<ol>
<li>Yes, there are 21 million whole bitcoins, each divisible up to 10^-8.</li>
<li>Yes, transactions for fractions of bitcoins are quite common, just as transactions for fractions of dollars are common.  I could send you 0.00000001 BTC if I were so inclined.</li>
<li>I can give you 1 dollar or 100 pennies, but the existence of pennies doesn't really influence the exchange rate of the dollar.</li>
</ol>

CC BY-SA 3.0
2013-04-10T05:37:58.647Z
While the existence of pennies does not affect the value of the dollar, I do not think that is the question OP was asking. The fact is that since total BTC is fixed at 21M, the value of a satoshi goes up when that limit is reached. As the number of BTC in circulation can only go down past 21M, bitcoin are intentionally deflationary.
fbrereto
CC BY-SA 3.0
2013-04-05T21:14:53.563Z
2013-04-05T21:14:53.563Z
Michael McGowan
<ol>
<li>Correct, but coins have been lost, so although up to 21 million will be mined, there will be fewer than that in circulation. </li>
<li>Seeing fractions is routine, but sending and receiving bitcoins with a smaller fractions  will incur a processing fee.</li>
<li>#1 is true: The finite amount of bitcoins is actually expected to produce <strong>bitcoin deflation</strong> in the future, so its value will go up (constant supply and assuming increasing demand). However, the protocol can be adjusted to slice bitcoins even smaller then the current 8 decimal places. It's uncertain economic territory.</li>
</ol>

CC BY-SA 3.0
2013-04-06T08:34:47.230Z
2013-04-10T05:26:05.177Z
2013-04-10T05:26:05.177Z
Will
<p>The Bitcoin protocol allows for 2,099,999,999,999,999 satoshis to be issued.</p>

<p>1.0 BTC = 100,000,000 Satoshis.</p>

<p>With about 7 billion people on the planet, that means the 2,099,999,999,999,999 satoshis divided among the populations leaves 300,000 satoshis per person.</p>

<p>If the value rises such that even a since satoshi rises significantly (e.g., above a penny) then further divisibility is an option.</p>

<p>But further divisibility is not something that impacts the value.  A dollar doesn't buy more after you first convert it to 100 pennies.  You still have a dollar's worth of funds.</p>

CC BY-SA 3.0
2013-05-25T23:27:56.063Z
2013-05-25T23:27:56.063Z
Stephen Gornick
<p>As far as I understand, the bitcoin has an upper limit of 21 Million possible coins. Thus, the price of 1 coin, can in theory climb and climb. However, on the other hand, it seems like the system can handle 10^(-8) of a bitcoin.</p>

<ol>
<li>Is this observation correct?</li>
<li>Is it already possible to have transactions of fractions of bitcoins?</li>
<li>If (1) is true, how can this fact influence the bitcoin's rate? In some sense, it means that the limit on the number of units is somehow much higher then 21M. <strong>Or more generally, how should its rate be interpreted given the existence of such tiny fraction of the unit?</strong></li>
</ol>

<divisibility>
Upper and lower bounds of the amount of bitcoins?
Dror
# Upper and lower bounds of the amount of bitcoins?

(Asked by: username_0 on 2013-04-05)

As far as I understand, the bitcoin has an upper limit of 21 Million possible coins. Thus, the price of 1 coin, can in theory climb and climb. However, on the other hand, it seems like the system can handle 10^(-8) of a bitcoin.

1. Is this observation correct?
2. Is it already possible to have transactions of fractions of bitcoins?
3. If (1) is true, how can this fact influence the bitcoin's rate? In some sense, it means that the limit on the number of units is somehow much higher then 21M. **Or more generally, how should its rate be interpreted given the existence of such tiny fraction of the unit?**

**Tags:** divisibility


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## 3 answers

### Answer by username_1 on 2013-04-05. Score: 6

1. Yes, there are 21 million whole bitcoins, each divisible up to 10^-8.
2. Yes, transactions for fractions of bitcoins are quite common, just as transactions for fractions of dollars are common. I could send you 0.00000001 BTC if I were so inclined.
3. I can give you 1 dollar or 100 pennies, but the existence of pennies doesn't really influence the exchange rate of the dollar.

> **Comments:**
> **username_2**: While the existence of pennies does not affect the value of the dollar, I do not think that is the question OP was asking. The fact is that since total BTC is fixed at 21M, the value of a satoshi goes up when that limit is reached. As the number of BTC in circulation can only go down past 21M, bitcoin are intentionally deflationary.  

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### Answer by username_3 on 2013-04-06. Score: 2

1. Correct, but coins have been lost, so although up to 21 million username_3 be mined, there username_3 be fewer than that in circulation.
2. Seeing fractions is routine, but sending and receiving bitcoins with a smaller fractions username_3 incur a processing fee.
3. #1 is true: The finite amount of bitcoins is actually expected to produce **bitcoin deflation** in the future, so its value username_3 go up (constant supply and assuming increasing demand). However, the protocol can be adjusted to slice bitcoins even smaller then the current 8 decimal places. It's uncertain economic territory.


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### Answer by username_4 on 2013-05-25. Score: 2

The Bitcoin protocol allows for 2,099,999,999,999,999 satoshis to be issued.

1.0 BTC = 100,000,000 Satoshis.

With about 7 billion people on the planet, that means the 2,099,999,999,999,999 satoshis divided among the populations leaves 300,000 satoshis per person.

If the value rises such that even a since satoshi rises significantly (e.g., above a penny) then further divisibility is an option.

But further divisibility is not something that impacts the value. A dollar doesn't buy more after you first convert it to 100 pennies. You still have a dollar's worth of funds.


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