The ring network is based upon a circular hierarchy, where each device (or node) in the network is along a closed ring. The network pathway sends data along the ring. This device examines the destination addresses of the data. If the data is addressed to another device, it will be regenerated and sent along the network path. This regeneration enables the ring network to be more extensive than other types of local area networks. Some ring networks use a manner of traffic regulation called 'token passing' to prevent data collisions. The token is a signal which is sent around the ring to each device. Only the device which has the token is allowed to transmit data through the network. If the device has data to transmit, it bundles its data with the token and sends it to the recipient node. The receiver accepts the data and returns it with the token to the sender, who frees it and sends it along the network for the next user. If the device does not have data to transmit, the token is passed immediately along to the next node for use.
