A method is disclosed for performing cryptographic tasks, that include key setup tasks and work data processing tasks. This method comprises the steps of processing the key data in a first cryptographic engine and processing the work data in a second cryptographic engine. The processing of the key data comprises the steps of receiving key data, processing the key data, and generating processed key data. The processing of the work data comprises the steps of receiving the processed key data, receiving work data, processing the work data, and outputting the processed work data. In this method of the invention, the first cryptographic engine performs its tasks independently of the second cryptographic engine. A method for allocating cryptographic engines in a cryptographic system is also disclosed comprising monitoring a queue of cryptographic tasks, monitoring activity levels of a first allocation of a plurality of cryptographic engines, and dynamically adjusting the first allocation.