1 bit is also 1/8 of one USD.
Seeing all the hoopla over BTC versus XBT I would support the following:
1 BTC = 1 Bitcoin = same as it ever was
1 XBT = 1 Bit = 0.000001 BTC
1000000 XBT (Bit) = 1 BTC (Bitcoin)
I would be behind this 100% as it "fixes" the whole BTC/XBT issue and give those who have been worried about the size of the BTC something to use.
+1
This is no time for half measures. We need to adopt a solution today that will serve us well for centuries to come, and "bits" (worth 100 Satoshi each) are the right size.
The scale is usable today, when a gasoline costs around 8,000 bits per gallon, and even something as expensive as a house uses understandable numbers like $500 million bits.
Once we achieve global adoption, I estimate that one bit will have roughly the same value as $1 in today's dollars, so having 2 decimal places should be just right. Of course, specialized applications might use three or four decimal places in calculations, as is done today in investing and other places, even if the protocol is never updated to allow transfers of fractional Satoshi.
The abbreviation BTC is already widely established as 100,000,000 Satoshi, and it would be difficult to change its definition now. However, XBT is not yet widely used and could easily be redefined as 100 Satoshi, as long as we do it quickly, before too many people start using it as a synonym for BTC.
Let's get rid of this annoying problem now!
I'm looking forward to the time when a shave and a haircut actually costs 2 bits again!