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SkyDock[0] is another alternative. It uses SkyDNS. It is a little more setup, but it has a few additional features. crosbymichael is a sharp guy.

[0]: https://github.com/crosbymichael/skydock

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One shortcoming of the OP's approach is the out-of-band process for updating dnsmasq's hosts file. If you want to use something like fig to start a cluster of containers, you still have to wrap a script around the fig command to update the hosts file. I wonder how hard it would be to modify SkyDock to update dnsmasq (update the hosts file and then kill -HUP dnsmasq).

OP here, the post is only a simple trick that may be of some use to some people.

Eventually we merged that logic in an in-house app we built back in the days when the containers orchestration tools were still "rare", if i recall https://github.com/toscanini/maestro had just launched but wasn't really usable yet...

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