The Merkle Tree and Cryptocurrencies

This first week introduces more technical concepts including how we look at the manner in which data blocks are assembled as well as how hash values and encryption are used to ensure the proper sequencing and integrity of data blocks that are added to a blockchain.

This week we will apply what we have learned up to this point about hash values and hash sequences. You will practice assembling block header hash values for a specified hash puzzle difficulty level.

Now that we have investigated hash functions and hash puzzles, we will focus on proof-of-work, which is an approach to modifying the blockchain that can be difficult and time-consuming to compute. We will also focus on proof-of-stake, an alternative to updating the blockchain in which larger nodes are modified that already represent a large portion of the blockchain. We will investigate the pros and cons of each approach and prepare to apply the principles of proof-of-work and proof-of-stake.