What is Node? Everything you need to know about nodes in Blockchain
A node is a point that helps store, transmit, and maintain blockchain data, so theoretically, a blockchain exists on nodes.
Blockchain is considered an advanced and unique technology that brings a lot of potential through various products. When talking about blockchain, it's a concept not everyone fully understands, including related terminology.
One of the crucial concepts in the blockchain network is the 'node.' What is a node, and what is its role in the blockchain system?
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1. What is a node?
A node is a point that helps store, transmit, and maintain blockchain data, so theoretically, a blockchain exists on nodes. The core of Blockchain relies on the principles of a Peer-to-Peer (P2P) network. In most networks, there is no central server, but rather a consensus among nodes.
A node in a blockchain network is a computer or device connected to the network that participates in the process of verifying and recording transactions on the blockchain. They play a crucial role in maintaining the system's security and decentralization. Nodes are fundamental components of the blockchain network, ensuring the reliability and security of transactions conducted on this platform.
This helps make blockchain a trustworthy technology with significant potential for the future.
2. How nodes operate in Blockchain
Nodes in a blockchain perform a variety of different tasks to ensure the overall network operates efficiently. In practice, when a new block is created and added to the blockchain by a validator, this information is transmitted to some or all of the nodes, depending on the consensus algorithm that each blockchain uses.
At this point, the node's task is to verify whether the transactions within a block are valid or not, and accordingly, it may accept or reject the block. Once a node completes the verification and accepts new transactions, it stores the block atop the remaining blocks in the network.
Furthermore, nodes will provide comprehensive information about the transaction history to many other nodes for the purpose of synchronizing the entire blockchain (also known as updating the transaction history).
3. The role of nodes in blockchain
Nodes are primarily created with the main goal of ensuring the exchange and maintaining the reliability of data stored on the blockchain. Therefore, the role of nodes is to support the network by creating and operating copies of the blockchain. In some cases, nodes are even used to process additional transactions.
For individual nodes within the blockchain network, they typically have larger data structures than usual. Additionally, when validators or owners of these nodes voluntarily contribute certain resources to enhance data storage and verification capabilities, they have the opportunity to earn transaction fees on the network. Moreover, these individuals may also receive attractive token rewards. This process is commonly referred to as 'mining'.
However, executing transactions on the network demands miners to process large-scale data with high computational power. This requires them to invest in nodes with substantial CPU (Central Processing Unit) or GPU (Graphics Processing Unit) equipment to ensure the storage and verification of all transactions on the blockchain and earn rewards for their efforts.
Furthermore, in blockchains with many full nodes, the ability to recover data in case of unfortunate events is higher. This means that these nodes not only verify or process many transactions but also contribute to restoring data on the network in the event of system failures.
4. Classification of nodes in blockchain
Every blockchain has various types of nodes depending on their consensus methods. There are many ways to classify nodes based on their availability, node functionality, or blockchain requirements.
However, the most common and widely used classification is based on blockchain requirements. Nodes are typically divided into two main types:
Full nodes
Lightweight nodes
4.1. Full Node
A full node operates as a server in a decentralized network. Its main tasks include maintaining consensus among other nodes and verifying transactions.
It also stores a copy of the blockchain, making it more secure and enabling advanced functions such as voting rights for proposals within the network. Some key characteristics of a full node include:
Stores the complete blockchain data.
Participates in block validation, verifying all blocks and states.
All states can be derived from a full node.
Provides data on request to b.
4.2. Lightweight nodes
Another type of node used in daily cryptocurrency operations is Lightweight nodes, or Simple Payment Verification (SPV) nodes.
These types of nodes interact with the blockchain while relying on full nodes to provide them with necessary information. Because they do not store a copy of the entire blockchain, they only query the current state to process transactions.
Operating Lightweight nodes does not require significant resources, but it sacrifices security for the sake of convenience.
5. Who can operate a blockchain node?
In theory, anyone can operate a blockchain node, but depending on the consensus algorithm of that blockchain, there may be certain requirements.
However, for blockchains like BNB Chain, Okexchain, HECO, they use the Proof of Authority (PoA) consensus algorithm, a reputation-based consensus algorithm. This means that anyone can run a node, but to validate for PoA chains, you must truly be a reputable figure within that community, which is not suitable for the majority of ordinary users.
Or with blockchains using the Delegated Proof of Stake (DPoS) consensus algorithm, this is an algorithm based on the amount of tokens a user holds, in other words, only the 'top holders' have the right to run nodes for these blockchains, which is also not suitable for the majority of ordinary users.
Additionally, there are more permissionless blockchains with significantly lower entry barriers, such as Ethereum. Ethereum encourages users to run their own nodes to enable them to use Ethereum reliably and privately, while still supporting the ecosystem.
Some benefits of running your own Ethereum full node:
Your node self-verifies all transactions according to the consensus rules. This means you don't have to rely on any other nodes in the network or fully trust them.
You won't leak your wallet addresses and balances to random nodes.
Your DApp can be safer and more private when using your own node.
You can program your own custom RPC endpoints.
Some benefits to the Ethereum Network:
A diverse set of nodes is crucial for Ethereum's security and resilience.
Full nodes provide access to blockchain data for lightweight nodes that depend on them.
In reality, operating a node is considered relatively straightforward for those with basic knowledge of blockchain technology. Additionally, this process doesn't consume too many resources if you want to create lightweight nodes. However, there are still some blockchains with a large volume of transaction data, which require node-running devices to have substantial storage capacity to meet these demands.
6. Closing thoughts
A node plays a crucial role in every blockchain by facilitating the operation, storage, and verification of transactions on the network. There are various types of nodes, each performing a variety of tasks to ensure the security, safety, and efficiency of the blockchain. Importantly, anyone can create their own node.
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