Re:Bitcoin price hits $40k less than three weeks after shatt...
by newsclues on Friday January 08, 2021 @06:46AM
(#25683685)
Why would people refer to prices in satoshis rather than dollars/euro/etc, if the technology and culture to price and conduct normal transactions with crypto currency.
I don’t tell people my car is worth 20 gold coins....
This is no different than a dollar being priced in gold terms or the pound sterling being priced in terms of silver when paper money was relatively new.
A dollars were originally redeemable for $20.67 [1] and then later $35 per ounce of gold [2]. This ended when we got got off the gold standard in the 70's.
As bitcoin becomes the dominant non-sovereign store of value, we’ll slowly start to reprice things in terms of satoshis (sats), the smallest denomination of bitcoin [3].
Sats are already the standard on Cash App and other apps and services that exchange fiat for BTC. It's just a matter of time before all fiat is priced in terms of sats.
[1] http://www2.econ.iastate.edu/classes/econ355/choi/1900mar14....
[2] https://livingnewdeal.org/glossary/gold-reserve-act-1934/
[3] https://medium.com/in-bitcoin-we-trust/talking-in-sat-rather...