Explain the Concept of “Data Immutability” on a Blockchain

Data immutability means that once a piece of data (like a transaction or an oracle price update) has been recorded on the blockchain and confirmed, it cannot be altered or deleted. This is enforced by cryptographic hashing and the distributed nature of the ledger.

This characteristic is crucial for financial derivatives, as it ensures that the historical record of prices and trades is trustworthy and unchangeable.