Permissioned Networks

Definition ∞ Permissioned Networks are blockchain systems where participation, such as validating transactions or accessing data, is restricted to pre-approved entities. Unlike public blockchains, these networks require explicit authorization for nodes to join. They offer enhanced privacy and control, making them suitable for enterprise applications. This structure balances decentralization with established governance.
Context ∞ The discussion surrounding Permissioned Networks often highlights their utility for specific industry applications requiring strict data control and regulatory compliance, contrasting with open public blockchains. Debates frequently concern the degree of decentralization these networks truly offer and their potential for fostering closed ecosystems. Future developments will focus on interoperability solutions that allow permissioned networks to securely interact with public ledgers.