All you need to know about the smallest unit of Bitcoin.
The story behind the Satoshi
Simply put, a Satoshi is the smallest unit of Bitcoin. A Bitcoin can be divided into 100,000,000 units or to the 8th decimal place, each of which is 0.00000001 of a Bitcoin. This miniscule unit is a Satoshi.
This is important information when buying bitcoin because you do not have to purchase a full coin to get involved; this is just as well for many given that at its peak at the end of 2017 it was knocking at the door of $20,000.
The smallest unit of Bitcoin has gained its name from the man associated with the very inception of the ubiquitous cryptocurrency, Satoshi Nakamoto. Nakamoto is thought to have designed bitcoin and created its original reference implementation. Not only this, it is also thought that Nakamoto decided that the value of a Bitcoin would be 100 million Satoshi.
Nakamoto has claimed that work on writing the code began in 2007 and he is also believed to have set up the bitcoin.org domain. At some point in 2010 he relinquished his control to a software developer called Gavin Andresen, passing over both the source code repository as well as the network alert key.
It is believed that the presumed father of bitcoin made all of the modifications to the source code himself prior to splitting from his creation. Chiselling a mark into the first link in the immutable chain that drives bitcoin, Nakamoto is thought to have inscribed the message ‘The Times 3 January 2009 Chancellor on brink of second bailout for banks’.
How to calculate Satoshi to Bitcoin
So you have the figures in place but it is plain to see that there are a daunting number of noughts to contend with. To help you find out how much your Satoshi is worth in relation to Bitcoin and subsequently in relation to the other currencies of the world, there are specifically designed Satoshi to Bitcoin calculators.
Your first port of call, unsurprisingly, is the converter called Satoshi to Bitcoin. This is a converter, calculator combination that allows you to make your calculations both ways, BTC to Satoshi and vice versa.
Another good option is bestchange.com, this converter also allows you to work out your Satoshi to BTC sums both ways, while also giving to the immediate option to match up other currencies to either Satoshi or Bitcoin.