VPNs and proxies serve similar purposes in that they both route your internet traffic through an intermediary server, but they differ in terms of functionality, security, and use cases. Here are some key differences between VPNs and proxies:

1. Encryption: VPNs encrypt your internet traffic, ensuring that your data remains secure and private from end-to-end. Proxies, on the other hand, typically do not provide encryption, meaning that your data can be intercepted and read by third parties.

1. Connection level: VPNs operate at the system level, routing all of your internet traffic through the VPN server. Proxies work at the application level, routing traffic from specific applications, such as your web browser, through the proxy server.

1. Security: VPNs generally offer better security than proxies, as they provide encryption and protect your entire internet connection. Proxies may still be vulnerable to security threats, especially if you are using an unsecured or public proxy server.

1. Performance: VPNs may slightly reduce your internet speed due to the added encryption and longer routing path. Proxies, since they do not encrypt traffic, may offer faster speeds but at the expense of reduced security.

1. Use cases: VPNs are more suitable for securing your entire internet connection, maintaining privacy, and accessing restricted content. Proxies are better suited for specific tasks, such as bypassing content restrictions at the application level or for quick and simple IP masking.

Which one you should use depends on your specific needs:

- If your primary goal is to protect your privacy, ensure security, and access geo-restricted content, a VPN is the better option.
- If you only need to bypass a content restriction for a specific application or website, or if you need a simple IP masking solution without the added security features, a proxy may be sufficient.

However, keep in mind that using a reputable VPN service will generally offer better overall security, privacy, and performance compared to using a proxy.
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