This video makes it very clear: https://yewtu.be/watch?v=BtbUGFHZTW8

It's custodial Bitcoin that is managed by a few appointed trusted persons within a small/medium/large community where all transactions are 100% private and is connected with Lightning node for transactions going in and out of the community.

Somebody correct me if I'm wrong. It's been a while since I read about it.