There is a difference between link cloaking and link redirection. 

Link cloaking is when the destination URL is masked at the users browser's web address bar.  When the user is redirected to the destination website, they will see the cloaked URL address instead of the actual destination URL.

Link redirection is when the destination URL is hidden but the final destination URL is not.  When the user clicks on the cloaked link they will see the actual destination URL in their broweser's URL address bar.