The inventor of hashcash which is used the Bitcoin mining method, says it is time to call time on satoshis, the units that make up a bitcoin.
The CEO of the blockchain technology firm Blockstream, Adam Back, has taken to Twitter with BTC prices soaring sky-high in recent weeks to believe that satoshis (sats) have had their day. “Bitcoin is too expensive, but sats are too many, sound cheap and confusing.”
As reported on cryptonews.com, Back, who was one of the first two people to receive an email from Satoshi Nakamoto, is one of many early Bitcoin architects who some may claim to be Nakamoto himself, the original Bitcoin white paper’s (presumably) pseudonymous author. While founding fiats make use of units that are easier to understand, things in the bitcoin world are not so straightforward.
There is 1 BTC equivalent to 1,000 millibitcoins (mBTC), 1,000,000 microbitcoins (μBTC) or 100,000,000 satoshis in the general bitcoin unit structure.
But Back, who favors dividing bitcoin by 1 million units instead, explained: “Satoshis are confusing […] Sats were designed by Satoshi to be bitcents under bits. One million is much easier than [a] 100 million base. Even bitcoin-qt (core) had bits for years. You still have sats, just bits and bitcents (aka sats), like dollars and cents.”
But as satoshis are so hard to understand for most, it can be “hard to figure out what you bought” when investing in bitcoin, wrote Back, who urged that it was now “time for a reboot” on denominations.
And dreaming, like many bitcoin HODLers, of a day when BTC hits the USD 1 million mark, he wrote: “[It] sets a nice parity target at USD 1 mil per BTC where USD 1 = 1 bit and 1 bitcent = 1 satoshi = 1cent.”
“Story I heard from early developers, was [fellow Bitcoin OG and possible Nakamoto Hal Finney] persuaded Satoshi it wasn’t enough for world population, and so Satoshi added 1 million divisions, moving the new bitcent to 1/100th bit.”