What Is a Proxy Server? How It Works and What It's For

A proxy server relays your requests so websites see its IP instead of yours. How it works, proxy server vs proxy IP, proxy vs VPN, and common uses.

GuidesPublished Oct 25, 20268 min read

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A proxy server is a server that sits between your device and the websites you visit. Your app sends each request to the proxy, the proxy fetches the page from its own IP address, and then passes the result back to you. The website sees the proxy's IP and location instead of yours. Businesses use proxies to run several accounts from separate IPs, see websites as they appear in other countries, collect public data and check ads.

Without a proxy, your device sends requests straight to the website, which sees your own IP and city. With a proxy, the request goes to the proxy server first, the proxy visits the site from its exit IP in the US, and passes the response back, so the site sees the proxy's exit IP
Without a proxy the site sees your IP; with one, it sees the proxy's exit IP.

How a proxy server works

A request through a proxy takes four steps:

  1. Your browser or tool sends the request to the proxy server instead of the website.
  2. The proxy server visits the website from its own exit IP.
  3. The website sends its response to the proxy.
  4. The proxy passes the response back to your device.

Two details are easy to miss:

  • Only apps you configure use the proxy. Setting a proxy in one browser profile changes nothing for the other apps on your computer, which keep using your own connection.
  • On HTTPS sites, the proxy cannot see the page. For an encrypted site, the proxy only builds a tunnel to it. It knows which domain you connect to and how much data passes, but not what is inside the tunnel.

Which protocols a proxy speaks, HTTP, HTTPS or SOCKS5, and whether it carries UDP, are covered in proxy basics and in SOCKS5 vs HTTP proxies.

Proxy server vs proxy IP

The two terms are often used as one, but they are different things. The proxy server is the address you connect to: the host and port you enter in your tool. The proxy IP, or exit IP, is the address the website sees. Static and dynamic proxies differ exactly here:

A static ISP proxy has its own host and port per IP in your order, with no gateway, so the website sees your fixed exit IP. Residential and mobile proxies all connect to the HTTPS gateway gateway.nanoip.net:1111, which assigns an exit IP from a pool, so the website sees the assigned exit IP
A static proxy connects each IP on its own; a dynamic proxy connects to a gateway that assigns the exit IP.

Static ISP proxies: one set of details per IP

Static ISP proxies do not use a gateway. Each IP in your order has its own host, port, username and password, supports HTTP(S) and SOCKS5, and keeps the same exit IP for the whole plan. In the NanoIP dashboard's ISP Proxies list, each row is one fixed IP with its connection details, country, status, days left and an auto-renew switch. See ISP proxies.

NanoIP dashboard ISP Proxies list with totals for all, active, expiring soon and expired proxies, and one row per proxy showing its country, status and days left, notes and an auto-renew switch
The ISP Proxies list: one row per fixed IP, with its country, status and days left.

Residential and mobile proxies: one gateway for every connection

Every connection goes over HTTPS to the same gateway, https://gateway.nanoip.net:1111. The gateway picks an exit IP from the pool according to the country and session type you chose, so the address you enter never changes while the IP the website sees can rotate. See residential proxies.

You generate these connection details on the dashboard's Dynamic Routes page: choose the proxy account, the proxy type, the country and the session type (for example Sticky - 30 min), set the quantity and click Generate. The details appear under Results in formats such as host:port:username:password, ready to copy or download. The guide to rotating vs sticky sessions explains the session types.

NanoIP dashboard Dynamic Routes page with fields for proxy account Main, proxy type Residential, country Random Country, session type Sticky - 30 min and quantity, and the Results and Account panels below
The Dynamic Routes page: choose the proxy type, country and session type, then generate. Without a traffic package, the button reads Buy Traffic.

Forward, reverse and transparent proxies

TypeWorks forSet up byExamples
Forward proxyThe userThe user, in a browser or toolProxies from proxy providers, company web proxies
Reverse proxyThe websiteThe site operator, in front of its serversLoad balancers, CDN edge servers
Transparent proxyThe network ownerAn administrator, on the network gateway, with nothing to configureContent filtering and caching on company or school networks

The proxy servers that providers sell, and the ones this article is about, are forward proxies.

