So exactly what is the value of a Bitcoin in relation to the American dollar?

Ok, if I want to buy something that is $8 in American dollars and use a Bitcoin that is worth an odd value in American dollars...like $17 for instance. Then what happens? I end up with a deciminal point version of a Bitcoin? How does an individual keep track of Bitcoin money when it translates into too many decimal point locations? Doesnt Bitcoin have 8 or 10 decimal places? What happens if you buy something from a country where money is worth very little? Could you have a bitcoin account with a long decimal point fractional value?

exchanges

Vali

Posted 2013-03-23T16:18:10.120

Reputation: 57

Answers

One Bitcoin is actually 10 000 000 units in a transaction record, meaning that a Bitcoin is divisible down to eight decimal places. 1 unit is called a satoshi, named for the creator of Bitcoin.

Most world currencies don't go below two decimal places in daily usage, and only in financial systems do they go below four decimal places.

When someone says "There's only 21 million Bitcoin!", they are unaware that while there is 21,000,000 BTC ever in the whole system, there are actually 2,100,000,000,000,000 units in the whole system. That's 2.1 quadrillion units. In the unlikely event that, several decades or centuries down the line, there is a shortage causing significant flow problems, it is possible to further increase divisibility.

Colin Dean

Posted 2013-03-23T16:18:10.120

Reputation: 6 559

Can you provide a source? How would you "further increase divisibility"? – styfle – 2013-04-13T08:15:46.347

The wiki: How divisible are bitcoins?

– Colin Dean – 2013-04-14T03:10:35.700

Bitcoin can be split into smaller units which I believe are called "Satoshi's" but in practice things are not denominated in satoshi's but are instead just fractional amounts bitcoins.

You can have (and send) bitcoins in fractional values with no consequence.

CQM

Posted 2013-03-23T16:18:10.120

Reputation: 1 472

Yes, there is decimal values. For example, today: 1 BTC = $ 87.64

0.1 BTC = $ 8.76 //// 0.01 BTC = $ 0.87 //// 0.001 BTC = $ 0.08 //// And so on. The minimum value is called "Satoshi" and it is: 0.00000001

Xyl

Posted 2013-03-23T16:18:10.120

Reputation: 1