I'm using pgcrypto in a Django app to encrypt sensitive information. However I'm wondering if there's any point in doing this since it's already encrypted at rest. The only thing I can imagine is an event where the Google App Engine server with the deployed code gets compromised and the password to the database is somehow leaked - the hackers would eventually have access to unencrypted data as they 'read' it in. But then even with pgcrypto, in the event the GAE server is compromised, they'd still be able to run code to fetch unencrypted data.
Am I overthinking this? The goal is to provide total piece of mind to the end-user with as many 'hurdles' introduced as possible to ensure their data stays completely secure. I have a feeling I don't really need pgcrypto, but looking for an educated reply.