Jack Dorsey, co-founder and chairman of Block, has publicly endorsed Bitcoin Improvement Proposal (BIP) 177, which advocates dropping the 'satoshi' (sat) denomination and referring to every unit simply as 'bitcoin'. Dorsey stated on social media: 'Sats are so confusing to people just getting into bitcoin. Bits of bitcoin is better, and just bitcoin is best.'
What BIP 177 Proposes
Authored by longtime Bitcoin advocate John Carvalho, BIP 177 is titled 'Redefine Bitcoin's Base Unit'. It suggests redefining the commonly recognized 'bitcoin' unit so that the base unit becomes the primary reference unit. In practice, this means eliminating synthetic decimal places and the sat denomination, adopting an integer-based scheme where each sat equals one bitcoin. The change is purely nominal and does not alter Bitcoin's limited supply of 21 million coins.
Carvalho explains that this redesign 'simplifies comprehension and aligns displayed values with the protocol's integral accounting,' promoting clearer communication and a more accurate understanding of Bitcoin's fundamental design.
Dorsey's Vision for Payments
Dorsey has long emphasized that Bitcoin must succeed as a medium of exchange. 'I'm very worried about bitcoin becoming money. It must,' he wrote. He previously warned that if Bitcoin fails, it will be due to its failure to become an everyday asset. Payments are a key element for Bitcoin to achieve success and maintain relevance, according to Dorsey.
Block, which owns Cash App and Square, is deeply involved in payment infrastructure. Dorsey believes the current decimal-based unit system (e.g., 0.0001 BTC or 10,000 sats) is a barrier for ordinary users. By treating each sat as one bitcoin, transactions become intuitive—similar to using dollars or euros.
Community Reaction and Outlook
BIP 177 has sparked debate. Supporters argue it lowers the entry barrier for new users and improves retail usability. Critics worry about historical data confusion and the symbolic loss of Satoshi Nakamoto's namesake. The proposal remains under discussion, with no formal implementation timeline yet.
Dorsey's endorsement gives the proposal significant weight. As a prominent tech leader and Bitcoin believer, his influence could steer community sentiment and development. If adopted, the change could fundamentally reshape how Bitcoin is displayed and used in daily payments worldwide.