In the blockchain, a node is a server that exchanges information with the entire network. Node is critical to maintaining security and maintaining consensus.
As more and more users join the cryptocurrency ecosystem, the number of nodes in a given blockchain network will increase, even if not every new user is running a node.
Nodes all run the same software and often involve sending or receiving large amounts of data. It controls the information and transactions transmitted on its networks.

How To Work Nodes ?

The goal of most blockchain networks is to achieve decentralization. Being decentralized requires taking control and enforcement of network rules from central organizations and forwarding them to a distributed node.
The task of these nodes is to ensure the availability and security of the protocol for all users.
Nodes’ job is to communicate and reach agreement on the state of their networks through a consensus mechanism that allows protocol rules to be enforced. The consensus mechanism in networks allows all participants to “reconcile” the process.
This means that everyone agrees which transactions are legitimate without relying on a central entity to control verification and security.
Not every user needs to run a node. But all nodes reach this consensus among themselves to protect the security of their users of the blockchain.

Consensus Algorithms

Consensus refers to the nodes that agree on the adherence to the operating rules of a network, a blockchain, so that everyone knows that the data stored in the blocks is correct and real.
The mechanism for nodes to reach such an agreement is the consensus algorithm.
Many networks run their own consensus algorithms. The original consensus algorithm used for Bitcoin is a proof-of-work algorithm.
Other blockchains created after Bitcoin use alternative types of algorithms such as proof of stake, delegated proof of stake, proof of space and time.

Cryptocurrency Node Types

There are various types of blockchain nodes that serve different functions depending on what kind of consensus algorithm the blockchain uses and what role the node operator serves in the network.
Let’s briefly talk about the main node types and their features.

  • Truncated or Light Node: A type of node that records only partial history of the network to save data storage space.
  • Full Node: A node that saves a copy of the entire transaction history of its network.
  • Mining Node: a node that proves the completion of the mining work required to create new blocks.
  • Master Node: A node that serves to verify and record transactions under networks with non-traditional consensus algorithms.

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