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Dynamic network address translation (Dynamic NAT) is a technique in which multiple public Internet Protocol (IP) addresses are mapped and used with an internal or private IP address.
It allows a user to connect a local computer, server or networking device to an external network or Internet group with an unregistered private IP address that has a group of available public IP addresses.
Dynamic NAT bridges the communication and packet routing path between private/protected/internal networks and the Internet. Each internal device on an unregistered IP address requesting Internet access can select from a group of public IP addresses.
Dynamic NAT is usually configured on a router that maintains a group of public IP addresses in a network address translation (NAT) table. For each outgoing packet, the router replaces its source, a private IP address, with the first available public IP address.
When the packet is received from the destination node, it reviews the NAT table to find its private IP address and then routes the packet to the corresponding node.