No Need For Buying A Whole Bitcoin: ‘Bits’ Might Get On Stage

No Need For Buying A Whole Bitcoin: ‘Bits’ Might Get On Stage

There are lots of newcomers in cryptocurrency industry who assume that bitcoin is too expensive for them to purchase. Sure enough, for the past week, its price has been swinging between margins of $13,000-$14,000, and it could seem prohibitive for lots of people. Mainly, it is desperate for those, who live in developing countries, thinking of fast enrichment while receiving $200 monthly salary. However, the thing is that it is just a kind of emotional hurdle that halts them. Indeed, there is no need to buy the whole bitcoin as you can purchase its third fraction or even a share of one percent.

Often, green investors turn their eye to altcoins. But should they just blink their eyes, bitcoin ilks will grow in price, overcoming the margin of $1,000, as recently did ethereum and dash. And the price, once again, seems unaffordable to them. Therefore, they come to cheaper alternatives, like Dentacoin or Dogecoin, whose price is sub-$1 but the market cap overcomes $1 billion for each. With the desire to own the entire unit, people create a pump in the value of cheap altcoins.

Our top trading bots

To withstand this jumble, a developer Jimmy Song offered to utilize bitcoin in “bits”, which is one one-millionth part of it. Publishing the standards proposal, he motivated BTC businesses, wallet providers, and exchanges to endorse the idea. Such standardization, Song believes, will push people to purchase the father of all cryptos more and make them slightly give up on technically weak altcoins.

Buying Bitcoin In Fractions

Currently, lots of new investors get scared of purchasing bitcoin fractions as, for example, the equivalent of $5 will look as 0.000345 bitcoin. That is more than confusing, but if we bought BTC in bits, as Song proposes, that would make 345 bits. Erik Voorhees, who is the co-founder and CEO of ShapeShift, the company, which endorses the developer’s offer, said:

"For whatever psychological reason, normal people have trouble understanding decimals and fractions. $0.002 is weirder than $200.00. For bitcoin to be a global, commonly used currency, it would certainly be helpful to have a denomination that allows people to express prices in integers (2,000 bits for a coffee) rather than a decimal."

According to Song’s belief, newcomers are not big fans of little amounts of BTC. Moreover, the developer banters bitcoin forks as they remove ‘unwanted’ decimal fractions.

Song is not the first one to offer such an adjustment, but his proposal may seem more relevant as it takes into account business needs, as ones of exchanges. Furthermore, his scheme can also be useful for other cryptos, e.g., ether.

Not Perfect?

Like any idea, Song’s proposal was partially met with backlash. Experts assume that there might be a lot of confusion unless all companies adopt the adjustment at a time, as they may think they earned gains or lost them. For instance, there is a possibility that there would be misunderstandings and bugs in case ‘bits’ become more popular. Nevertheless, it will be up to BTC market to endorse the new term or not.

Blockchain-based platform for fractional property ownership launches in India
A fintech firm from Pune, India has launched a blockchain-based registry system named RealX that allows Indian citizens to purchase fractional ownership...
Ledger Live integrates ‘accessible’ Ether staking option
In a recent blog post, popular cryptocurrency hardware wallet Ledger announced a new partnership with Ethereum 2.0 staking solution Lido Finance in a move...
Decentralized and centralized finance need to collaborate
Decentralized finance, or DeFi, has established itself as a force capable of disrupting traditional systems. While DeFi still mostly keeps opposing itself...
Swisscom will become a Chainlink node operator
Switzerland-based telecommunications company Swisscom has said it will join Chainlink’s oracle network as a node operator. In a Thursday announcement, the...
DHedge scales up on Polygon, integrates with SushiSwap
Decentralized asset management protocol, dHEDGE, has launched its V2 deployment on Polygon. The new platform also boasts an integration with popular decentralized...
Countdown to Grayscale's big BTC unlock: 5 things to watch in Bitcoin this week
Bitcoin (BTC) starts a new week in familiar territory — crucial support is back, but bulls have not yet got their breakout. Could that soon change?After...
French court sentences BTC-e operator Alexander Vinnik to 5 years
A court of appeals in Paris has upheld the five-year prison term in the case against BTC-e operator Alexander Vinnik.The court upheld a December 2020 verdict...
The remaining steps to mainstream institutional investment
It has been said that you only get one chance to make a first impression. Perhaps the best example of this old adage is the cryptocurrency space. From exit...
$223M fund for Internet Computer builders — but community is wary
Zurich-based Dfinity Foundation has announced a fund worth CHF 200 million, or around $223 million, to support development on the Internet Computer — a...
Blockchain will thrive once innovators and regulators work together
There is often a perceived tension between regulation and innovation. A pervasive narrative has emerged that these two important parts of our society are...
Binance to launch Microstrategy, Apple, and Microsoft stock tokens
Top crypto asset exchange Binance has announced it will list three new stock tokens over the coming week, following the launch of tokens tracking the performance...
Our Man in Shanghai: DogeMania, ‘Dog-Coin’ trademark dogfight, hashrate outage, government warms up to crypto
The big news this week happened on April 16th, when a major power outage in Xinjiang wreaked havoc on the BTC hash rate. According to local sources, the...
Galaxy Digital submits Bitcoin ETF application with SEC
Galaxy Digital has submitted a Bitcoin (BTC) exchange-traded fund filing with the United States Securities and Exchange Commission. According to the form...
Seoul Intends to Set Off Its Own Crypto-Coin
Despite the fact the government of South Korea overall tries to be CoinDesk Korea reported. S-Coin Like No Other Coin According to the report, this...
Steven Seagal-Endorsed ICO Bitcoiin Sees Restraining Order From US Officials
The precarious ICO Bitcoiin, initially supported by the noted American actor Steven Seagal, has received red light form the US legal system. In particular,...