Where Streams are stored

Question

When we create stream, is it added to block or it will be stored in nodes local memory?

Answer 1

Creating streams, writing to streams and modifying stream permissions are all events which occur within transactions on the blockchain itself. When a node subscribes to a chain, or reads its content, this is not an event which takes place on the blockchain.

Comments

So when a node subscribes to a chain, how is this recorded? Is it by means of a key exchange?

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Subscribing to a stream is not an on-chain event. It means that a node is interested in the content of a stream and is indexing it in many ways for retrieval.