# Shared Infrastructure and Storage
To facilitate communication between the various microservices, Teranode relies on a **shared infrastructure** that utilizes proven technologies for data storage and management. The system employs a combination of **network file storage** and **cloud-based solutions**, such as **Amazon S3 (Simple Storage Service)**, to handle the vast amounts of data generated by high transaction volumes.
The architecture includes:
* **Merkle Subtrees**: A hierarchical structure that allows for efficient proof generation for large blocks, enhancing the verification process.
* **PostgreSQL Database**: Used to track block headers and metadata, ensuring that the system maintains a comprehensive record of all transactions and their statuses.
By leveraging established technologies, Teranode **minimizes complexity while maximizing performance**, allowing it to efficiently process transactions at scale.
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