What is a Node in Blockchain?

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Blockchain nodes serve as the backbone of decentralized networks, contributing to storage, verification, consensus, and synchronization of transactions. While nodes vary in roles, their collective effort ensures blockchain reliability and security. Data is distributed across the network, meaning even if a node goes offline, others continue processing transactions seamlessly.


Why Blockchain Nodes Matter

Core Functions:

How Nodes Collaborate:

  1. Storage & Verification: Some nodes store the full blockchain ledger and validate new transactions.
  2. Transaction Propagation: Nodes broadcast transactions to keep the network synchronized.
  3. Consensus Participation: Nodes engage in protocols (e.g., PPoS) to agree on ledger states.
  4. Network Maintenance: Nodes resolve discrepancies to ensure consistent blockchain views.

Types of Nodes on Algorand

Node TypeFunctionalityKey Detail
Relay NodesPropagate block data, ensure network sync, and check duplicates.~110 relay nodes exist (as of 2023). Supports large data loads.
Participation NodesValidate transactions and participate in consensus.Relies on relay nodes for updates; does not relay information.
Archival NodesStore the entire ledger (default for relay nodes).Non-archival participation nodes store only the last 1,000 blocks.

👉 Learn how to run your own Algorand node


Running a Node on Algorand

Steps to Set Up:

  1. Install Prerequisites: Python 3.10+, Docker, and Pipx.
  2. Choose Node Type: Relay (requires Foundation permission) or Participation.
  3. Configure: Use AlgoRun for one-click setup (experimental). Non-participation nodes can be upgraded later.

Note: Relay nodes must be archival; participation nodes should ideally be non-archival.


FAQ

1. What’s the difference between relay and participation nodes?

2. Can anyone run a relay node?

Yes, but permission from the Algorand Foundation is required.

3. How does PPoS work in Algorand?

Participants register stake without transferring funds, ensuring security and decentralization.

4. What’s the minimum hardware requirement for a node?

Refer to Algorand’s Developer Portal for specs.

👉 Explore Algorand’s network architecture


Key Takeaways

Further Reading:


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