For a few years now, economists have been debating whether we are in a Bitcoin bubble. That its value has fallen to one-sixth its peak value about a year ago suggests the bubble has burst. However, that it still trades at five times its value two years ago indicates that it is not completely worthless.
My monetary theory friends remind us that all fiat currencies are bubbles. They will become worthless eventually, it is just a matter of speed. Bitcoin, and other crytocurrencies, have the advantage of blockchain technology for secure, anonymous transactions and so some form of cryptocurrencies are likely to survive for the long haul. This feature makes it a favorite of libertarians who are now bristling at Bitcoin being called "Beanie Babies for Libertarians."
HT: Tim Wunder
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