The High-Dimensional Definition of Investment

Life is a game of asset allocation.

If you keep all your money in the bank, it's like you're shorting the entire world's development—you’re betting on future deflation, that money will be more valuable.

If all your money is in real estate, it's like you're long on the city where you bought the house—you’re betting on the future economic growth of that city.

So people must learn asset allocation and financial management. If you slack off here, then all your lifelong efforts are just fake diligence.

All assets are cash, all assets are stocks, all assets are real estate—the nature is the same, it's all a kind of all-in gamble, with no fundamental difference.

Borrowing to buy a house with all your assets is actually the same as opening a contract in the crypto space, even more foolish than crypto contracts. At least after a contract liquidation, there’s no exchange demanding you continue paying off debts for the rest of your life. Houses are different—using 5x leverage, even after liquidation, you still end up with a huge debt. $BTC