Proxy server vs VPN

On one computer, a proxy sends browser profile A through a US IP and profile B through a UK IP while other apps connect directly; a VPN usually sends the browser, a chat app and other apps all through the same VPN exit
A proxy can give each browser profile its own exit IP; a VPN usually gives the whole device one exit.
Proxy serverVPN
ScopeThe apps or browser profiles you configureUsually the whole device
Exit IPA different proxy per browser profile if you wantUsually one exit at a time
EncryptionHTTPS sites are encrypted anyway; NanoIP's residential and mobile gateway also encrypts the connection between you and the gatewayAll traffic between the device and the VPN server goes through an encrypted tunnel
Typical useAccount environments, viewing other regions, data collectionReaching a company network, protecting traffic on public Wi-Fi

A simple rule: to give each account or browser profile its own IP, use proxies; to protect all of a device's traffic, use a VPN.

What proxy servers are used for

UseWhy a proxyUsual type
Account and store managementEach account keeps its own fixed network environment over timeStatic ISP
Ad verificationSee whether ads show and link correctly in each target regionResidential or mobile
SEO rank trackingSee the search results that users in a region getResidential
Price monitoring and market researchCheck prices, stock and promotions by regionResidential, rotating
Public data collectionSpread many requests across IPs and locationsResidential, rotating
Website and app testing by regionCheck pages, languages and features in each countryResidential or mobile

To choose between the types, see mobile vs residential proxies and the guide to choosing ISP proxies.

From getting a proxy to checking it works, with NanoIP

The connection details from the dashboard are one line of text. Split it at the colons and you have the four fields your tool's proxy settings ask for:

The line gateway.nanoip.net:1111:username:password split at the colons into host, port, username and password, each entered in the matching field of a tool's proxy settings, with the protocol set to HTTPS
Split the line at the colons and enter each part in its field.
  1. Get the proxy details. Sign in to the proxy platform. Static ISP proxies are in the ISP Proxies list; residential and mobile connections are generated in Dynamic Routes, as shown above.
  2. Enter them in your tool. In the proxy settings of your browser, fingerprint browser or script, choose the protocol (HTTPS for residential and mobile; HTTP(S) or SOCKS5 for ISP), then enter the host, port, username and password.
  3. Check it works. In the configured browser or tool, open an IP lookup site and check that the IP and country match what you chose, then open the website you work with.

The getting started guide shows a command-line test and the most common setup mistakes.

Three common misconceptions

"A proxy makes me anonymous"

A proxy changes only where your traffic comes from. Websites can still recognize the same user by their login, cookies and browser, and the proxy provider can see which sites you connect to. A proxy answers "where is this request from", not "who is this".

"Once I set a proxy, all my traffic uses it"

Only configured apps use the proxy. UDP is another gap: HTTP proxies carry only TCP, so a browser's HTTP/3, WebRTC and other UDP traffic may go straight out over your own connection. For UDP you need SOCKS5 with UDP support, which NanoIP ISP proxies offer; see what a UDP proxy is.

"More IPs are always better"

It depends on the work. For accounts, what matters is that each account keeps the same IP for a long time; switching often tends to trigger extra verification. Only for collecting public data do you need many rotating IPs. Decide the type of work, the target region and how long you need each IP before choosing a proxy type and quantity.

Frequently asked questions

Is it safe to use a proxy server?

That depends on the provider and on how you use it. On HTTPS sites the proxy cannot read the page content. Choose an established provider, keep your proxy username and password to yourself, and use proxies only for lawful purposes; NanoIP's usage policy prohibits abuse.

What do I enter as the proxy server address?

Usually five things: protocol, host, port, username and password. For NanoIP residential and mobile proxies, choose HTTPS, enter gateway.nanoip.net as the host and 1111 as the port. Static ISP proxies skip the gateway: enter each IP's own host and port, with HTTP(S) or SOCKS5. NanoIP uses username and password authentication only, so there is no IP whitelist to set up.

How do I know the proxy is working?

Open an IP lookup site in the configured browser or tool and check that the IP and country match what you chose. If they do not, check the host, port, username, password and protocol. A 407 error means the login was refused; see how to fix proxy error 407.

Written by NanoIP Team · Proxy infrastructure and customer support team

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