diff --git a/block/qcow2-cluster.c b/block/qcow2-cluster.c
index f09cc992af..b95e64c237 100644
--- a/block/qcow2-cluster.c
+++ b/block/qcow2-cluster.c
@@ -463,8 +463,8 @@ static int coroutine_fn do_perform_cow_read(BlockDriverState *bs,
 }
 
 static bool coroutine_fn do_perform_cow_encrypt(BlockDriverState *bs,
-                                                uint64_t src_cluster_offset,
-                                                uint64_t cluster_offset,
+                                                uint64_t guest_cluster_offset,
+                                                uint64_t host_cluster_offset,
                                                 unsigned offset_in_cluster,
                                                 uint8_t *buffer,
                                                 unsigned bytes)
@@ -474,8 +474,8 @@ static bool coroutine_fn do_perform_cow_encrypt(BlockDriverState *bs,
         assert((offset_in_cluster & ~BDRV_SECTOR_MASK) == 0);
         assert((bytes & ~BDRV_SECTOR_MASK) == 0);
         assert(s->crypto);
-        if (qcow2_co_encrypt(bs, cluster_offset,
-                             src_cluster_offset + offset_in_cluster,
+        if (qcow2_co_encrypt(bs, host_cluster_offset,
+                             guest_cluster_offset + offset_in_cluster,
                              buffer, bytes) < 0) {
             return false;
         }
diff --git a/block/qcow2-threads.c b/block/qcow2-threads.c
index 3b1e63fe41..6da1838e95 100644
--- a/block/qcow2-threads.c
+++ b/block/qcow2-threads.c
@@ -234,15 +234,19 @@ static int qcow2_encdec_pool_func(void *opaque)
 }
 
 static int coroutine_fn
-qcow2_co_encdec(BlockDriverState *bs, uint64_t file_cluster_offset,
-                  uint64_t offset, void *buf, size_t len, Qcow2EncDecFunc func)
+qcow2_co_encdec(BlockDriverState *bs, uint64_t host_cluster_offset,
+                uint64_t guest_offset, void *buf, size_t len,
+                Qcow2EncDecFunc func)
 {
     BDRVQcow2State *s = bs->opaque;
+
+    uint64_t offset = s->crypt_physical_offset ?
+        host_cluster_offset + offset_into_cluster(s, guest_offset) :
+        guest_offset;
+
     Qcow2EncDecData arg = {
         .block = s->crypto,
-        .offset = s->crypt_physical_offset ?
-                      file_cluster_offset + offset_into_cluster(s, offset) :
-                      offset,
+        .offset = offset,
         .buf = buf,
         .len = len,
         .func = func,
@@ -251,18 +255,51 @@ qcow2_co_encdec(BlockDriverState *bs, uint64_t file_cluster_offset,
     return qcow2_co_process(bs, qcow2_encdec_pool_func, &arg);
 }
 
+
+/*
+ * qcow2_co_encrypt()
+ *
+ * Encrypts one or more contiguous aligned sectors
+ *
+ * @host_cluster_offset - underlying storage offset of the first cluster
+ * in which the encrypted data will be written
+ * Used as an initialization vector for encryption
+ *
+ * @guest_offset - guest (virtual) offset of the first sector of the
+ * data to be encrypted
+ * Used as an initialization vector for older, qcow2 native encryption
+ *
+ * @buf - buffer with the data to encrypt, that after encryption
+ *        will be written to the underlying storage device at
+ *        @host_cluster_offset
+ *
+ * @len - length of the buffer (in sector size multiplies)
+ *
+ * Note that the group of the sectors, don't have to be aligned
+ * on cluster boundary and can also cross a cluster boundary.
+ *
+ */
 int coroutine_fn
-qcow2_co_encrypt(BlockDriverState *bs, uint64_t file_cluster_offset,
-                 uint64_t offset, void *buf, size_t len)
+qcow2_co_encrypt(BlockDriverState *bs, uint64_t host_cluster_offset,
+                 uint64_t guest_offset, void *buf, size_t len)
 {
-    return qcow2_co_encdec(bs, file_cluster_offset, offset, buf, len,
-                             qcrypto_block_encrypt);
+    return qcow2_co_encdec(bs, host_cluster_offset, guest_offset, buf, len,
+                           qcrypto_block_encrypt);
 }
 
+
+/*
+ * qcow2_co_decrypt()
+ *
+ * Decrypts one or more contiguous aligned sectors
+ * Similar to qcow2_co_encrypt
+ *
+ */
+
 int coroutine_fn
-qcow2_co_decrypt(BlockDriverState *bs, uint64_t file_cluster_offset,
-                 uint64_t offset, void *buf, size_t len)
+qcow2_co_decrypt(BlockDriverState *bs, uint64_t host_cluster_offset,
+                 uint64_t guest_offset, void *buf, size_t len)
 {
-    return qcow2_co_encdec(bs, file_cluster_offset, offset, buf, len,
-                             qcrypto_block_decrypt);
+    return qcow2_co_encdec(bs, host_cluster_offset, guest_offset, buf, len,
+                           qcrypto_block_decrypt);
 }
