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Effects DHCP Allow Vs Deny

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We recently upgraded our DHCP controller to a virtual Windows Server 2012R2 and have been experimenting with DHCP Deny lists. However, that requires monitoring for us, and with the number of users with our WiFi password(most should not) we need an a better method. 

My question is, does having an allow and deny list divide connections, forcing a user to be on one or the other before it can receive a DHCP address, or just before it can use the network? For example, would we have to manually enter every computer's MAC to allow it, or would it show up unassigned? Also, is there any detrimental overhead created by having an allow list for 700ish devices? 

Thank you,

Chad Anderson


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