Yes, dynette is what’s used for the server side. The code is hosted here : GitHub - YunoHost/dynette: YunoHost DynDNS Server and apparently the README shows a somewhat “decent” summary of how to deploy it.
It’s bind9
You mean in terms of hardware ? Dynette is deployed inside a LXC in parallel of many other services on our infrastructure, and the machine is something like a 8GB + quadcore server, but a 2GB + 1 CPU server (maybe less) would be quite enough for dynette alone as it doesn’t do much (modulo the number of requests you actually expect)
(Note that there is some magic redundancy with a slave bind9 server on another machine (ns1.yunohost.org, compared to ns0.yunohost.org being the master). Not sure how the slave configuration works…)
Of course all of this depends of what you really want to achieve. This whole nohost.me / noho.st story revolves around the fact that we want our users to have transparent, automatic DNS configuration without even having to worry about it or realize it exists, hence everything is automatic (but not easily manually tweakable)