Day1 session am

Most people think the answer to their financial problems is simple. Make more money. You know, earn a higher income, get the promotion, scale the business, just make more, and everything gets easier.

But here's the problem with that. 60% of people making $100,000 a year or more living paycheck to paycheck. Michael Green, a Wall Street strategist, says that the US poverty line for a family of four should be around $130,000 to $150,000 per year. Think about that. If just making more money doesn't help people earning six figures, what makes you think it's going to help you? The problem is you're playing the wrong game.

Now, here's what you were told. Work hard 40 years. Save aggressively in your 401k. Invest for the long term and hopefully retire at 65. If you do that, then you'll sell your assets to fund your lifestyle and then you'll hope that you die before you go broke. That's the plan. That's the retirement game. But let me ask you a question. If that works, why are 50% of baby boomers retiring today with no savings?

Now, half of them that do have savings, the median average is only $240,000. $240,000. After 40 years of working, after doing everything right, and that's supposed to fund 20 to 30 years of retirement, $240,000 divided by 20 years equals about $12,000 per year. And that's before taxes, before inflation, before healthcare costs. Retirement game, it doesn't work. But it's not because people are lazy. It's not because they didn't save enough, but because the game itself is designed to fail.

Because here's what happens when you sell assets to fund your life. First, you trigger taxes. 30 to 40% gone immediately. Two, you stop compounding. Future growth dies. Third, you collapse time. Every sale shortens your runway. Selling is the amateur move, but it's the only move the retirement game gives you.

Now, I know what some of you are thinking, Mark, just tell me what to buy. Like, what stock? What crypto? Give me the asset, and I'll go make money. And I get it. You came from tactics. But here's the problem with that. 75% of lottery winners are bankrupt in less than 5 years. Pro athletes making tens of millions bankrupt. Musicians bankrupt. Actors bankrupt. It's not about the asset. It's not about buying the right thing. If it were that easy, lottery winners would stay rich. The problem isn't that they picked the wrong investment. The problem is they didn't have a system. They had the money. They didn't have an engine. That's what we're building over the next three days. This is not about a hot stock tip. This is about a system that outlives you.

Now, before we begin, I need to be clear about something. Most of you came here for information. But I'm not inviting you in for information. I'm inviting you in for a transformation. Information is something that you collect. Transformation is something you become. This today is your line in the sand. You can keep playing the game where 50% of people retire with nothing. Or you can be the one who changes your family tree. But that requires you to play full out. It requires you to take notes, participate, and do the work. The system works, but only if you do. I'll see you in a minute.

Operating system is the accelerator event. And when I talk about accelerator event, um we are going live right now. We are into the wealth operating system. This is the accelerator event. And when I talk about accelerator event, um think about going really fast because that's what we're going to do. We're going to go really, really fast. I have about, you know, a decade of knowledge, about 12 months of coaching program, and we're going to try to squeeze it all down. I'm going to get into it really, really quick.

Just real quick, I want to make sure that you can hear me. Tech check. Can you hear me? Can you see me? Can you drop it in the chat? Give me a chat. Give me something in the chat so I can hear you. I can see you. Uh real quick, uh to my crew that's here, uh one of you guys, I need chat. So, get another monitor set up right here. Get that monitor set up. Hook it up to some hook it up to another computer. Whatever you doing to get that uh can everyone hear me and see me? Can I Can I get the chat up here? >> Can you send the chat up here? You can just like click it, break it apart, and drag it up here, maybe.

All right, we're going to we're going to get this worked out. Uh we are not in we're not professionals with this. We're just we're just winging it as is most things in life. We have to sort of wing wing it. Uh but you guys got me. We're going to keep going here. Um now, I know we have people from all over the world. I know we have people from Brazil and Canada and the UK and Australia, Germany. It's incredible. Um most people are obviously from the United States where we're at. Uh so, I appreciate you guys being it's late at night. It's early in the morning. Um, my goal, uh, my promise is I'm going to make it worth it to you. Uh, this is going to be pure value. This is, as I've told before, the things that we typically charge $10,000 come in studio learn. And I'm going to give it to you guys all right now.

So, I'm going to go really quick. Um, I I know you've all paid to be here. I know you've all cleared your calendar to be here. Uh, I know you've watched that video and I know you're still here. And so, that already puts you in a different category. You see, most people want their life to be different. They hope their life could be different. They watch videos and read books and then they get dopamine rush because they believe their life will be different if they don't do anything. And so, you can have the biggest goals in the world, biggest plan, unless you actually take that step and move forward, it's not going to work. And so, you're here. That already put you in a completely different category than everybody else. Now, let's just go ahead and jump right in because like I said, I have a ton of content that we have to get through.

