Public vs. Private Network, Shared Or Dedicated Nodes: How To Choose Wisely


Public vs. private network, shared or dedicated nodes:

The what and the why

When making your decision(s) on what protocol and node hosting subscription to purchase, the first thing you’ll find is that you have a choice. While a choice is always great to have, and one of the best things Blockdaemon has to offer, it’s essential that you understand the ramifications of your decision before taking that first step.


Choose wisely...

At Blockdaemon your key choices are largely based on what it is exactly you wish to do with the node, and are you an individual, independent party or business concern (which have different requirements in use and deployment). 

So let's break it down:

Choice #1  public or private network:


Joining a public blockchain

Allows you to spin up a single node to an existing public blockchain network such as Bitcoin, Ethereum, Aion, Stellar, GoChain, etc…

So… are you planning on sending and receiving currency via Bitcoin? Ethereum? Doing transactions or developing Dapps on Aion, Stellar, GoChain?  Of course keep in mind that you can, over time launch multiple nodes for different purposes. But if this is your first node give it a bit of thought before this first step.*

Starting a Private chain

Gets you a wholly private blockchain network that is entirely of your design and under your control, and is not accessible to anyone except who you choose to allow access, which you can use as you wish for dApps and Smart Contract development, and invite others and manage access as you see fit.

So the first choice is all about transacting on a public or private network. That’s pretty straightforward.

Choice #2  shared or dedicated node:

But then you get choice number two, the node you spin up. Will you need a shared node or a dedicated node?

For the Public networks, in general, you have a choice between a shared node - hosted by Blockdaemon (less expensive, since it is shared) and a dedicated node hosted by AWS or GCS**. You are given a choice between that shared, Blockdaemon hosting or AWS or GCL depending on the protocol. Don’t worry, it’s not as complicated as it sounds.

** Amazon Web Service, Google Cloud Service

What is the difference between Shared and Dedicated nodes?

Let’s map out the choices:

Shared node. A Blockdaemon shared node is the quick and easy, inexpensive way to be up and on the network and trading crypto in just a few clicks. It’s of course, completely secure, you’re just sharing separate slots in the same tunnel so overall hosting costs are kept down, which we turn around and share with you.


Dedicated Node:

Dedicated nodes for protocols* allow for the privacy and additional security of your own server on Amazon Web services or GCS

*Stellar shown in this screenshot


Once again, Choosing a shared BD node can save you some cash, and for some protocols we also give you a free trial period, to make certain that you’re happy and truly sure about your choice.


Private blockchains.

For the Ethereum private blockchain, there is no Blockdaemon choice, only AWS or GCS


So there you have it, choices based on use (public or private network) and on the type of security and control you desire (shared or dedicated nodes).

What is the difference between Shared and dedicated nodes?


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