Encryption and decryption algorithms are commonly used in the secure transmission of data communication. This paper focused on domestic cryptographic algorithms. We analyzed SM2, SM3, and SM4 algorithms, designed a hybrid domestic cryptographic algorithm and optimized the SM2 algorithm to improve its computational efficiency. The performance analysis found that the hybrid domestic cryptographic algorithm consumed a short time in data encryption and decryption. When processing 128-bit data, its average encryption time was 2.63 ms, and its average decryption time was 2.12 ms. It also performed well in the encryption and decryption of large data volumes. The results verify the reliability of the hybrid method, which is conducive to achieving secure and efficient data transmission.