Um, let's just let's just let's just go to start the day with a little exercise. I always like I call this the magic wand exercise. And it's the magic wand. So imagine uh well, first of all, I would imagine that you guys are all high performers. You're high performers. And I would feel pretty confident saying that because you're here, right? You've already identified yourself. You've already raised your hand letting me know that you're the type of person that believes your life could be better. You know that if you had the right information system could be better. And so and you're action taker because you're here. So now you're high performers. I know you work incredibly hard, right? You work incredibly hard. You're trying your best, right? Okay.

So let's do a little magic one. Close your eyes. Do all you guys have a pen and paper? Something right now? What do we got going on here? >> Uh hopefully you guys hopefully you guys got some pen and papers. Uh because uh I'm going to ask you to write down a lot of stuff. This is not a seminar. This is not entertainment. You're not here to sit here and listen to me talk the whole time. Okay? Uh education, knowledge, it's all worthless. Only knowledge that's put into action is power. Okay? Knowledge is power. Only actual knowledge is power. So make sure you have paper. I have a bunch of worksheets hand. We're going through a lot. Okay? This is a workshop.

Anyway, right now, if you if you had a magic wand, find a magic one. And I can give you any amount of net worth that you would want. What would that be? Is it a million dollar? Is it 5 million? Is it 10 million? What would that number be? Write it down. Write down that number. Okay. Now, let me ask you a question. Why don't you have that number yet? If that's really what you want, if that's your goal, why don't you have it? And I know it's not because you're lazy. I know it's not because you don't work hard. Obviously, you do those things. That's why you're here. So, the answer to that is that must be because you're missing something. There's something that your hard work is not breaking through. There's something that needs some new alignment that can help you get there. And so, that's that's something that's missing. That's what we're going to go over. That's what I'm going to show you that's missing. I'm going to spend about the next 20 minutes to do that. Um, and we're going to start really wide. We're going to shift your entire view of how things work because the world doesn't work the way that you thought it does. We're going to shift that. And then we're going to dive deep through that all day. Like I said, dig in the numbers. We're going to write stuff down. And then tomorrow, we're going to really start to amplify. Think about like this. Today we're going to build the motor, the engine for your car. Like you have this little rinky dink motor that's barely running. We're going to install a new motor that's capable of like a race motor. Okay? So we're going to build a new race motor that's capable of getting to horsepower. Tomorrow we're going to show you how to put the gas in the motor and how to bolt on a supercharger. Tomorrow's about optimization, multiplication.

All right? So let's just first talk about the old game that you've been playing because everything you learn is wrong. If you watch YouTube videos for a long time, know I used to open up every single video that way. Everything you learned is wrong. And that's because mainstream education, the media, the educational system that we have was built for an industrial era. You were given an industrial era worldview, industrial era, industrial era tools. That world no longer exists. Today we live in a different world. We live in a we've zoomed past the information age. We're in the intelligence age. Now 2008 changed everything. That's like the dividing line like uh BC and AD like 2008. The financial system changed as we know it. And so all those old rules that you had, the wealth building rules, they don't work anymore. The go to school, get grades, save time. All that doesn't work anymore.

All right, we got we got to chat up now. Uh maybe you can uh bring it over a little bit or just compress the screen over so it's on the right side just cuz the light's blocking. We're getting there. Bear with me. Uh here, let me first of all, my promise to you is this is going to be so worth your time. You are going to just get so much out. It's going to change your life. My ask is give me a little bit of grace. I got a lot of things. I got a bunch of screens and work stuff. So, it might be a little clunky. Okay.

So, the only way you've been trained is go to school, get your grades, save for retirement, and one day in 40 years, you'll have enough money where you can sell a little bit of your assets every day so you can live in the lap of luxury on a chair by the pool, sipping on my tie, and hopefully you die before you run out of money. And what that means is that everybody, you and I, your household budget, your business even, you're optimizing a P&L, a profit and loss. All right, the profit and loss. I have all my income. I have to budget that income. I pay my expenses and I have whatever's left. That's all business run. That's how you actually hope you guys are doing that. And so what we try to do then is how do I make more money? How do I work harder? Let me work 60 hour weeks. I got I got to scale my hours. I got to work harder. I got I got to get a pay raise. I got to get new skills. I have to scale my business. I have to get more revenue.

But the wealthy, they don't live that way. Well, the smart ones anyway. The wealthy don't live that way. They do something different. That's why they're wealthy. That's why they're 1%. They optimize their balance sheet. Instead of trying to just work harder and make more money, they optimize their balance sheet. Why? Because the system that we're trying to win this game in the game of wealth. The old system is gone. The new system doesn't care how hard you work. It cares what you own. Let me give you an example. If you go to the bank and the bank wants to give you a loan, what do they loan against? They loan against collateral. What assets do you have, right? They loan they loan against collateral. They want to see the assets. They don't lend because you make $500,000. They lend because you have the collateral. They lend against your assets. I mean, sure, they want to make sure you have the revenue to pay the loan, of course, but they want to make sure you have the assets or the collateral. So, if you don't pay the loan, they have something to come back against. And so, you beat the system by owning more collateral, by owning better collateral. Not making more revenue, by owning better collateral. It's a completely new system. I'm going to break it down. Don't worry. I don't have much questions about it.

