Abstract-Watermark is used to protect copyright and to authenticate images. In digital media, today's world images are in electronic form available in the internet. For its protection and authentication invisible watermarking in encrypted form are used. In this paper encryption is done using fuzzy ComplimentMax-Product matrix and then encrypted watermark is embedded in the digital media at desired places using fuzzy rule. The Region of Interest (ROI) is decided with fuzzification. Then, watermark is inserted at the respective positions in the image. Robustness of watermark is judged for ROI. This method of watermarking is done on all image file formats and it is resistant for geometric, noise and compression attack.