How does multi-hop VPN work?
When using VPN, you connect to the entry node and traffic is then routed to the exit node from where it continues to access the Internet. This is extremely useful to improve privacy, as anybody sniffing on your traffic sees that you connect to server A with IP 1.2.3.4. They may then suspect that you are using VPN and check what server A with IP 1.2.3.4 is accessing. Even though there are thousands of other users accessing the server A with you and browsing online content through it, the attackers can get some limited information about what IPs you may be connecting to by monitoring network activity on server A.