The Chow ring of $\mathbb{P}^n$ is $\mathbb{Z}[H]/H^{n+1}$, where $H$ is the linear equivalence lass determined by the zero-set of a linear functional. I have a few (very basic) points of confusion:
Firstly, intersection of curves of various degrees in $\mathbb{Q}[H]/H^{n+1}$ should correspond to tensor product of line bundles in the Grothendieck ring. $aH$ is nilpotent in this ring, and therefore not invertible. Yet it corresponds to a line bundle in the grothendieck ring, which is invertible. Where do I go wrong here?
It seems like the intersection of a point and a curve could be either a point or $\emptyset$. Why is the intersection in $\mathbb{Z}[H]/H^{n+1}$ equal to $0$?
The Chow ring tries to capture what happens in the generic case. Generically, a point and a curve do not intersect. Neither does a pair of curves if $n > 2$.
To your first point, line bundles correspond to divisors (codimension 1) not to curves. You're referring to the identity that looks something like
$$ D_1 \cdot D_2 \cdots D_n = \deg(\mathcal{O}(D_1) + \dots + \mathcal{O}(D_n)). $$
But as far as I know, the tensor product $\mathcal{O}(D_1) + \dots + \mathcal{O}(D_n)$ does not correspond to the intersection $D_1 \cap \cdots \cap D_n$ which is a finite set of points, it corresponds to the data $(D_1, \dots, D_n)$.
For example, in $\mathbb{P}^2$, given say $6$ points, we can factor $\mathcal{O}(6) = \mathcal{O}(1) + \mathcal{O}(6) = \mathcal{O}(2) + \mathcal{O}(3)$. Given two curves of degrees $(1,6)$ or $(2,3)$, their intersection is (generically) 6 points, but given 6 points, you can't just construct two curves whose intersection is those 6 points. If the 6 points are generic there are simply no lines or conics that pass through them in the first place.
So the symbol "$\mathcal{O}(2) + \mathcal{O}(3)$" contains more information than just the number "6". In particular, it contains more information than the intersection product $C_1 \cdot C_2$ of two curves of degrees 2 and 3. That's why we need to lose information by taking the degree for these to be equal.