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A software policy makes a powerful addition to Microsoft Windows' malware protection.
In particular, it is more effective against ransomware than traditional approaches to security.
If you know about the Linux 'execute permission' bit then you'll understand what this is for. The mode of operation is somewhat different in that execute permission is granted to folders and subfolders rather than individual files, but the intention is the same, to stop undesirable or unknown software from launching unless you OK it.
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