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As I understand it there are two types of Backups of Dynamics 365 - system (automatic) and user created (on-demand). Also, understand that you cannot restore to production from a user created (ondemand) backup.
So - if you want to restore your dynamics 365 instance to a point in time (for example before you messed the system up!) - how do you do this ? Can you only restore to the last system backup ?
The two main types of backups are daily system backups and on-demand backups.
You cannot restore an on-demand backup to a Production instance but you can restore an on-demand backup to a Sandbox instance. This is not a big issue as you can switch instance types between Production and Sandbox.
You can restore your Dynamics 365 instance to a selected point in time by following the steps in this article.
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