We know that 127.0.0.1 is loopback address but what about other 127.1.1.1-127.255.255.255?

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Why we are not using 127.1.1.1-127.255.255.25 range of ip address whenever loopback address is only 127.0.0.1/127.0.1.1

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The 127.0.0.0/8 network is a part of the Class A classification, but it is designated for loopback addressing and cannot be assigned to a network. The loopback subnet is not routable on the internet. Its mainly for troubleshooting of the NIC and can be mixed up to different IP addresses using class A IP addresses because class A support about 16 million hosts. eg. 127.1.1.1, 127.54.1.7, 127.3.1.254 can all be used as loopback addresses.