A simple chart of bitcoin price doesn't do this bubble justice.



To fully grasp this bubble you must put it into a context.



However, most the coverage has missed out one of the more interesting and unintended consequences of this price increase. That is the surge in global electricity consumption used to “mine” more Bitcoins.

According to Digiconomist’s Bitcoin Energy Consumption Index, as of Monday November 20th, 2017 Bitcoin’s current estimated annual electricity consumption stands at 29.05TWh.

That’s the equivalent of 0.13% of total global electricity consumption. While that may not sound like a lot, it means Bitcoin mining is now using more electricity than 159 individual countries (as you can see from the map above). More than Ireland or Nigeria.

If Bitcoin miners were a country they’d rank 61st in the world in terms of electricity consumption.



Or maybe or historical comparison is a better context.

Ultimately, the best way to measure a bubble is the mania of the people buying the bubble.



Pole dancing instructor Dee Heath is riding the surge with her fitness business in western Sydney.

She has spent $5,800 on Bitcoin since July and has more than tripled her investment.

"Look, I love pole dancing but lately my passion has definitely been Bitcoin," she told SBS News.

Poll Results: higher the price of Bitcoin, less people believe it's a bubble, more people believe it's undervalued. pic.twitter.com/zxYIr6S7kV — Charlie Bilello (@charliebilello) November 22, 2017

Or maybe this is a better sign of a bubble.



With bitcoin setting record highs almost daily, what can someone actually buy with bitcoin? The answer - not much.

Starbucks won't sell you coffee for bitcoin. Amazon.com doesn't accept it either. Options to use digital currency on Black Friday or CyberMonday are surprisingly limited.

So where can newly minted digital currency millionaires enjoy the profits of the historic bitcoin bull market? In Las Vegas, of course.

The Legends Room in Las Vegas is nightlife reimagined. In addition to traditional forms of payments, the new night club accepts bitcoin, ethereum, and most other digital currencies for drinks, bottle service, and musical performances from celebrity DJs like Brody Jenner and Samantha Ronson.

The Legends Room even issued its own coin, LGD, that trades on the Bittrex exchange. The LGD coin can be used in the club for VIP seating, priority admission to performances, exotic car rentals, and discounts on all club services and merchandise.

Nightclubs issuing their own coins give you an idea of what is happening here.



There are now 12 coins with a market cap of greater than $1 billion and fully 69 cryptos with a market cap of over $100 million. The CoinMarketCap website now lists 1,022 coins that are publicly-trading, and hundreds more where it doesn't have enough data to calculate a market cap yet.

Hilariously enough, this dilution of the whole field has led to a situation where coins based on memes or internet jokes end up being worth more than many other rivals.