Tórshavn was established as the capital of a
Viking settlement around 850 CE. The vikings held an outdoor assembly meeting called althing, in which all men were eligible to participate. It became the center of the islands' trade serving as the sole market place for islanders to conduct trade. The royal trade monopoly was initially established by the Norwegian Crown in 1271 CE. Fortifications were built in the 1500s to defend against pirates. A harsh period began in 1655 CE when control of the region was given by king
Frederick III of Denmark to
Kristoffer Gabel, who imposed oppressive trade rules. A fire destroyed houses and records in 1673 CE, and conditions improved in the early 18th century. However, in 1709, a
smallpox outbreak killed most of the population of Tórshavn. In the latter half of the 18th century, it re-developed as a major trading post under the administration of Niels Ryberg. Though the trade monopoly was abolished in 1856, the economy continued to develop with Tórshavn at its center. The town council was founded in 1866, and Tórshavn gained a municipal charter in 1909. Improvements came after 1709 when trade became a royal monopoly, though the city suffered a devastating smallpox outbreak. A harbour was built in 1927 to aid the berthing of larger ships. The region was occupied by Britain during the
Second World War. == Geography ==