The energy needed to mine Bitcoin is hurting the planet.

That's a bad argument in favor of fiat currency. The fact that you feel fluent in what goods and services are worth in comparison to a U.S. Dollar isn't an argument for its value.

I'm gonna guess you earned more last year than, let's say, Richard Nixon ever earned in his life. That isn't a reflection of the value of your skills or Nixon's, but rather the precipitous drop in the value of the Dollar over the last 50 years.

Also, I agree with you that there are scoundrels now flocking to cryptos. But that isn't a reflection on the concept.

If we tied the Fiat currency to gold, as we should, then inflation would disappear. Unfortunately, modern economists and the Fed feel that inflation is a necessary evil that causes people to consume in the short term rather than waiting for things to get cheaper or cost the same in two years. Modern economics is wholly flawed, and we see it with Central Bank activities. That folly does not justify things like crypto currencies.

You have absolutely no way to know what a crypto currency should be worth. It has no underlying value and it has no practical usage. It is a bubble, a house of cards, and sure it is worth what someone else is willing to pay for it. And someday no person will be willing to pay anything.

I'm gonna guess you earned more last year than, let's say, Richard Nixon ever earned in his life. That isn't a reflection of the value of your skills or Nixon's, but rather the precipitous drop in the value of the Dollar over the last 50 years.

No offense taken. There is a distinct possibility that I am 100% wrong. I was almost convinced that the housing bubble was for real as my arguments against it seemed to whither over time. We laughed about the dotcom bubble including the guy who sat next to me who bought the QQQ's at the absolute peak or the fool who owned mothernature.com.

I think the rise of bitcoin's price is a sign of the current global asset bubble. But this time it's different right?

Technically you CAN eat gold.

The energy needed to mine Bitcoin is hurting the planet.

You just hit on a great idea. Greencoin, the ecologically responsible cryptocurrency. Actually, I'd be surprised if something like that didn't already exist.

Many of the currencies do not support mining, specifically citing the energy resources that are required.

How are transactions proofed?

I'm a bit over my skis on this, but I think they just create 8 million coins (or whatever number) and then the transfer of coins works the same way as the Bitcoin does, it is just that no new coins can enter the market. I'm not entirely sure how they decide who gets the initial 8 million though.

But you still have to prove the transactions and provide some incentive for doing so.
I tried to GOOGLE IT! and I see the guy who invented BitTorrent is working on an alternative that somehow utilizes available storage.

If we break it down enough, gold has little "real value". After all, you can't eat gold. The "value" of gold exists primarily in man's brain.

And no offense, Dennis, but I have yet to hear anyone who I really thought understood the underlying technology call Bitcoin a "bubble". You can go online and find podcasts and videos from when the exchange rate for Bitcoin was around $2000 USD and hear Real Smart Guys telling you how it was a bubble that would burst soon.

But you still have to prove the transactions and provide some incentive for doing so.

I tried to GOOGLE IT! and I see the guy who invented BitTorrent is working on an alternative that somehow utilizes available storage.

Ouch. I am sure a few suckers got smacked.

I'm not sure what you mean. Are you talking about guys who were looking for a short term gain? I would advise buying the cryptocurrencies and forgetting about them. Check back for your pleasant surprise in about ten years.

Come on, don’t play dumb. BitCoin fell 40% in a matter of days. They reeled in the suckers and now they’re getting sheared. Normally long term is the way to go but not with something that has no inherent value.

I may be on the wrong side of history with bitcoin, but I am completely comfortable sitting back and watching another bubble come and go. The best part will be all the people jumping on the train that will wonder where the U.S. Government was during said bubble and why it didn't protect innocent consumers from greedy crypto peddlers.

Well, guess you nailed this one so hard I'm almost willing to consider your argument that supply-side economics aren't full-bore bullshit.