And so in this instance, we could say that revenue is is a vanity metric. Revenue is like it feels really good. I'm making 100,000 or 200,000 or 300,000. But 60% of people making over six figures are still living paycheck to paycheck. They're not building any wealth. So revenue is a vanity number. The balance sheet, what you have on your assets, that's your destiny. That shows us where your life is going. That shows you that shows us where your kids life is going, where your grandkids life is going. Uh all right. Uh and so anyway, that is the difference between a worker and a treasurer. Okay? We're going to break these two down. The worker and the treasurer. Let's keep going.

Now, I said the financial system, the system, it doesn't care about how hard you work. It doesn't care how many hours you put in. It doesn't care how smart you are. No, the the getting smarter, the working more hours, yes, that that brings your revenue up. But what the system rewards, the financial system, the debt based monetary system. Let me just go back a minute. Uh the world for millennia, thousands of thousands of years, it was an equity based system. It was based off of a gold system or commodity system. And in 1971, the entire world went into got off the got off the gold standard, got off the deity system, went into a fiat system. What that means is it's a debt-based monetary system. And in the debt based monetary system, it only cares about collateral. That's what it rewards. Not working harder. Sure, making more money is a little bit more gas, but we need harder. So, it's not working harder. That's the shift that we're going to make today. I want to get you off of the profit and loss treadmill. Get off that treadmill. I want to show you how we can grow our wealth 300 or 500% faster without having to work harder, without having to make a single dollar more because we're not trying to work harder, make more revenue. We're trying to use the assets that we already have. We're teaching you to manage the assets instead of chase the income. Let me show you what that looks like.

Now, most people operate with a with a worker mindset because again, we were raised in an industrial era school system and we were taught this industrial era world lens and that that world is not no longer there. Even if you're a business owner, even if you're a hiring entrepreneur, this is how workers think. This is how workers think. Uh, how do I make more money? Uh, how do I get a better job? Uh, how can I be more efficient? How can I work more hours? How do I budget better? How do I keep more of my money? When can I retire? How how do I save enough to get there? But there's a completely different operating system. And this is the one we're in program today. This is a treasurer mindset. A treasurer thinks completely different. A treasurer thinks, how do I own nothing but yet control everything? They think, how can I take these assets? How do I take my wealth and grow it 300 or 500% faster without having to work any harder, without having to earn any more money? How do I retire without having to sell my assets without hoping that I die before I run out of money? How do I create a system that my kids can can run? My kids can continue and they can continue to benefit me. My kids, my grandkids, etc. That's the difference of the mindset.

Now, the worker, they sell assets to fund their life. You earn income, you save whatever's left over, hopefully have a little bit left over. Like I said, people 60% people six figures pay to paycheck. Hopefully save a little bit, but when you need money, you sell and you hope that you don't run out before you die. Now, uh I spent New Year's down. I built this beach house down there last year. One of my friends that's down there, uh his grandfather died and he's running the business now. It was his grandfather. Uh he's the grandson. He's running the business now. The grandfather did amazing. Uh that generation uh you know they lived in buying assets and so he owns retail centers and he owns two or three houses on the beach in Mexico. Mountain like houses everywhere, office spaces everywhere, right? And the kids, so my friend who's running this now, his parent and their brothers and sisters, their kids are trying to sell all the assets as fast as they can. They're all trying to divvy it up. Okay, you get this house. I'll get this office building, whatever. They want to sell it all so they can all get the money. His parents, his aunts and uncles, they all want the money. They want to sell what's left, sell the assets to get the money, and then hopefully they don't run out of money before they die. That's not how the wealth That's not how his grandfather built the wealth. That's not how wealthy people build wealth.

The treasurer borrows against assets to allow the assets to keep compounding. Let me ask you a question. Uh assuming that you guys are a little bit older, maybe my age, maybe older. Think for your life. Think about all the assets that you've owned throughout your life. I'm sure you probably own a couple different houses, a bunch of different stocks, whatever. Imagine if you had all that today, like throughout your life, you bought boss, whatever. If you had all the day, would that be a good thing? Would that be worth more money today? Because it would have kept compounding this whole time, right? So the treasurer borrows against assets and those assets are able to keep compounding. So the treasurer does it different. They earn income and they earn the income and they convert it into assets and then they use the assets as collateral. Collateral for what? Collateral to rent liquidity against those assets and that liquidity is what funds your lifestyle without you having to sell. It's a completely different system. Let me say it again. You fund your lifestyle without selling assets. That's the magic. Let me show you. Let me show you two people who live this way.

