Wallets and applications commonly use remote procedure call, or RPC, endpoints to ask a blockchain node for balances, transaction data, fee estimates, or contract results.
Convenience and dependency
A hosted RPC service saves users from running a node, but it can observe requests, become unavailable, filter responses, or return incomplete data.
Running a node provides more direct verification and privacy, while using several providers can improve resilience for applications.
RPC is the request layer between an app and a node
Wallets and applications use RPC methods to read balances, estimate fees, simulate calls, and submit signed transactions without bundling a full node.
A provider can affect privacy and availability
The provider sees requests and can be unavailable, delayed, or inconsistent. Multiple endpoints or a self-hosted node can reduce reliance on one service.
Sources
Educational information, not investment advice.