Why you need to own 0,02 Bitcoin

By Rich Simmonds

Contrary to popular belief you can buy small amounts of Bitcoin which are called Bits or Satoshis. A satoshi is the smallest unit of a bitcoin, equivalent to 100 millionth of a bitcoinBitcoins can be split into smaller units to ease and facilitate smaller transactions. The satoshi was named after the founder, or founders, of bitcoin, known as Satoshi Nakamoto.

Bitcoin itself is 10 years old, and that is almost half the lifespan of the average currency which lasts approximately 27 years, according to a recent article The rise and fall of fiat currencies. The article references a study of 775 fiat currencies by DollarDaze.org, there is no historical precedence for a fiat currency that has succeeded in holding its value. Twenty percent failed through hyperinflation, 21% were destroyed by war, 12% destroyed by independence, 24% were monetarily reformed, and 23% are still in circulation approaching one of the other outcomes.

The average life expectancy for a fiat currency is 27 years, with the shortest life span being one month. Founded in 1694, the British pound Sterling is the oldest fiat currency in existence. At a ripe old age of 317 years it must be considered a highly successful fiat currency. However, success is relative. The British pound was defined as 12 ounces of silver, so it’s worth less than 1/200 or 0.5% of its original value. In other words, the most successful long standing currency in existence has lost 99.5% of its value.

Looking at the main title you are probably asking why you need to own 0,02 and how much is that worth? – Currently the price of Bitcoin is just shy of $8000, so the price would be about $160 or R 2500 (South African ZAR), which may or may not be a lot of money. Of course if you have the resources you may even want to get some more, or if you are like me ‘as much as you can’. I am not an investment advisor and this should not be taken as investment advice, but if you are thinking of going to an investment advisor who knows nothing about cryptocurrency or Bitcoin, well that is like asking a horse breeder to to tell you about horsepower in a car. So be wise in whatever you do.

Let’s look at what your 0.02 BTC could be worth using the Stock-to-Flow chart on https://digitalik.net/btc/sf_model/# a page inspired by Medium article Modeling Bitcoin’s Value with Scarcity written by Twitter user PlanB.

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For my South African & Nigerian readers I have done a chart in ZAR and Naira which can be found at the bottom of this article.

As previously mentioned I am not an investment advisor, but putting some of your hard earned money into Bitcoin may just be more than worthwhile in a couple of years time.

Is it risky you may ask? Firstly without risk, there can be no reward. The biggest risk in my opinion is not to have considered the possibility today. Spending $164 in May 2025 will only get you 0,000123951 Bitcoin.

The other factor you may have to deal with is when your children and grandchildren ask you about the time you could have bought $26000 worth of Bitcoin for $164. What will your excuse be then?

There will only ever be 21 Million Bitcoin, and currently there are 18 Million, however due to carelessness many people have misplaced or lost their Bitcoin wallet passwords and keys. This has made Bitcoin even more scarce with an estimated 3-4 Million that have been lost through carelessness. So please be careful and keep your Bitcoin safe.

This could be the biggest generational wealth creating opportunity in history and you have an opportunity that may never happen again. My advice would be to get some Bitcoin even if that is just 1% of your investment portfolio. In my opinion it is worth the risk.

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