Squid as a Transparent Proxy on pfSense

Proxy servers can be very useful for improving the speed of an internet connection by caching, logging internet usage, or filtering the traffic. The proxy server will store local copies of HTML pages, images, and other files in its cache.

Caching proxy servers can greatly improve the internet performance of corporate networks where many users may be requesting similar pages.

Transparent proxys route the clients traffic through the proxy server automatically, unlike traditional proxys which require configuration changes on the client systems.

Following is how to install popular proxy server application squid as a transparent proxy.