This bug was fixed in the package libgcrypt20 - 1.6.5-2ubuntu0.4

---------------
libgcrypt20 (1.6.5-2ubuntu0.4) xenial; urgency=medium

  * Disable the library reading /proc/sys/crypto/fips_enabled file
    and going into FIPS mode. This fixes a hang on boot when using a
    FIPS-enabled kernel with encrypted installations (LP: #1748310)
    - debian/patches/disable_fips_enabled_read.patch

 -- Vineetha Pai <[email protected]>  Fri, 16 Feb 2018
13:31:19 -0500

** Changed in: libgcrypt20 (Ubuntu Xenial)
       Status: Fix Committed => Fix Released

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https://bugs.launchpad.net/bugs/1748310

Title:
  [SRU][xenial]boot stalls looking for entropy in FIPS mode

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