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E: Policy-based VPN devices use the combinations of prefixes from both networks to define how traffic is encrypted/decrypted through IPsec tunnels. It is typically built on firewall devices that perform packet filtering.
IPsec tunnel encryption and decryption are added to the packet filtering and processing engine.
Reference:
https://docs.microsoft.com/en-us/azure/vpn-gateway/create-routebased-vpn-gateway-portal
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