Now, if you guys watch my content regularly, you know, I had the benefit of know Michael pretty well multiple times on his boat. We had dinner in LA. We had dinner in Prague recently a few months ago. I got to share the stage with him in New York a couple months ago. Uh I was with him in DC. You guys probably saw that video with me. So, I got to spend a lot of time with him. And when we were in Prague this last summer, we had this dinner at the steakhouse and he shifted my whole worldview. And he explained to me really what he's doing here. You see, Michael Sailor ran a company called Micro Strategy. And Micro Strategy was a software company. So, they made, you know, business software and they competed against the big ones like Microsoft and whatever. And um if you listen, there was an interview with Jordan Peterson where he really goes deep into this. And he said, "Look, he tried everything. He he spent a decade traveling the world, hiring the best people, deploying all the capital, and he couldn't grow the company. Couldn't grow. He tried everything. He tried to rip it apart, rebuild it, it tried different products, everything. He couldn't grow the company. He couldn't compete against Micrology, sorry, Microsoft, etc. The company was worth micro strategy worth about $3.6 billion. Okay? And he couldn't grow. He had about 500 million cash in the bank. And it was just basically uh melting melting ice cube. So, he didn't know what to do. I have 500 million. I try to buy another company. He's I spend a decade trying to grow. I find everything. I cannot grow the company."

So what he did, he said instead of trying to manage the P&L, instead of trying to get more revenue, think what he was doing, right? I was trying to buy companies, I was trying to start new products, I was trying to grow my revenue because if I could grow my revenue and keep my budget tight, I could make more money and my 500 million I have in the bank could get to 550 and they get to 600 million and it get to 700 million if I could only increase my revenue. He couldn't. So what did he do? He changed the company. He actually literally changed the name of the company from Micro Strategy and changed the name of the company now called strategy. Drop drop the micro. And he changed the whole strategy. He went from a P&L company for revenue. I'm going to take this 500 million and just manage the 500 million like a treasury, not a P&L, like a treasury. 5 years later he went from 3 billion to 50 billion in 5 years 3 to 50. He didn't work harder. Micro strategy or strategy today makes less revenue than they made before. The revenue went down. He didn't work harder. He made more money. But he grew his assets from three to 50 because the system rewards collateral, not income and not labor. You don't need higher income. You need a system that can multiply your wealth 300 or 500% faster. And that's what we're going to build in the next three days. It's a treasury system that funds your life without having to sell your assets.

Now the wealth is the operating system. OS is operating system if you weren't aware. The wealth is a 12week system. There's three modules but I'm going to give it all to you in three days. All right, at a high level, all the insights I can give you, you as much worksheet as I can cram in uh 12 weeks in 3 days. All right, so buckle up. We're going to go really fast here. We're going to learn number one, we're going to uh learn how to install the system that prevents force decisions. So, there's going to be four different sessions we're going through today. There's four artifacts that I'm going to give you. This means these are tools that you're going to get for being here uh live. If you're here live, you get them. If you're not here live, you don't get them. I'm sorry. You can buy the recordings and the recordings, you can get those. Uh there's people in the chat. You can message those and uh if you want, you can figure out how to get the recordings and get these. You can't be here the whole time, but I highly recommend you be here the whole time because work.

So, the four going to get the treasury doctrine. Okay, this is going to be your financial constitution. This is the rules. Two, you're going to get the balance sheet X-ray. Uh this is all about ass what assets we have asset classification. We're going to go through what I call a lazy capital audit. Uh the reason why it's lazy is because I like saying that the reason why you have to work hard is because your money doesn't. Your money should be working harder than you. You don't need two jobs. Your money needs two jobs. Your money needs five jobs. You don't. Okay. So the lazy capital audit. Then three, we're going to do the liquidity stack. This is how we engineer your optionality. Number four, we're going to talk about risk and leverage policy because oh market is so risky and scary. We're going to build a risk and leverage policy. How we can do this safely. All right. So by tonight you're going to see multiple. By tonight you have a whole new engine. You're not going to have a whole four-cylinder engine. That's one part. You're going to have a race motor in your car. Now tomorrow you're going to need to get the gas and put the supercharger on it. But right now we're gonna build system. We have that by the end of the night tonight. Um, we'll show you how the system scales. That's gonna be tomorrow.

