# Value Exchange Network (VEN)

A Value Exchange Network (VEN) is a functional network of permissioned institutions that record their transactions through a shared [Commit Chain](broken-reference). Institutions can become members of a VEN after obtaining permission from a [Network Operator](broken-reference).

<figure><img src="https://3881919097-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FVK6dTz0QagdylopyyIon%2Fuploads%2FHzj9HysF77dHWoIF6VpC%2Fimage.png?alt=media&#x26;token=e7bdfac8-dc17-42cd-9018-10bd320fdaf0" alt=""><figcaption><p>Diagram of a Value Exchange Network. Privacy Ledgers have Bridges between each other and the Commit Chain.</p></figcaption></figure>

Joining a VEN is as simple as connecting a [Privacy Ledger](broken-reference) to a [Commit Chain](broken-reference). Once the connection is established and governance policies are agreed to, the Privacy Ledger can begin synchronizing state updates and downloading token smart contracts.

Institutions can join multiple VENs without compromising sensitive data between networks. The [Bridges](broken-reference) and Commit Chain of each VEN encrypt transaction information and provide proof of legitimacy back to the original issuing authority.&#x20;

By design, VENs align with the [Financial Stability Board's commitments to financial stability and inclusion](https://www.fsb.org/about/). Moreover, VENs enable the singleness of money to extend across international markets. All transactions can be traced back to the original issuer, even in subsequent transactions where the original institution isn't involved.
