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Distributed network Meaning

A distributed network is a system in which resources, control, and decision-making are spread across multiple interconnected nodes. No single node has complete authority, and the network continues functioning even if some nodes fail.

Distributed networks underpin modern digital infrastructure, including blockchains, peer-to-peer systems, and cloud platforms. They enhance resilience, scalability, and fault tolerance while reducing dependence on centralized control.

In financial and data systems, distributed networks support continuous operation, geographic redundancy, and shared governance.

However, they also introduce complexity around coordination, security, and performance optimization.

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