that stuff is some of the worst stuff for substrate for any reptile. Newpaper isn't very good because of traction issues, but there are some non-adhesive textured rubber shelfliners that work pretty good that you can pick up in rolls at walmart. I use soil with my beardie personally, but you have to be careful and make sure the temps are high enough to allow him to pass anything if he might swallow some substrate or items contained in it (there's usually small pebbles and stuff in it). I keep my setup so that his basking spot gives him a basking gradient of 90-130 degrees f (surface temp). He uses the higher temps at times, and I think that even though I've never seen him lick the ground or pick up anything out of the ground, he probably has, and it has passed. He does have potty issues though, but he has had them ever since I got him (over 2 years ago). He only goes maybe once a week. He's also a fickle eater...all he likes are red repcal pellets and occasionally some crix. The only way I can get him to eat greens is if that's all that I give him for a week, and then he only eats just barely enough to stay alive. He's a pain in the butt as far as lizards go, but he's worth it.
Sand is also the old standby, but I don't care for it too much. I've tried it on various occasions and always felt that it was too dirty.