I am learning about ethereum-based crypto exchanges, and I tend to 'scratch my head' often.
Does a crypto exchange website need to run its ethereum node? (Is it necessary for the ethereum server to sync all the blocks?)
or a crypto exchange has to store all ethereum network data and run an ethereum node, because that's how it interacts with EVM (facilitates transactions with the external accounts/wallets) (is it so?)
I received some ambiguous replies like 'No, exchange transactions happen inside the exchange. But only when it sends transactions outside of transactions'.
Does it still mean a crypto exchange need to sync all network data? (let's say, an ethereum server (of a crypto exchange) is deployed on cloud, and if i sync all network data to that ethereum server, it is going to get expensive to maintain that server?
That ethereum server is used for mere communication with other EVM when an external transaction happens right?
I am sorry, if my question sounds dumb. I am still learning