An asset bubble is not the same type of bubble a rising medium of exchange may experience.

Bitcoin does have its manias and crashes.

However, claiming that Bitcoin is a bubble and totally dismissing the system is painfully incorrect.

The truth is:

- Bitcoin’s exchange rate is in a temporary bubble phase at a given point in time.

Bubbles do not raise the utility of the underlying asset - a house remains the same physical asset regardless of the price.

-- an excerpt from the 2-minute version of Bitcoin Hypermonetization: Bubble Talk (2013), originally posted in https://www.2minutebitcoin.org/blog/bitcoin-hypermonetization-bubble-talk-2013