Friend who acts like everything is a dick measuring competition (long)

So, in my friend group there's this guy who I've been friends with since we were fairly young, around 10-11 (I'm in my early 20's now). He's always been a bit of a dick though, in fact he bullied me before we became friends later on in the same year.

He doesn't smoke, but does some times hang out with us when the few of us that smoke do. He's only smoked once before, and couldn't finish the cone (I'm Australian, we say "Cones", instead of bowls). Anyway, I have been smoking since I was young, but I still have a low tolerance compared to what you would think, after smoking for as long as I have. I credit it to my lack in physical size, as well as due to the fact that when I pack myself a cone, I only pack small ones (I started doing it since I had a bad panic attack after having too much). I found that packing myself smaller cones also gave me more control over the high, and I could tell if I needed to give it a rest before having another one.

Downsides to my small cone strategy, is that you have little to no ability to show off at parties or anything. Now this is about the time that I should be getting to my friend again. When we were teenagers we started a tradition of having a get together once a week called "Boys Night", it had all the aspects of a party, except the numbers, it was just our little group of friends, mostly the smokers.

We have still hold this tradition to this day, but it does seem to lack the fire that it once had. We were sitting there, one of my smoking buddies (All of my smoking buddies know that I have small cones, and accept it) packed me up, and handed the bong to me, I declined, because I already had a couple before I got there at my other buddy's house. So I hand the bong back to him, and he hands it to one of my other friends, D, who hasn't been smoking as long as me, but still can smoke more than me. He pulls the cone really easily, and the buddy who packed it said "Yeah, it was just a *My name* sized cone".

The friend who doesn't smoke, and can't smoke, and who has no business making fun of me for not being able to smoke a lot, starts to laugh, and says "How do you feel? D hasn't been smoking as long as you, and he's already outsmoking you"... Something along those lines, I was already pretty baked. He continued saying things like that for the rest of the night, until he left.

I've been talking with my main smoking buddy, R about him, and he agrees with me that this friend (Let's just call him S for now) is a wanker. He's just generally not a very likeable person, the only thing I really like about him, now that I think about it is that he's funny, other than that he's just the same asshole he was before we were friends.

I don't know how I'll cut ties with him, and I think a few of us feel the same about S. He's always putting somebody else down, and when they turn around and try to do the same to him, he gets all defensive, and starts making threats of violence, which I am now starting to question (I've only ever seen him win a fight once, and the other person didn't even want to fight, every other time, he cried). He's the ultimate egotist, and I just want to see what you guys think I/we should do about him.

I'm not sure if I could take him in a physical confrontation, he's over 6 foot, and somewhere around 100 kgs, but it's all fat, little muscle. I stand at 5'6", 55-60 kgs, mostly lean muscle, and limited training in the following disciplines; Boxing, Muay Thai, some basic Capoeira movements, and general MMA. I have taken on guys larger than myself, but not guys as big as S. I don't want anything physical, it's a last resort for me, but if it comes down to it, I will do what is necessary to keep myself out of harms way.

Apologies for the length, I do a lot of story telling, and I like to make them long.