Ever wondered about the numbers behind Bitcoin? The numbers can offer valuable insights into how Bitcoin operates. In this post, we’ll explore some key figures in Bitcoin, from the smallest units to the substantial market cap. Starting with the curious case of the number 21, we’ll move through various important metrics, all the way to the complex security measures that make Bitcoin secure. We’ll start from the bottom and work our way up.
The Magic Number 21
First, let’s talk about the number 21. Why is 21 million the maximum supply of Bitcoin? Or why just 21? If I could ask Satoshi one question, it would be why 21 and not 22 or 19.5? Is there a symbolic meaning behind it? It’s super interesting.
In the Bitcoin community, 21 is a key number. The number 21 keeps popping up and plays a crucial role in various aspects of Bitcoin.
In numerology, 21 stands for opportunities or success. It represents achieving goals, which ties in nicely with Bitcoin’s 21 million limit. This number suggests new chances and paths that could change your life in a positive way.
From Small to Big Numbers
Next up, let’s look at another number: 850,000. Over 850,000 blocks have been mined so far, with new ones being created approximately every 10 minutes. At time of writing, there are exactly 852,579 blocks mined.
Then, we have 100 million. One Bitcoin is made up of 100 million satoshis. Transactions are done in satoshis, and currently, you get about 1500 satoshis for a dollar. If Bitcoin’s value increases even more, we might need smaller units like micro or milli-satoshis.
It’s crucial to know that you don’t need to buy a whole Bitcoin. You can buy satoshis, the smaller units. Many people don’t realize this when they’re new to Bitcoin.
Understanding Market Cap
Let’s talk about the market capitalization of Bitcoin, which is currently at 1.29 trillion dollars. This is calculated by multiplying the current Bitcoin price by the number of Bitcoins in circulation, around 19.6 million, with 1.4 million more to be mined over the next 120 years.
To put this in perspective, Berkshire Hathaway has a market cap of 947 billion, Meta (Facebook’s parent company) has 1.24 trillion, and silver is around 1.7 trillion. Gold is at the top with a market cap of 16.6 trillion.
Bitcoin’s stock-to-flow ratio, which measures the existing supply against the annual production rate, has this year surpassed gold’s after the latest halving event that took place on April 20th.
Bitcoin Security: Big Numbers at Play
Lastly, we zoom in on 128 bit and 256 bit, which relate to Bitcoin’s security and private keys. A 128-bit number is 39 digits long, while a 256-bit number is 78 digits long. These numbers ensure Bitcoin’s security, making it incredibly secure.
In summary, these numbers help us understand the vast scale and security of Bitcoin. It’s fascinating how these figures play such an important role in the world of Bitcoin.