An internal function refers to a specific set of operations or actions that a smart contract or blockchain protocol performs. These functions are coded within the contract itself and are not directly accessible by external entities or users. Instead, they are utilized to facilitate transactions, manage states, or execute rules set by the developers.For example, in a smart contract, an internal function might handle the logic of transferring tokens from one user to another, ensuring that conditions like balance checks and permissions are met. Because they are internal, these functions cannot be called directly from outside the contract; they can only be invoked by other functions within the same contract.This encapsulation helps enhance security by limiting external interaction and protecting the integrity of the contract’s logic. Internal functions play a crucial role in maintaining the overall functionality and trustworthiness of the system, as they ensure that operations are executed as intended without exposing vulnerabilities to outside threats.