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Comment by texaswhizzle | Hacker News Reader

It’s not artificial scarcity, it’s outright fake scarcity.

The total supply of Bitcoin is 21,000,000 coins. However, every single coin is 100,000,000 individual assets.

21,000,000 sounds pretty finite. But 21,000,000,000,000,000 sounds a tad less finite. The price of Bitcoin relies on the fundamental false premise that it’s scarce.

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1 = x

1/100,000,000 = x/100,000,000

"stacking sats" is a common phrase so it's not really a secret that a bitcoin can be subdivided. In fact, a lot of bitcoin supports would support people learning this fact.

There is nothing special or important about a single entire Bitcoin. It’s completely arbitrary. The question is whether Bitcoin is scarce. If there are millions of trillions of tradeable assets, it’s not scarce.

If most of it is locked in someone else’s account and they won’t sell it to you: it is scarce. If nobody wants to buy it: it’s not scarce. Scarcity is based on supply and demand, not on a single number.

That's like saying pizza isnt scarce because you can cut one into 1000 tiny slices. Or gold isnt scarce because you can cut 1 bar into 1 tiny million pieces. Pretty hilarious misconception

Except pizza and gold both have fundemental value as you decrease the size. Bitcoin has exactly the same techinical functionality regardless of the size.

Does a 1 cent coin have the same value as a $100 note?

Yes money is fungible, doesn’t make your point valid.

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