Physical Networks

Definition ∞ Physical networks are the tangible infrastructure and connections that facilitate the movement of information, energy, or goods. This includes the hardware, cabling, and transmission media that form the backbone of communication and transportation systems. They represent the material basis upon which digital and logistical operations depend.
Context ∞ In the cryptocurrency domain, physical networks are critical for the operation of the underlying blockchain infrastructure, encompassing data centers hosting nodes, internet connectivity, and the hardware used for mining operations. News reports may touch upon the energy consumption of these physical networks, particularly concerning proof-of-work systems, or discuss the geographic distribution of network participants. The resilience and accessibility of these physical networks are fundamental to the security and decentralization of many digital asset systems.