Dedicated Nodes v Shared Nodes: The Best Option for Extra Layer of Security and Scalability
Whether you are building decentralized applications or intend to join the Proof-of-Stake ecosystem as a validator, you need reliable blockchain nodes to interact with any blockchain network. While the function of nodes is crystal clear, what is usually challenging is determining the best option among the different types of nodes - self-hosted, shared, and dedicated nodes - for your blockchain-based operations.
For instance, you may consider opting for a self-hosted node for enhanced security, complete control, and faster throughput, but you may also have to consider the cost of running self-hosted blockchain node and complex technical knowledge required. This makes running a self-hosted node a less viable option for small projects and individuals. Alternatively, you can choose to work with node service providers like Chainnodes where you get to choose between shared nodes or dedicated nodes after a meticulous consideration of system configuration and operation needs.
In our previous articles, we exhaustively examine the concept of Nodes and discuss the trends and innovations in blockchain nodes. In this article, we will be walking through some of the reasons you should opt for dedicated nodes from Chainnodes for efficient and secured blockchain interaction,
What is a Dedicated Node, and how does it differ from public or shared nodes?
A dedicated node is a node architecture or server that is essentially deployed for a single user or entity. It ultimately grants exclusive access to the blockchain, ensuring that only the user is interacting with the blockchain through it. This is vital for enhanced security and scalable experience. In contrast, public or shared nodes imply sharing the communication or interaction channel with other users.
Significantly, a shared node is not the same as a public node. While using a shared node means that you are using the same system with other users, a shared node usually has a lower number of users on it compared to a public node and, therefore, comes with lower latency when compared to a public node.
Use cases
While a dedicated node is considered more expensive – often costs twice the price of shared nodes – it remains the most viable option for scalable and reliable blockchain interaction. Opting for a shared or public node is preferable when dApps is on testnet or when you are working on a yet-to-launch individual project, but for projects or decentralized applications with growing traffic and high-volume traders leveraging dedicated nodes for required security, scalability, and enhanced users’ experience cannot be overestimated.
- Decentralized Application (dApp) or Decentralized Exchange (DEX): A decentralized application or exchange provides on-chain and cross-chain transactions like staking, trading, lending, and real-time liquidity tracking. A typical dApp or dex setup requires the front-end interface for user interaction, the backend for programming and system management, and the node layer for app interaction with blockchain. dApps and dexes use blockchain nodes to access and retrieve blockchain data, send transactions to the blockchain, execute trades, and validate transactions. Hence, the type of node opted can directly impact app or exchange efficiency and determine its ubiquity among market users.
Join etherfi, Thales, Oku-trades on Chainnodes by leveraging reliable, dedicated nodes to boost your dApp’s performance with lower gas fees, enhanced interoperability, real-time liquidity tracking, and reduced slippage. - High-Volume Traders: For high-frequency traders, speed and security are two crucial features to consider when choosing a blockchain node. Interacting swiftly and securely with blockchains can determine a whole lot of things, from profits to slippage rates.
High-frequency traders can leverage dedicated nodes for security. For instance, dedicated nodes allow traders to customize trading strategies, eg limit order ,or trading conditions that can be used to protect transactions from MEV attacks. Increased trading speed ensures that traders can maximize profit on arbitrage while also preventing transaction delay or failures in regular trades. - Validators: While validators are an integral part of the Proof-of-Stake or Proof-of-Staked Authority ecosystem, this role comes with metrics to determine earned reward or penalty. Validators are required to verify transactions, create a new block, and update blockchain data using reliable and consistent Nodes to prevent system downtime, facilitate swift transaction validation and finality and ensure blockchain security.
Conclusion: Where can I get Dedicated Nodes for Blockchain Performance Optimization?
Getting your dedicated nodes from Chainnodes is the best option for extra security, enhanced blockchain scalability and zero system downtime. With an easy-to-use interface and swift account creation process, Chainnodes ensures that you have a smooth onboarding process for technical and non-technical users into any blockchain ecosystem.