Crypto Glossary

MilliBitcoin

MilliBitcoin, also known as μBTC, is a sub-unit of Bitcoin which is equivalent to the one-thousandth of a BTC, the most famous and valuable cryptocurrency in the world.

What Is MilliBitcoin?

MilliBitcoin is a broken-down version of Bitcoin (BTC) which is exactly equal to the one-thousandth part of a BTC. In other words, 

1 BTC = 1,000 μBTC.

Therefore, 1 μBTC is about 58.45 USD.

Given that only 21 million Bitcoins can ever be mined, Bitcoin earns the distinction of being a deflationary token, implying that its value will rise as it becomes scarce. Bitcoins can be divided down to near-infinite values because they are backed by a code rather than a physical material, such as gold. This enables Bitcoin holders to hold and effectively divide Bitcoin into several units, allowing them to price goods based on their perceived value. However, because it is a store of value, there has recently been an increase in adoption. As the cryptocurrency's value against the US dollar is volatile, and it is not widely accepted as a unit of account, there are currently many terms that each correspond to a sub-unit of Bitcoin. 

satoshi is the smallest unit of Bitcoin. Satoshi Nakamoto released the BTC whitepaper back in October 2008, and the first block was generated in January of the following year. Therefore, the smallest unit has been named after them.

1 Bitcoin = 1,000 μBTC = 100,000,000 satoshi

Units larger than BTC, on the other hand, are:

  • 1daBTC (deca Bitcoin) is equal to 10 BTC

  • 1hBTC (hecto Bitcoin) is equal to 100 BTC

  • 1kBTC (kilo Bitcoin) is equal to 1,000 BTC

  • 1MBTC (mega Bitcoin) is equal to 100,000 BTC

Bitcoin was intended to be both a term for a new type of peer-to-peer monetary system and the system's core currency. Bitcoins, as they are known in the plural, BTC has become the leading cryptocurrency and the first monetary system based on blockchain technology.

In the same way that fiat currency, such as the US Dollar, can be divided into whole units like Dollars and cents that is one-hundredth of a dollar, Bitcoin can be divided into microbitcoins (mBTC), millibitcoins (μBTC), and satoshi.

If you know the US currency system then you must be familiar with nickels (5c), dimes (10c), and quarters (25c). Similarly, BTC can also be broken down for ease of use and practicality. It is generally called digital gold and has all the great qualities of a currency, for example: 

  • BTC is portable

  • It cannot be confiscated unlike money because it is a decentralized token

  • It is widely accepted in restaurants, hotels, and other establishments

  • It can sometimes even be faster than the money in transactions when it comes to international transfers

BTC's price has risen at a parabolic rate since its inception in 2009. Although there have been dips, peaks, and valleys, zooming out reveals a clear uptrend. As a result, its price has risen from less than $0.01 to where it is now.

So, If you intend to keep your mBTC, μBTC, or satoshi for as long as you would keep a home, then BTC is a good investment option. Overall, countries are adopting Bitcoin as a means for people to transact and store value, and there has been an increase in adoption rates in recent times.

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