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What is the Northern Ireland backstop exactly?

What are it’s functions, why are people so upset about it and how did Brexit reach this stage of fubarness?
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Picklebobble2 · 56-60, M Best Comment
Ireland has enjoyed an open border between the North (which is under UK rule) and the South which is a separate country since about 1998. Without the need or want for an official manned/guarded border.

The reason for this is all part of an agreement between both countries set up in the late 90's that also saw an end to terrorist activity from factions in the North opposed to rule under the UK.
(See: The Good Friday Agreement)

The E:U wants a border between the two countries once the UK leaves the E:U.
Reason being that the South is a member of the E:U and will continue to enjoy trade benefits. But the North will leave along with the UK and the E:U wants to prevent the North from being able to enjoy the same benefits the South has. Specifically, freedom of movement and lack of import tariff for goods from the E:U.

With me so far ?

The E:U's 'worry' is that there'll be some sort of smuggling operation from the South to the North. And the North will obtain goods from the E:U without having paid the import tariff.

The proposal known as 'The Backstop' would see the North enjoying (effectively) membership of the same trade deal that the South has. Whilst negating the need for walls; physical borders; customs checkpoints etc.

Point being that neither the UK nor the E:U tries to separate two countries that have seen more than their fair share of political/religious segregation throughout their history.

The 'Backstop' is a UK proposal that the E:U is broadly in favour of but 'May's deal' is a bit vague as to how it would operate.
I suspect because it needs clarification and agreement from the other E:U member states before being confirmed.