Starting from state 0 H goes to state 1, then H goes to state 3; however, from state 3 only T goes to one of the six termination states while H goes back to state 1 to form an infinite loop. We can see how this is a hybrid of DTMCs and nondeterministic state machines: if each transition only has a single fork with probability 1, the MDP reduces to our basic nondeterministic state machine; if each state only has a single outgoing transition with some associated probabilities, the MDP reduces to a DTMC. Starting from state 0 H goes to state 1, then H goes to state 3; however, from state 3 only T goes to one of the six termination states while H goes back to state 1 to form an infinite loop.