Sats: the smallest unit of bitcoin
While winding down last night, I overheard my teammate discussing a Bitcoin-related project. His friend, unfamiliar with Bitcoin, asked about “Sats.” Realizing this might be new information for others too, I decided to share what I know.
Understanding bitcoin and satoshis
A common misconception is that you must buy an entire bitcoin. However, bitcoin can be divided into smaller units called Satoshis, or “Sats.” One Satoshi equals 0.00000001 bitcoin, allowing you to buy any fraction of a bitcoin.
The Accessibility of Stacking Sats
Investing in bitcoin can be daunting, but there’s a more accessible approach called “stacking sats.” This strategy involves regularly accumulating small amounts of bitcoin, rather than buying a large amount all at once. It’s based on the idea that bitcoin’s price will increase over time.
Budget-friendly bitcoin investing
Stacking sats is perfect for anyone, regardless of budget. Simply set a goal for yourself, such as 0.01 BTC, 0.1 BTC, or even 1 whole bitcoin, and stack sats until you reach it. One recommended technique is dollar-cost averaging, where you invest a fixed sum at regular intervals, regardless of the market price. This reduces the risk of buying at an unfavorable time.
In conclusion, stacking sats is an excellent, budget-friendly way to invest in bitcoin. By setting a goal and using strategies like dollar-cost averaging, you can gradually accumulate bitcoin over time. It’s a method that has worked for me and could work for you too.
Benny Sarnelli - Senior Customer Experience Leader @ Bitcoin Well
Meet Benny, the Customer Operations Leader for Bitcoin Well. Benny is dedicated to educating and onboarding new users into the world of Bitcoin and is passionate about helping people understand and navigate the world of cryptocurrency.
