It is a type of user acceptance testing where the application is testing in preproduction.Preproduction means which has similar Environment like production i.e h/w components and software and web servers all are same as in production.
for Example:
In bank when ever new chanegs in banking transaction like adding new functionality to accounts.then they will create account in preproduction environment which has almost similar features in live transactions.If it suceeede then they will moved new change requests to production.
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