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This article will tell you how many Satoshis are in a bitcoin and explain why it matters.
How Many Satoshis Are in A Bitcoin?
A bitcoin is divisible into 100 million units, with the smallest unit being a “Satoshi” or “Sat.”
Said another way, 1 Satoshi is equal to 0.00000001 BTC, and 100,000,000 Satoshis are equal to 1 BTC.
Here’s a reference guide for quickly converting Sats to Bitcoin:
The term Sats is an homage to Bitcoin’s pseudonymous creator Satoshi Nakamoto.
Understanding Satoshis and Bitcoin
“Stacking Sats” is a common phrase used in the Bitcoin community that refers to buying bitcoin or a fractional amount of a bitcoin.
It’s an effective framing shift to reduce unit bias when pricing the asset in terms of a whole bitcoin.
People may think there are “cheaper” cryptocurrencies elsewhere because the price to own a whole (insert altcoin here) is significantly less than owning a whole bitcoin.
Using a Sat standard is Bitcoin’s way around being a victim of its own success.
You didn’t buy 0.001 BTC. You bought 100,000 Sats.
Special Considerations: Satoshis and Bitcoin’s Divisibility
Divisibility is one of Bitcoin’s strengths as a digital store of value.
It can be more easily and precisely subdivided than other analog store-of-value assets like gold, real estate, or art.
It’s difficult to divide a gold bar into fractional amounts, let alone 100,000,000 pieces.
Fractionalizing your home or rental property presents its own set of challenges.
And cutting off the corner of your rare painting to sell a fractional amount of it is probably not a good idea.
The US dollar is sufficiently divisible but is not an effective store of value and therefore belongs in another category than the assets previously mentioned.
>> Related: Is Bitcoin Better Than Gold?
Sats Fast Facts:
- The smallest unit of a bitcoin is named after its pseudonymous creator Satoshi Nakamoto
- Satoshis can be transacted just like whole bitcoins
- “Stacking Sats” is a Bitcoin meme that refers to regularly buying bitcoin
- You are a millionaire in terms of Sats if you own 0.01 BTC
- 1 Satoshi is currently equivalent to a fraction of a cent
Number Of Satoshis In A Bitcoin: Frequently Asked Questions
How much is 1 Satoshi worth?
One Satoshi is worth 0.00000001 BTC, or one-hundred-millionth of a bitcoin. A BTC price of $57K equates to 1 Satoshi equalling $0.00057.
How many Satoshi makes $1?
With a bitcoin price of $57K, it takes about 1,751 Satoshis to make $1.
How much is 1000 Satoshi worth in Bitcoin?
1000 Satoshis are worth 0.00001000 BTC.
Bottom Line: Number of Sats In A Bitcoin
We will likely price goods and services in terms of Sats if Bitcoin were to become the global reserve currency.
Regardless of the USD equivalent, 100,000,000 Satoshis will always equal 1 bitcoin.
- When Is The Next Bitcoin Halving?
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- When Will All Bitcoin Be Mined?
- Why Is Bitcoin Volatile?
This article is for informational purposes only. It is not intended to be investment advice.