I will soon be in the process of switching my hosting from GoDaddy to an unmanaged, VPS host. I will be running a nameserver on that host for my website as well as a few others that I will soon be hosting. Currently, I am using GoDaddy's name servers for my domain/hosting with them. I see several DNS records on GoDaddy (2 A records, several CNAME, a few MX as well as a text record). From what I understand, once I change the nameservers on that domain to MY nameservers, the records that exist on GoDaddy will be meaningless. Is that correct?
I understand that these records live on the nameserver however I have read that GoDaddy uses DDNS and I do not fully understand that so I am not sure if there are any differences between that and the traditional DNS system.
If you change the nameservers to "ns1/ns2.somethingelse.com", then the DNS for your domain will be hosted by "ns1/ns2.somethinglese.com".
So if you are going to be managing the "ns1/ns2.somethingelse.com" and you are asking this kind of question... then you might want to rethink things and maybe *not* host your own nameservers (and DNS).
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Unmanaged VPS? better keep the DNS with GoDaddy or else once the DNS server on your VPS is down, all your services will be affected. If it's a managed one, you can consider having your own DNS and you can change the nameservers to the ones you wish.