Blockchain & Cryptocurrency Glossary

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WebSocket API

4 min read
Pronunciation
[web-sok-it ey-pee-ahy]
Analogy
Imagine traditional HTTP communication like sending and receiving postcards. You send a postcard (request) to someone, then you wait, and eventually, they send a postcard back (response). Each piece of information requires a new set of postcards. A WebSocket API, in contrast, is like establishing a dedicated, open telephone line between you and the other person (the server). Once this line is connected, both you and the server can talk (send data) to each other instantly and at any time, without needing to hang up and redial (make new HTTP requests) for every new piece of information. The server can even 'call you back' (push data) with updates proactively whenever something new happens on their end.
Definition
A WebSocket Application Programming Interface (API) facilitates full-duplex, persistent, two-way communication channels over a single Transmission Control Protocol (TCP) connection established between a client (such as a web browser, mobile application, or desktop program) and a server. Unlike the traditional uni-directional, stateless HTTP request-response model, WebSockets enable the server to proactively push data to the client in real-time without the client needing to repeatedly poll the server for updates, making them highly suitable for applications requiring live data streams and low-latency interactions.
Key Points Intro
WebSocket APIs are a fundamental web technology crucial for applications that demand real-time, persistent, and bi-directional communication channels, and they are extensively used in the blockchain and cryptocurrency space for delivering live data feeds and interactive experiences.
Key Points

Establishes Persistent Connection: Maintains a single, long-lived TCP connection between the client and the server, reducing the overhead of repeatedly establishing new connections.

Enables Full-Duplex Bi-directional Communication: Allows both the client and the server to send data messages to each other independently and asynchronously at any time after the connection is established.

Facilitates Real-time Data Streaming: Enables servers to push updates, events, or new data directly to connected clients instantly, without waiting for a client request.

Reduces Latency and Network Overhead: Offers lower latency and less network overhead compared to traditional HTTP polling techniques for applications that require frequent and timely data updates.

Example
A popular cryptocurrency exchange utilizes a WebSocket API to deliver real-time updates of its order books, latest trades, and candlestick chart data directly to users' active trading interfaces in their web browsers. Once a user's browser establishes a WebSocket connection to the exchange's WebSocket server, the server can instantly push new trade data, price level changes in the order book, or account balance notifications directly to the browser. This allows the user to see live market activity and receive instant alerts without the browser needing to constantly refresh the page or send frequent HTTP requests to poll the server for new data.
Technical Deep Dive
The WebSocket protocol, standardized by the IETF as RFC 6455, initiates its connection via an HTTP-based handshake. The client sends an HTTP request with an `Upgrade: websocket` header. If the server supports WebSockets and agrees to upgrade, it responds with an HTTP 101 Switching Protocols status, and the underlying TCP connection is then repurposed for WebSocket communication. After this handshake, data is transmitted as 'frames,' which can carry UTF-8 text data or binary data. This full-duplex, message-based communication significantly reduces the latency and overhead associated with the traditional HTTP request-response model, particularly for applications that require frequent, small updates from the server or truly interactive bi-directional exchanges. In blockchain and cryptocurrency contexts, WebSocket APIs are commonly provided by: * **Cryptocurrency Exchanges (CEXs & DEXs with off-chain components)**: For streaming live market data (prices, order books, executed trades), user-specific notifications (e.g., order fills, balance updates), and other real-time trading information. * **Blockchain Nodes / RPC Endpoints**: Many blockchain clients (e.g., Geth for Ethereum, Solana nodes) offer WebSocket endpoints for their JSON-RPC APIs. This allows developers to subscribe to real-time on-chain events such as the arrival of new blocks, new pending transactions entering the mempool, specific smart contract event logs, or changes to wallet balances (e.g., using Ethereum's `eth_subscribe` method over WebSockets). * **Block Explorers and Data Analytics Platforms**: To provide users with live displays of transaction feeds, block confirmations, and other dynamic on-chain events. * **Decentralized Applications (DApps)**: For real-time features like live chat, multiplayer game state synchronization, or collaborative tools that interact with a backend or a blockchain. Numerous libraries and frameworks are available in various programming languages (e.g., `socket.io`, `ws` for Node.js/JavaScript; `websockets`, `aiohttp` for Python; `gorilla/websocket` for Go) to simplify the implementation of WebSocket clients and servers.
Security Warning
WebSocket connections, like any persistent network connection, must be secured to protect the data in transit. This is typically achieved using WebSockets Secure (WSS), which layers the WebSocket protocol over Transport Layer Security (TLS/SSL) encryption, similar to HTTPS. Unsecured WebSockets (WS) are vulnerable to man-in-the-middle (MitM) attacks, eavesdropping, and data tampering. Servers implementing WebSocket APIs must also implement robust authentication and authorization mechanisms to control access to specific WebSocket streams or functionalities, and to protect against denial-of-service (DoS) attacks (e.g., connection flooding) or unauthorized data access. Proper input validation for messages received over WebSockets is also crucial to prevent injection attacks or other vulnerabilities.
Caveat
While WebSockets are highly effective for real-time, bi-directional communication, maintaining a large number of active, persistent WebSocket connections can be more resource-intensive for servers compared to managing stateless HTTP requests. Firewalls, proxies, or some network intermediaries might occasionally interfere with WebSocket connections if they are not configured to permit the WebSocket protocol upgrade or long-lived connections. For data that changes very infrequently or where real-time updates are not critical, traditional HTTP request-response APIs might still be a more appropriate and resource-efficient choice.

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