So tomorrow we're going to talk about income and tax optimization. I'm going to bring in my friend and partner. He's my tax strategist, Garrett Gunderson. Uh he's a multiple time bestselling New York Times bestselling author. Uh so he's going to come in. You're going to love him. We're going to learn about um how to multiply wealth faster. We're going to learn how to take money that we already have growth that faster tax to investment routing into architecture. Uh he wrote the book the Rockefeller method. All over YouTube people talk about Rockefeller. He wrote the book literally. Uh I'm going to teach uh about multiplying, leverage, arbitrage, uh wealth layering, stacking, wealth velocity, generational operating systems. And then tomorrow we're going to do what I call laser coaching where we're going to go through all this. We're going to build a motor. We're going to strap on the supercharger and I'm gonna coach you all through it live right here from the stage. Uh and then finally day three is going to be you've seen it now install it. Again knowledge that's not put in action is workless. Just waste your time. Only knowledge that you put that you put into practice is power. This works only if you do the work. So uh day three is to give you the 12week implementation road map. You leave the road map. We probably walk through of what the buff operating system is. And like I said before, this is not entertainment. I'm not here to sing dance on stage for you. You guys can watch my YouTube videos. This is not entertainment. This is not motivation. This is engineering. What we're doing is we're building a machine here.

Let me tell you the story real quick. This is a framework that you can use as we go through this today. Uh the Great Britain men's men's rowing team. They're preparing for the 2000 Sydney Olympics. They had gone 16 years without having any wins. And they decided, the coach decided they were going to make one single transformative decision. One thing that could change everything, one thing, not a hundred things, one thing. They decided to focus on one single question. And then they let that question decide everything. Decide their focus. Every action, every practice, every meal, every decision came down to one thing. Will this make the boat go faster? You guys ever heard that story before? Will this make my boat? So, every single decision went through that. If the answer was yes, they did it. And they didn't just do it. They did it with intensity and focus. If the answer was no, they cut it out. No debate, no chooses, just gone.

So, here's my question to you. This is the frame that I want all this to go through. What's your vote? What's the thing you're trying to move faster? If you don't have a target, none of this is going to matter. You need to have a target that we're going to. So, what is what your boat? What's the thing that you're trying to move faster? What are the distractions in your life that are keeping you from winning that gold medal? So, today we're going to learn the strategies, the systems to make our own boat go faster, not a little faster, 300%, 500% faster, fast enough to win your race. So, what I want you to do is throughout this event, ask yourself, will this make my boat go faster? That's the frame. Will this strategy will help me multiply my wealth? Will this strategy help me grow my life faster? Will this strategy help me achieve the freedom that I've been chasing?

One more frame. And here's what I want to do. And this is this is super important. Pay attention. This is super important. This I want to do. We only pay for what we value. And and to be honest, uh like I had a lot of internal debate by myself with my team about what we should charge for this event because like I said, I only charge $10,000 when I do it in person in small groups. So I said, "How can we offer this to everybody and and make it really affordable?" So, you know, it was much cheaper like $97. But the problem is that people only value what they pay for. So part of the reason why I charge a lot is people value it more. So I was afraid if I priced it too cheap, then you wouldn't value it. So here's what we're going to do. We're going to try to fix this, right? It's a mental thing. And so you can take the proper values. You can really understand how how this is. Whenever you hear an idea that can make you $50,000, $50,000, right? If you spend 10,000 on an event, you hope to make at least 50,000, right? If a five five times return, it would be pretty amazing. No one makes five times turning on that. So, you didn't pay 97. But whenever you hear an idea that could be worth 50,000, that can save you 50,000 in taxes, that can unlock 50,000 in lazy goring capital, that can generate 50,000 in cash flow, write 50K next to it. Okay? By day three, I want you to just add them all up. And I think most of you going to have 200,000 or 500,000 or 1 million in ideas. All right? And that's how you're going to know this event paid for itself. But the more important, that's how you're going to know that you can take it seriously. You have to put a price tag on it. Okay? So, the frame will make my voc idea, I got to write it down so that as you go through this, and implement this, you know which one's the highest value. $50,000 ideas. Write it down.

Five steps to win. Show up for every session uh every system right this is this is not a buffet where you pick and choose one reason we don't publish our whole schedule it's not okay you need the whole system it's all being taught uh in a process the sequence matters do the worksheets again I'm gonna give you artifacts I'm gonna give you uh spreadsheets these are not just ideas and education do the work three engage in the breakout rooms right so we're going to be doing breakout room so you get into small groups and discuss these community happens here you need to hear from other people to discuss it and talk about it ask questions in the chat I have a whole team in there we're monitoring this all day long uh turn your camera off turn your camera on so we can see you where we can what's going on >> turn the camera on I want to see you uh as you can tell I'm having a problem I'm not seeing you and uh I can't sit here and talk to a camera all day for three days it's not going to work I need to You guys, I need to see the chat or it's not going to happen for me. Okay, turn your camera's on. We have backgrounds for you. If you guys want use both those backgrounds, that'd be great. Um, and that's it. I see you guys dropping the the flex. So, you're ready to go.

