# What is `phoenixd`?

`phoenixd` is a minimal, specialized Lightning node designed for sending and receiving Lightning payments.

`phoenixd` uses the same software as the popular [Phoenix Wallet](/), but:
- runs on a server instead of a mobile device
- offers an [http API](/server/api) instead of a GUI
- has fully automated liquidity management to facilitate receive-heavy use cases like merchants, crowdfunding, etc.

`phoenixd` makes it very easy to develop any application that needs to interact with Lightning, by abstracting away all the complexity, without compromising on self-custody.

# Who is it for?

`phoenixd` is designed for developers/businesses who want to build on Lightning with minimum hassle and maximum reliability, without compromising on self-custody.

You can get ready in seconds, with absolutely zero configuration, no channel management, no peer management, no liquidity management, no firewall configuration.

# What is the difference between `phoenixd` and `eclair`?

`eclair` is a highly scalable, general-purpose Lightning node designed for routing and managing a huge number of channels.

`phoenixd` is a minimal, specialized Lightning node designed for sending and receiving payments.

# What are the fees?

See [the Phoenix Wallet FAQ](/faq#what-are-the-fees).

# Is `phoenixd` self-custodial?

Yes. When started for the first time, `phoenixd` will generate a 12-words recovery phrase (a.k.a seed). This recovery phrase is stored in `~/.phoenix/seed.dat`.

**You must backup this seed**. It gives access to your funds and must be kept safe and secret. Only you know this seed. Do not share it with anyone. The developers of Phoenix will never ask for this seed.

# Can I share the same seed between several instances of Phoenix?

No, **the seed must NOT be shared between different instances of Phoenix** (`phoenixd` or Phoenix Wallet).

Reusing the seed will lead to connection issues, payment failures, and potentially channel force closes.

# How does automated liquidity work?

See [Auto Liquidity](/server/auto-liquidity).

# My question is not listed here

See [the Phoenix Wallet FAQ](/faq).