Dukascopy offers trading in currencies, Metals, CFD ETFs, CFD stocks, CFD Indices, CFD commodities and cryptocurrencies. Understanding the dynamics of the various options available makes trading them much easier.
This article looks at the blockchain technology, the bedrock on which all cryptocurrencies are established. Getting to understand this technology will aid in the trading of Bitcoin, and the other cryptocurrencies.
History of Blockchain
Before it was ever used in cryptocurrencies, it had humble beginnings as a concept in computer science, particularly, in the domains of cryptography and data structures. The Merkle tree is the earliest record of the blockchain technology which is a data structure that was patented by Ralph Merkle in 1979, and functioned by verifying and handling data between computer systems in a peer-to-peer network of computers, validating data was important to make sure nothing was altered or changed during transfer.
In 2008, Satoshi Nakamato conceptualized the distributed blockchain. It contains a secure history of data exchanges, utilize a peer-to-peer network to time stamp and verify each exchange, and could be mana…