So, here's what we got coming up today before we uh before we go. Uh oh, my clock just fell. It's okay. We're going to keep going anyway. All right. So, before we dive into session one, I need I need to set the context for why we're doing this right now. Why now? Some of you think I get it right. I need a treasury. Why now? Why is this so urgent? And the reason why is because the world's changing fast. It's changing faster than most people realize. So, before we install that treasury, I need to show you what I think is coming. I need to show you why you have less time than you think you have. So, give me 10 minutes. We're going to dive into session one and I'm calling the state of the world. Not the presidential state of the union. This is the state of the world. We're going to be right back. Uh load that up. Give me a couple minutes.

All right, we are live. We're going to go back. Sorry, we're going to cut it short. I'm not going to let that count down timer go all the way. We're working on the background. I think we're just going to put the west background back up there. Uh, I love seeing you guys back there, but um anyway, I got you right here. So, I can see you guys right here. I got my chat up. We're all good. We're too going. I'm already running behind. I talk way too long. So, I'm going to go even faster. I'm going to try make a little bit shorter because we have so much cram in here. But where are we going in 26? And really, what do I think of the next 24 to 36 months? And why do I think the urgency is so high? Let's break that down. And we want to know this because we're going to build this motor and we're going to multiply it to build our wealth. We sort of have to understand the road and the train in front of us, right? Uh I thought about building a race car but like you're not going to drive a race car with a blindfold on. You kind of need to know where you're going. And so you know we just crossed a line that we can't uncross. Uh we have massive amount of urgency and inevitability that's happening. And so I know a lot of you enter that first section like okay I get the treasury model but like why now? Why is this so urgent and that's just because the world is changing faster than most people realize and most people you and I we have less time than you think. Let me show you what I think is coming.

So let's just start with the money supply. The the global world assets are being driven by global liquidity or the money supply. There's five major central banks in the world. The US central bank reser world of course the Fed is the most powerful and it means the most and all the central banks key off of are waiting for the Fed to pivot and the Fed just pivoted. We just ended what is known as not known as is actually u the fastest tightening the fastest rate hiking cycle in history in November 2021 the Fed panic they after the co um stimulation system inflation started raging too high after started running way too fast the Fed panic after they said they wouldn't tighten they did November 21 pal comes on the news and says okay inflation's 9% it's way too hot we're going to start hiking they went the fastest rate hiking cycle they basically turned the spigot off and that just ended as of December 1st so about a month ago December 1st 25 the Fed officially ended quantitative tightening they stopped turning the faucet off and they switched back from tightening to quantitative easing they started turning the faucet back on now they didn't just start lowering rates they didn't just start stopped tightening and started buying. They started buying a big in a big big amount. As a matter of fact, they turned the faucet all the way back on. They're now buying $40 billion per month in treasuries and that's about to hit $80 billion a month pretty soon. Why? Because Trump, the Fed, they tried to tighten. They they did like the fast hing history, but they couldn't kill inflation. They couldn't get back to their target. And so even though they wanted to keep tight, they wanted back to their target. They couldn't. Why? Because the system is breaking apart. The plumbing, the banking system, it's too fragile. They can't do it. They're back in the corner. They gave up. Why? Why are they stuck? Well, they're stuck because they can't raise rates without breaking the system. If they keep raising rates, the banks start collapsing. The banks become insolvent and they can't afford the interest on the debt. But if they lower rates, then we risk inflation, runaway inflation. So they're going to choose inflation every single time. If you watch my YouTube channels, you know I talk about the crash up, not a crash down in 2008. It's crash up where things run away so fast, you don't have a chance. In 2008, at least when things crash back down, we have a chance to buy real estate cheaper. Home stock market is cheaper. But in this crash up, we just get further and further behind.

Major central banks, like I said, it's not just the Fed major banks around the world. They're all also facing the exact same trap. This is the end of what happens in their debt system, a sovereign debt crisis. And so the money back on and this isn't speculation. The central bank of the central bank uh they tell us what's coming. Now the central bank of central banks is the IMF, international monetary fund. They wrote a paper titled the liquidation of government debt. It's a boring read, but if you want to read it yourself, just go Google that. You can download it. It's not a theory. It's the actual playbook. It's what the central bank of central banks and I've told the central banks to do. Government, what he says is government governments liquidate debt through financial repression. Bond holders, the bag holders, the bond holders, they get wiped out. The savers get taxed via negative real rates. And this is not just theory. It's not just what they're telling them to do. They've actually done it in World War II or after World War II. The US had to run this exact same playbook. The debt to GDP after World War II went all the way up to 126% in debt to GDP. And through financial repression, they're able to bring it all the way back down to 23% in 1974 because you have debt to GDP. So if I can't bring the debt down, how about if I just bring the GDP up? And I do that through lots of inflation. Financial repression. Asset prices go up. Savers, bond holders, and people earning in dollars. People trying to work harder and save harder. They get wiped out. It's not speculation. The IMF literally wrote the playbook and they're running it right now.

