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Does Merlin software support vpn hardware to hardware connection?

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Not sure what you mean by hardware to hardware. Are you referring to a bridged VPN (as opposed to routed VPN)? If so, then yes, use OpenVPN w/ a bridged (tap) config.
 
Sorry. What I am looking for is the ability to have the VPN routers connected over the internet so both networks are connected virtually.
Yes, I do this a good bit. Very easy to setup and use when needed.
 
This is called a site-to-site VPN.
 

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