Introduction to Satoshi: The New Blockchain Buzzword

Tripti Rai July 16, 2020
Introduction to Satoshi: The New Blockchain Buzzword

The new buzzword in the Blockchain town is Satoshi – SAT.

The term although first coined in 2010 by Ribuck, a BitcoinTalk user, in a comment where he proposed that there should be a unit of bitcoin that can be displayed on the interface called Satoshi only became famous a while back after it became possible to pay for pizza with SAT on Lightning Network.

While the term that is now commonly heard in several podcasts is being confused by the name of the founder of Bitcoin Satoshi Nakamoto, there is no relation between the two.

SAT or Satoshi as they are generally called is the smallest unit which can be recorded on the Bitcoin Blockchain.

To explain it in a little more of a layman ballpark –

A Satoshi is 0.00000001 BTC and currently the smallest transaction unit.

If a Satoshi was equivalent to one penny, a microBTC would be equivalent to one dollar, and one BTC would be equivalent to 1,000,000 dollars.

The reason why Satoshi is out of the closet after its initial 2010-2011 mention

As users, we are more used to buying services and goods which have what you call a user-friendly price tag – numbers which are rounded off. But because Bitcoin comes with a high price tag compared to the currency that we work around on an everyday basis, the items, when priced in Bitcoin, looks very unattractive – example, $5 becomes 0.00057206 BTC. However, the SAT valuation of it is 57, 206 Satoshi – a number which is not very aesthetic but looks good to the eyes.  

Besides the obvious case of price bias, there is another reason that is contributing to the rise of SAT mentions.

Jesse Xiong, the JPMorgan Chase Quorum Ambassador believes that people are not very fond of decimals and factors so when prices are quoted solely in BTC, the number becomes very confusing for the consumers to enter at the checkout time.

Now while it did take 8 long years for Satoshi to become a popular name in the blockchain market, it is here to stay – be it because of price bias or ease of appearance. So, it’s time you get acquainted with the terminology to appear more sound if anything.

Need further explanations? Get in touch with our Blockchain experts.

Tripti Rai
Content Manager
Prev PostNext Post
Read more blogs
blockchain platform to fight against coronavirus

Is Blockchain the Answer to Fighting Coronavirus Outbreak?

The victim-count of Coronavirus has increased to 28,276 while taking 565 lives already.  With the virus epidemic being on the verge of becoming pandemic, there is a cloud of concern hovering over not just the affected nations but also the rest of the entire world.  The grim picture of Coronavirus is not just of the…

Tripti Rai
Modern Android App Architecture with Dropbox Store

Modern Android App Architecture with Dropbox Store and JetPack

A few days ago, Dropbox acquired an open-source Store library. The aim behind taking the ownership was to modify it to make it more suitable to the prevailing Android developer ecosystem.  Now, Store also includes Google JetPack collection of libraries which poses as a solution for creating current-day Android apps. Google JetPack makes it possible…

Shivani Dubey
Google Acquires AppSheet, a No-Code Mobile App Development Platform

Google Acquires Appsheet, a No-code Mobile App Development Platform

Google recently announced that they have acquired AppSheet, a Seattle based no-code mobile app development platform. The terms of the acquisition have not been disclosed yet, but it has been revealed that AppSheet will continue to serve its existing customers.  AppSheet was founded back in 2014 by Praveen Seshadri and Brian Sabino to help businesspeople…

Bhupinder Kour
Mobile App Consulting Company on Clutch Most trusted Mobile App Consulting Company on Clutch
appinventiv India

B-25, Sector 58,
Noida- 201301,
Delhi - NCR, India

appinventiv USA

79, Madison Ave
Manhattan, NY 10001,

appinventiv Australia

Appinventiv Australia,
East Brisbane
QLD 4169, Australia

appinventiv London UK

3rd Floor, 86-90
Paul Street EC2A 4NE
London, UK

appinventiv UAE

Tiger Al Yarmook Building,
13th floor B-block
Al Nahda St - Sharjah

appinventiv Canada

Suite 3810, Bankers Hall West,
888 - 3rd Street Sw
Calgary Alberta