And Trump is about to pour gasoline on the fire. Trump has been fighting the Fed. He's been fighting drone pow call every every bad name in the book. He calls it too late. But he's too late in lowering rates. Trump wants rates at 1%. He said many times. Fed chair Powell is out. He's out in a couple months. So the President Trump gets to elect the next Fed chair and he's going to elect somebody that will get him the 1% rates that he wants. He said he wants him down quote by a lot. So he's going to get he's going to get a doubling. We'll call it a doubling on inflation. Give Trump what he wants the 1%. What does that mean? That means things are about to go parabolic. On top of that, Trump wants to reshore America, right? We need chips. We need chips here. We need all of our mining, our critical minerals, all that going to the copper, the silver, the earth elements, all that has to be done here. And then not just do we need to mine it here, we need to refine it here, all made in America. Uh just the chips act alone is $280 billion. The government spent $1.2 trillion for infrastructure. Now, if we compare this again back to World War II when the government ran the financial recession playbook, but at the time, the US went through the greatest reindustrialization period that that we've ever seen. And we're doing the same thing again. This will be the greatest reindustrialization period that we've seen since the end of World War II. Now, what happened during that time? Well, through financial recession, let it run hot plus re-industrialization, asset prices absolutely exploded. Inflation surged. And what happened? Well, the wealthy got wealthier because they owned assets, not because they sold their assets because they own the assets. The workers, they tried to work harder harder to make more money, but they kept falling further and further behind because they were working for revenue that was buying less and less and less. Now, history maybe doesn't repeat, but it certainly rhymes. Okay.

Now, on top of that, we have this AI disruption. There's two reasons why this AI disruption is massive for you. Number one, the spending. We're talking about trillions of dollars that are being spent on AI infrastructure, data centers, energy, comput power, all of that. 500 billion in 25 alone. By 2030, analysts are expecting 7 trillion being spent. We're talking about just dumping gasoline on the fire. Think about it. Microsoft alone is spending 80 billion on AI data centers this year. AI is the biggest wealth transfer in history. Okay, so we have all this money, more spending, more hot economy, rates going down. We're talking about inflation, red on top of it. Then we also have the jobs. The World Economic Forum is saying that 92 million jobs will be displaced by 2030, the next four years. We're talking about massive disruptions. We're talking about massive spending, massive runway, inflation, assets exploding, income savings going down, and the biggest job um the biggest job displacement we've ever seen. Mackenzie says 30% of US jobs will be automated. 60% will be significantly altered. So this is why I'm saying we have about 24 months. So, we have a 24-month window to use this to our advantage, to use this wealth transfer, to use this inflation, to use AI. If you're not using AI every single day in your business, you're following me. We have 24 months to use to our advantage to get ahead of other people. And after that, the world will look completely different. We're not really sure. Now, I'm not a doomer. I believe that uh we're going to have more jobs in the future, not less. AI is not going to take everybody's jobs. It'll create more jobs than it takes. But it's disruption. It's the period that gets us from here to there. We don't know what business looks like on the other side. We don't know what the economy looks like on the other side. So, let me pile this together. Again, for the we don't really like them, but they do good data. 170 million jobs will be created. 90 million will be displaced. So, we have 197 million jobs. It's not about doom and gloom. What happens to the 92 million jobs? How do they all find workers? It's a massive disruption era. Like I said, business will be disrupted. And so, since we want to do something outside of we need to make our money right now. We need set up our system right now. We need set up to take advantage of this boom, this reindustrialization boom right now because in a couple years from now, it may not be that easy.

Now, let's go through some math. In 2020, the S&P 500, just last 5 years, the S&P 500 is up 123%. Bitcoin's up 375%. Real estate's up 55%. But the wages, the ones that you're working harder and harder and harder to make more of, they're up 21%. Now, inflation is up 22%. So, the bad news is your income is losing purchasing power faster than you can increase it. You can't work your way out of this. But your assets are going up faster than anything else. Does that make sense? Catching on this? So the gap is that your income is losing purchase faster than you can increase. But your assets are going up faster than anything else. This is why living off income fails. Your wages go up by 3%. Your expenses go up by 10%. But your assets go up by 20%. The only way to win is to live off your assets and not your income. And again, they're going to see I think you have 24 months to shift to the treasury model because after that what the world looks like now. The window is closing fast. The people who act now are going to be fine. The people who wait, they're going to be left behind. There is no reset coming. It's grab that rope.

