It seems as both blocks have same function. What is difference in concept, method, etc.?
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no, they don't have the same function.
One allows you to write a block in Python, i.e. to implement some functionality on a stream of data (or messages).
The other is just a snippet of code to be included in the final Python program that gets generated. That's something fundamentally different.
I'd recommend going through the chapters 1 to 5 (in that order!) of the GNU Radio academy on https://tutorials.gnuradio.org .

Marcus Müller
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