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Should DNS server address of "127.0.0.1" be used when specifying same server as primary DNS server?

When adding the DNS server address of a server (and the server itself is a DNS server), is it preferable to add the IP address as "127.0.0.1" or should the server's actual IP address of 192.168.10.20 be used?

I have seen both types of IP addresses used and am wondering if there is an advantage of using one over the other or if there are any problems with using one IP address format over the other one.

This is in a Server 2016 environment.
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M A
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127.0.0.1 is better.
Your name resolution is happening within the server itself.
Make sense?

Do not forget to install additional domain controller and add that server IP as additional DNS in NIC.

Cheers
The transaction is so quick it really does not matter.
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The MS article cited above is recommending not to use either address first. The first DNS server should be some other device. For the effect described, it doesn't matter if you have used a real or loopback IP.
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Just an FYI, that document is 7 years old and it specifically talks about the LOOPBACK address. Nowhere does it say not to use the server's own IP address.  

You should apply the information in this topic only to computers that have had the DNS Microsoft Baseline Configuration Analyzer or DNS Best Practices Analyzer run against them and are experiencing the issue addressed by this topic.

I have worked with many Microsoft engineers in the past that say to remove the loopback address and use the actual IP address.  If you use an SBS server, for example, you must use your own address. Again the document is only discussing the loopback address and NOT the actual IP address.
Steve, did you understand the reaon why? Because the DNS service on the own machine might not be ready at the stage when the server tries to register services. For that, it doesn't matter if loopback or real IP at all.