A Private Network is a blockchain or distributed ledger system restricted to a select group of participants, often within an organization or consortium. Unlike public blockchains, access and validation rights are controlled and permissioned. These networks offer enhanced privacy, higher transaction speeds, and tailored governance structures.
Context
Private networks are frequently discussed in crypto news concerning enterprise blockchain solutions and institutional adoption of distributed ledger technology. Corporations and financial institutions often utilize private networks for specific applications requiring confidentiality and controlled access, such as supply chain management or interbank settlements. Their utility contrasts with the open nature of public blockchains.
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