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Are relays chosen by location proximity, e.g. county, for circuit building?

I know that there exists some rules but I didn't read anything about location. If the location of a client is not considered, does this mean that almost all the traffic from, e.g., Asian clients gets routed through Europe?

There is a lack of relays in Asia due to bandwidth limitations of hosting providers. But I would assume, that it would make sense to localize the circuit building to keep circuit round-trip latencies low. If the relay selection is mainly done based on available bandwidth, relays from Europe will always be preferred (and thus provide high latencies for Asian clients).

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Relay locations are are not chosen by location, but you do have the option of limiting locations where you can get exit nodes though this will also limit your anonymity.

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