Blockchain: What are nodes and masternodes?

Nodes and masternodes are an increasingly discussed subject in blockchain lately. And rightfully so, because nodes are a critical component of a blockchain’s infrastructure. Without nodes, a blockchain’s data would not be accessible. You could say that nodes are the blockchain.

The internet connects billions of nodes with each other across large varieties of networks.

Infrastructure

A blockchain exists out of blocks of data. These blocks of data are stored on nodes (compare it to small servers). Nodes can be any kind of device (mostly computers, laptops or even bigger servers). Nodes form the infrastructure of a blockchain. All nodes on a blockchain are connected to each other and they constantly exchange the latest blockchain data with each other so all nodes stay up to date. They store, spread and preserve the blockchain data, so theoretically a blockchain exists on nodes. A full node is basically a device (like a computer) that contains a full copy of the transaction history of the blockchain.

7 nodes (servers/computers), all connected to each other, running a blockchain together.

What do nodes do?

When a miner attempts to add a new block of transactions to the blockchain, it broadcasts the block to all the nodes on the network. Based on the block’s legitimacy (validity of…