What is Satoshi? Satoshi To BTC & USD Converters
Every nation has its own currencies. For example, India has INR, US has USD, Europe has EUR, etc. Also few of the national currencies such as the USD, tend to have a cent, which is nothing but 1 / 100 of that national currency.
The same way, there are currencies in the crypto world which equal to very small units of currency. And these Bitcoin currencies, as well as its tiny units, must be well understood if a person is planning on investing in it. So, read on to gain more insight.
What is meant by Satoshi?
If you have read anything related to the crypto world, then you would know that there is a very common word mentioned under the units of Bitcoins, which is known as “Satoshi”.
It is known to all that the first cryptocurrency introduced in the world is none other than the Bitcoin. It’s Bitcoin that consists of a unit called Satoshi, which is defined as follows –
“The Satoshi is currently the smallest unit of the bitcoin currency recorded on the blockchain. “
Satoshi is a one hundred millionth of a single bitcoin (0.00000001 BTC).
The unit has been named in collective homage to the original creator of Bitcoin, Satoshi Nakamoto, who is still unknown and could, in fact, be more than one person as well.
Most of the time, Satoshi is abbreviated as ‘sat’ or just ‘s’. There isn’t a particular symbol used for it but various Japanese symbols are used by few.
Although the Satoshi is the finest amount that can be recorded in the blockchain, payment channels may need to make very granular payments and so are sometimes denominated in millisatoshi, which are one hundred billionths of a single bitcoin.
There is no particular plural form of the unit Satoshi, hence the plural is usually just Satoshi.
But at times many people have indeed used Satoshis. According to the rules of the Japanese grammar, the plural would be Satoshisa.
History of Satoshi
The value of a bitcoin in Satoshi was decided by Satoshi Nakamoto to be 100 million no later than November 2008.
On November 15, 2010, Ribuck proposed that the one-hundredth of a bitcoin (0.01 BTC) be called a Satoshi. Four months later he instead suggested that the one hundred millionth unit be called an Austrian or a Satoshi. The name Satoshi caught on, and was widely adopted thereafter.
In 2015, Bitcoin was included under ISO 4217 which does standardization for currencies.
In December 2017, BIP-176 also proposed “Bits” be used as a standard term for 100 (one hundred) satoshis or 1/1,000,000 (one one-millionth) of a bitcoin.
In January 2018, 1 Euro cent is worth approximately 83 Satoshi.
Units of Bitcoin
From the time Bitcoin was invented, it has just 2 official units which is – Satoshi and Bitcoin. This is followed till date.
After 2015, the naming conventions mentioned below were used –
|Unit||Value in satoshis||Value in bitcoins||Abbreviation|
Few other conversion factors are also used such as –
- 1 BTC = 1,000 mBTC (millibitcoin)
- 1 BTC = 1,000,000 μBTC (microbitcoin)
- 1 BTC = 100,000,000 Satoshis
- 1 mBTC = 100,000 Satoshis
- 1 μBTC = 100 Satoshis
Conversion of Satoshi to Bitcoin
The usual conversion system is as shown in the picture.
But this would involve a lot of time and could be confusing to many even though it is just a simple math involving the shift of the decimal places.
Also, it must be remembered that this process of conversion must be done with utmost concentration as even a minute mistake could make you lose a lot of money.
A free tool could be used for conversion which could save money and time.
Conversion of Satoshi to USD
It’s harder to calculate an exact transaction amount due to fluctuating rates of the fiat currency or the Bitcoin. These fluctuations are based on demand and supply which affects the conversions.
Thus, special calculators as mentioned above, with two-way-conversions, are used to achieve accurate results in the conversion of Satoshi to USD, INR, EUR, GBP, etc.