Bitcoin surges to all-time high of $272.52 (on Mt. Gox) - Is it a bubble?

But make no mistake, Bitcoin is not the currency of the future. It has no intrinsic value.

Now this idea of "intrinsic value" when it comes to currency bothers people, and Bitcoin Bugs will immediately ask why the U.S. dollar has intrinsic value. There's an answer to that. The U.S. Dollar has intrinsic value because the U.S. government which sets the laws of doing business in the United States says it has intrinsic value. If you want to conduct commerce in the United States you have to pay taxes, and there's only one currency you're allowed to pay taxes in: U.S. dollars. There's no getting around this fact. Furthermore, if you want to use the banking system at all, there's no choice but to use U.S. dollars, because that's the currency of the Fed which is behind the whole thing.

Joe Weisenthal

Read more: Bitcoin Is A Joke

Heck, yeah, it’s a bubble! So what?

I think that Bitcoin can be used as a means of exchange regardless of its price. Of course It is better if the price is not too volatile.

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