A node is an essential part of the blockchain. It’s an electronic device, mostly a computer, that monitors the network, validating transactions and securing them.

To understand this better, we must realize that a blockchain, a decentralized network, can’t keep data and transactions in one central storage space. The idea behind this technology is to store it without any central authority but to continue somehow to validate transactions. This is what a network of nodes does.

The blockchain’s infrastructure comprises nodes connected to one another, continually exchanging data. The nodes keep an updated database. Therefore, when a new block (transactions) is added to the chain, this data is broadcast across all nodes such that every single node is kept up to date.

However, it’s crucial to highlight that there are different types of nodes within a blockchain and all don’t perform the same functions.

Within a blockchain, the function of one node may differ from another. However, all nodes are generally assigned these primary functions: determining if a block of data should be accepted, saving and storing the data, and sending broadcasts from node to node across all nodes on the entire blockchain network.

● Transaction Validation

When a miner adds a new block of the transaction to the blockchain, because of decentralization, the job of confirming authenticity and whether or not to accept or reject it is carried out by nodes.

● Data Storage

After the new transaction has gone through the validation process under the blockchain’s consensus mechanism, the transaction is stored at the top of the other previously saved blocks. The transaction is then recorded on the ledger.

● Broadcast

Finally, the transaction history is shared and made available to nodes. It’s broadcast from one node to the other. This is why a blockchain network is also referred to as a peer-to-peer network; data is broadcast from one peer to another until it’s been shared around the entire blockchain network. This way, every node is updated with the most recent transaction history.

Nodes play a critical and functional role in blockchain networks; as a result, blockchains are commonly said to exist within nodes.

There are two primary types of nodes within a blockchain network; full and light nodes.

1. Full Nodes: As the name implies, full nodes download the full transaction history of the network from the first to the last block. They’re critical to completing transactions and providing security and support for the network as its backbone.

2. Light Nodes: Light nodes only stick to downloading essential data stored within a block header instead of downloading the full blockchain. As a result, they don’t consume as many resources and are primarily used for faster transactions.

There are many more types of nodes based on these two. These include pruned full nodes, archival full nodes, authority nodes, miner nodes, master nodes, etc.

However, not only are nodes classified according to functions but they can also be classified according to availability. This will be discussed in further detail in another article (attach a link to part 2 here).

New to trading? Try crypto trading bots or copy trading

A node is an essential part of the blockchain. It’s an electronic device, mostly a computer, that monitors the network, validating transactions and securing them.

To understand this better, we must realize that a blockchain, a decentralized network, can’t keep data and transactions in one central storage space. The idea behind this technology is to store it without any central authority but to continue somehow to validate transactions. This is what a network of nodes does.

The blockchain’s infrastructure comprises nodes connected to one another, continually exchanging data. The nodes keep an updated database. Therefore, when a new block (transactions) is added to the chain, this data is broadcast across all nodes such that every single node is kept up to date.

However, it’s crucial to highlight that there are different types of nodes within a blockchain and all don’t perform the same functions.

Within a blockchain, the function of one node may differ from another. However, all nodes are generally assigned these primary functions: determining if a block of data should be accepted, saving and storing the data, and sending broadcasts from node to node across all nodes on the entire blockchain network.

● Transaction Validation

When a miner adds a new block of the transaction to the blockchain, because of decentralization, the job of confirming authenticity and whether or not to accept or reject it is carried out by nodes.

● Data Storage

After the new transaction has gone through the validation process under the blockchain’s consensus mechanism, the transaction is stored at the top of the other previously saved blocks. The transaction is then recorded on the ledger.

● Broadcast

Finally, the transaction history is shared and made available to nodes. It’s broadcast from one node to the other. This is why a blockchain network is also referred to as a peer-to-peer network; data is broadcast from one peer to another until it’s been shared around the entire blockchain network. This way, every node is updated with the most recent transaction history.

Nodes play a critical and functional role in blockchain networks; as a result, blockchains are commonly said to exist within nodes.

There are two primary types of nodes within a blockchain network; full and light nodes.

1. Full Nodes: As the name implies, full nodes download the full transaction history of the network from the first to the last block. They’re critical to completing transactions and providing security and support for the network as its backbone.

2. Light Nodes: Light nodes only stick to downloading essential data stored within a block header instead of downloading the full blockchain. As a result, they don’t consume as many resources and are primarily used for faster transactions.

There are many more types of nodes based on these two. These include pruned full nodes, archival full nodes, authority nodes, miner nodes, master nodes, etc.

However, not only are nodes classified according to functions but they can also be classified according to availability. This will be discussed in further detail in another article (attach a link to part 2 here).

New to trading? Try crypto trading bots or copy trading