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Author Topic: Do I need bitcoind for a Bitcoin involved webservice?  (Read 1293 times)
Kazimir
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May 14, 2013, 10:44:47 AM
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I want to create a website which does Bitcoin transactions, i.e. generating new addresses, receiving payments (that is, checking the balance of address) and signing + sending transactions.

Do I need to run bitcoind for this on my webserver? Or could I also just use scripts, such as bitaddress.org for generating addresses (but a server side variant, e.g. PHP) and similar for the other required tasks?

If I do indeed need bitcoind, do I understand correctly that I'd typically need a VPS or dedicated server for this, as hosting Bitcoin related stuff on a shared server is probably a bad idea, security-wise? (Besides, I guess most shared hosting won't even allow installing or running custom daemons like bitcoind)

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flibbr
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May 14, 2013, 10:54:38 AM
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You don't need bitcoind.. you can use blockchain.info api if you want..

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Aleksei Richards
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May 14, 2013, 11:10:53 AM
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Have a look at the code for carbonwallet, no server at all and does all the things you are looking to do.

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May 14, 2013, 11:37:18 AM
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I want to create a website which does Bitcoin transactions, i.e. generating new addresses, receiving payments (that is, checking the balance of address) and signing + sending transactions.

Do I need to run bitcoind for this on my webserver? Or could I also just use scripts, such as bitaddress.org for generating addresses (but a server side variant, e.g. PHP) and similar for the other required tasks?

If I do indeed need bitcoind, do I understand correctly that I'd typically need a VPS or dedicated server for this, as hosting Bitcoin related stuff on a shared server is probably a bad idea, security-wise? (Besides, I guess most shared hosting won't even allow installing or running custom daemons like bitcoind)

it's all a matter of how much manpower and tx volume you have: if your tx volume is low, you can surely use an api for a service and it will work fine. in the case that the tx volume is high, you will likely see a benefit from having a local bitcoind, e.g. latency will be less likely to affect whether a given tx makes it into the current block. having a local bitcoind also gives more visibility into the tx submission process and allows you to rule out issues with someone else's software/site if problems arise.

you should not even consider running any service that creates tx on a VPS. if you are handling wallets and creating tx, you are likely handling the private keys for addresses and those could be stolen by someone who owns your VPS.

Kazimir
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May 14, 2013, 01:11:01 PM
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Thanks for the feedback. I understand the difference between using an API (like blockchain.info or carbonwallet) and running bitcoind myself. I don't expect a huge volume so I will consider what is easiest in my situation to start with.

you should not even consider running any service that creates tx on a VPS. if you are handling wallets and creating tx, you are likely handling the private keys for addresses and those could be stolen by someone who owns your VPS.
Yes, agreed. Then again, wouldn't the same be true for a dedicated server? (unless I'm hosting it myself, in my own basement)

Also, when using blockchain.info API to generate new addresses, essentially I still take a risk that they secretly store my private key, right? (not that I expect them to, I trust blockchain.info, but of course it's always better if you don't need trust)

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johnblaze
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May 14, 2013, 02:52:49 PM
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carbon wallet looks very interesting
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July 31, 2013, 02:25:45 AM
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I was also looking for a solution to this. Could someone point me about how to set it up on a vps or maybe my own server?

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