C#'s properties are simply syntactic representations of some underlying methods and variables. Essentially, the compiler turns:
public int Height { get; set; }
into:
private int height;
public int getHeight() {return height;}
public int setHeight(int h) {height = h;}
So, no you are not defying OOP encapsulation, but instead syntactically simplifying it. You could also do something like public int Height {get;}
which is a nice way to create an immutable class member. It simply creates the property without a set method, so only the class itself can alter it.
Now, you only need to use properties with backing fields if you wish to do additional tasks when getting or setting a variable, such as raise an event, or update another variable. The compiler would turn:
private int height;
public int Height { get {return height;} set {height = value; OnHeightChanged();} }
into:
private int height;
public int getHeight() {return height;}
public int setHeight(int value) {height = value; OnHeightChanged();}
Hope this helps!