NAT Type 2 is a moderate NAT type that is commonly used for gaming consoles such as the PlayStation and Xbox. It means that the console is connected through a router which is performing NAT function, and generally, there won’t be any challenges. One key aspect of NAT Type 2 is that the router is well aware of your console and is able to forward incoming packets on predefined ports to the console. This setup allows connection requests from other players to be received by the console, and you are able to chat and play multiplayer games with some people.

In contrast, NAT Type 1, also known as Open NAT, indicates that the console is fully open to the outbound and inbound traffic, so it has the least chance to experience any disconnects in this mode. NAT Type 3, also known as Strict NAT, may not accept incoming traffic properly, so it can cause problems with some games, and you may not be able to connect to some users over the Internet.

In summary, NAT Type 2 is a moderate NAT type that is commonly used for gaming consoles, and it allows you to chat and play multiplayer games with some people.