Ethereum has long been more than just a cryptocurrency: it is a leading smart contract platform and a giant ecosystem of scaling solutions and decentralized applications. In light of this, it’s hardly surprising that node service providers like GetBlock register a keen interest in eth nodes specifically.
In this installment, let’s break down how crypto nodes work in general and how one can benefit from running an Ethereum node or using infrastructure providers to get access to them.
Introduction to crypto nodes
Blockchain gives the ability to transfer value and data safely and securely. The main work behind this process is enabled by nodes — computers that communicate back and forth in order to verify transactions and update their common database.
Technically, a node is a combination of hardware and a client that activates the communication protocol with other devices connected to the network. ETH node, for example, is usually a powerful computer with at least a quad-core processor and the fastest storage running one of the CLI clients – Geth, Erigon, or Besu being the most popular options – in addition to a consensus client.
When a transaction is initiated on the blockchain, all nodes get notified and set to verify the transfer. If the operation follows the pre-defined rules and is approved by the majority of computers, it is permanently added to a block. Ultimately, all the active participants of the network receive a record of the new transaction and keep it locally stored.
Deeper dive into Ethereum nodes
ETH nodes respond to smart contract calls, create an immutable record of the whole network activity, and secure the chain by verifying transactions. The network comprises different types of nodes divided into groups according to their specializations.
Full
Full crypto nodes are actively participating in any tasks assigned by Ethereum. They are required to store each transaction record and update the state of the chain and, therefore, can independently validate the correctness of incoming operations without relying on any other entity.
Additionally, when a new computer joins the network, it addresses one of these to download the whole database, which usually takes about a week.
Archive
The main assignment of these clients is to provide full and accurate information about each block and every transaction, starting from the very first one. The full node operators may choose to ‘prune’ older records as they’re urged to store only the latest 128 blocks. For this instance, Ethereum keeps archives on separate servers to provide the complete information upon request.
This type of ETH node is not the most popular since it gets expensive to maintain and benefits mainly blockchain researchers and block explorer developers.
Light clients
With only 400 megabytes of storage capacity, light Ethereum clients are designed to discontinuously interact with the network to retrieve some data. The main disadvantage of these devices is that they are slower since they still need to connect to full nodes to obtain actual data.
These ones are easier to run but are ineffective for use cases that require uninterrupted interactions with the blockchain.
Each of the above is valuable and applicable to various use cases.
What are the incentives for running a full ETH node?
Apart from contributing to the decentralization of the blockchain, there are far more benefits to running Ethereum on your computer.
- Devices with validator software installed allow earning interest for helping to produce new blocks for the network. This enterprise, however, requires significant investment, at least 32 ETH to stake, and full commitment;
- Regular users may want to rely on their own servers when submitting ETH transactions to the network to ensure maximum security and availability;
- Traders often need to extract certain types of data directly from the blockchain to stay ahead of competitors and make informed decisions;
- Web3 developers will absolutely have to connect their applications to a node as dApps cannot provide interactability with Ethereum without having an entry point to the blockchain.
Nevertheless, taking responsibility for running a node comes with maintenance costs and requires certain expertise so the pros and cons should be weighed accordingly.
Closing notes
Setting up a crypto node is far from easy and accessible, and yet it has its undeniable perks benefiting the blockchain community from regular cryptocurrency users to dApp developers.
On the positive side, RPC node providers enable reaping the same perks of blockchain technology without maintaining separate servers. GetBlock, one of these services, authorizes access to 50+ blockchains in testnet and mainnet via APIs ready-made to be integrated into any application. Free packages will guarantee an easy start whether you’re a crypto enthusiast or a newcomer.
