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Sats, short for “satoshis,” are the smallest unit of Bitcoin, representing one hundred millionth of a single Bitcoin (0.00000001 BTC). Named after Bitcoin’s pseudonymous creator, Satoshi Nakamoto, sats are used to denominate and measure tiny amounts of Bitcoin in transactions and account balances.

As the value of Bitcoin fluctuates, sats provide a convenient way to express small fractions of Bitcoin and facilitate microtransactions and micropayments in the Bitcoin ecosystem.