However, they may use cryptocurrency as it is divisible into many units, making it much more affordable. And that’s what we’ll talk about today.
In this article you will learn:
- What is a Satoshi?
- How much is a Satoshi worth?
- How to convert satoshis, bitcoins and reais?
- What are the other units of measurement of Bitcoin?
- How is satoshi compared to other currencies?
Interested? So fill up your coffee mug and start reading!
What is a Satoshi?
A current state currency, such as the Real, is divided into smaller units, the ‘centavos’. 100 centavos equals 1 Real. The same goes for the dollar and the euro (with regards to the cents).
The big difference is that Bitcoin, being fully digital, need not be limited to the units of measurement of other currencies. So it can be divided much more.
A Satoshi is the smallest unit of measurement of a Bitcoin, obtained after dividing the cryptocurrency 100 million times. It is therefore equivalent to 0.00000001 BTC. That is: 100 million satoshis is equal to 1 Bitcoin.
How much is one Satoshi?
Now that we have defined what we are talking about, the time has come to clarify how much a Satoshi is worth. To reach the amount, simply make a simple account: the value of 1 Bitcoin multiplied by 0.00000001.
Thus, it is a practically insignificant value. Much less than 1 cent of Real. This shows how affordable it is to buy Bitcoin: after all, your smallest unit of measure is very cheap.
How to convert satoshis, bitcoins and reais?
From Satoshi to Bitcoin
Bitcoin to Real
In our example, it would be R$ 1,524974. That is, 5,000 satoshis equate to practically R$ 1.53.
From Real to Bitcoin
The conversion formula is as follows:
What are the other units of measurement of Bitcoin?
That is, 1 Bitcoin is equivalent to:
How much is a Satoshi worth compared to currencies from other countries?
In fact, the information is no longer surprising when we remember that Bitcoin has enormous resistance to inflation. As a result, it can maintain its value while other currencies suffer from hyperinflation in their countries.
An example of this is the Venezuelan Bolivar. Currently, 1 Satoshi equals 2.17 Venezuelan bolivars, showing how the country’s currency depreciated with hyperinflation that reached nearly 350,000% a year in February 2019.
Another country with currency worth less than satoshi is Iran. Each Iranian Rial is worth about 1/3 of 1 Satoshi. That is: it takes just over 3 rials to be able to buy 1 Satoshi. In Indonesia it is similar: the rupee is worth 0.7 satoshis.
Guinea, Sierra Leone, Laos and Uzbekistan have coins worth 1 Satoshi, which puts them in a better position than the other countries mentioned, but still with extremely undervalued money. No wonder that Bitcoin is banned in some of these countries.
Now that you know how much a Satoshi is worth, you are better prepared to buy Bitcoins. In addition, you can see in practice how cryptocurrency is protected against inflation by comparing it with money from other countries.
Curious about the name of Satoshi? Learn more about the creator of BTC in our special article on Satoshi Nakamoto!