Now, and and move up with the tide, or get swamp behind with it. All right, that's why it's all tricky right now. So, let's go ahead and just jump right into session one. Give me, uh, 60 seconds for me to swap my slides, kill the camera real quick. We're back. We're back. We're going to rush through this. We're going through this really quickly. Um, I do want to say real quickly, this is not about picking assets. You know, if you're here like, "Mark, just tell me what stock to buy. Uh, give me, you know, should I buy Bitcoin? Should I buy Bitcoin?" Like, this is not about that. So, we're trying to, I'm trying to give you a new motor, a new frame, and you can plug in whatever assets you want. You know, obviously, you guys know I love Bitcoin. I'm a Bitcoin, big Bitcoin bull. Some of you don't like Bitcoin, like gold, gold, gold, gold, Bitcoin. Um, plug in whatever assets you want. I'm trying to give you the framework. So, don't get caught in the mud. Don't get stuck in the weeds thinking about this crypto or that crypto. Like, learn the strategy, the system, and we can interchange and we can use all these assets to get us there.

Okay, let's see where we're at here. 11:05. Let me just reset my clock. All right, I got my clock on. Let's get going on here. Now, let's, let's get into it. All right. We're, we're going to do work. Like, roll up your sleeves here. We're going to do some work here. Now, session one is all about the treasury operating system, or the treasury doctrine. So, we're going to build the treasury operating system. So, what is an operating system? An operating system is like on my phone. I have the, I have an iPhone, an Apple iPhone. What does it have? It has iOS. Is that what it's called? iOS, right? The operating system. So, an operating system is where a software engineer thinks about, "What, what is it I want? What is, what, what is the outcome, outcome that I want? What are the functions that I want? What are the features that I want?" And then they build it out. They code it so that that operating system functions the way that they have predetermined. So, I've intentionally thought of the outcome that I want. All of the systems that need to run together in order for it to operate the way that I want. So, we want to build a treasury operating system, and, and it's part of our wealth operating system. So, when we build all these different components intentionally, what is it that I'm trying to achieve? What are all the features and things and rules that I like? How do I build out there to create a system that can just run? So, it takes the decisions out that I have to think about and all that, and the operating system, once it's built, it just runs. Now, sure, we get updates all the time. We want to update the operating system by change, but the system continues to run. So, it's part of this treasury operating system, what we're building today. So, specifically, we're going to build the doctrine. Okay, the doctrine. Now, most people, as I already said, they fund their life by selling their future. But I think that's the wrong way. Everyone wants to install a system that can prevent that. So, it's a set of rules, a constitution. The constitution of the United States, best constitution in the world. The constitution is a set of rules. Not, not rules for you and I to follow, by the way. Rules that the government is supposed to follow, not to impose on our freedom. But that's a whole different topic. Okay. By the end of the day, I want you to write rules that govern your financial life forever. These are not suggestions. These are not intentions. These are rules.

But before we do that, I need you to understand something most people will never see. Let me ask you a question. What's more valuable? If you could have $5 million in Bitcoin today, or the system that created the $5 million in Bitcoin for you? What's more, what's more, the $5 million in Bitcoin, or the system that created the $5 million in Bitcoin? The system, of course. Why? Because I can lose my wealth, but I have the system, I can build it again. Right? I'll tell you my story tomorrow. You guys, if you've been following a long time, you know that I sold a bunch of, bunch of businesses. I really, really well. I lost all, and I had to rebuild it. But I rebuilt it way faster because I had a system. Actually, I didn't have to rebuild the system, but anyway, it's a different story. But here's another reason why the system is so much more important because money disappears. Maybe it also disappears when they die. Money typically disappears within three generations, not because the heirs are stupid, but because they inherit the money, they inherit the assets without the system that created those assets. Like the story of my friend, his grandfather died, and now his parents and uncles are trying to sell everything off. They didn't get the system. They didn't understand how that that was dope. So, the wealthy inherit systems. The systems create money forever. So, today, we're not going to optimize your portfolio. We want to install this operating system. I call it the treasury doctrine. Okay, intelligence doesn't protect assets. Rules do. If a rule requires you to think through it, if rules require willpower, it's not a rule. So, they want to build suggestions. We want to build constraints, right? That's what the constitution is. The constitution constrains the government, what they can and can't do. So, if you're smart, if you're disciplined, if you're successful, why do you even need rules, right? "How, I already get up early, and I already work really hard, and I'm already, I save 20% of my wealth. I'm disciplined. Why do I need rules?" Because intelligence does not protect wealth. Systems do. You don't fail because you're dumb. None of you are dumb. You're here, right? You fail because you operate without rules. So, when the pressure hits, right? If, if a rule requires, if a rule requires willpower, it's not a rule.

Let me give you a sad story. This was my brand new Lamborghini I bought a few months ago on the left. And on the right is I totaled it. And, uh, this is a sad story for me. Obviously, I wrecked my car, but I go racing. I'm, I'm a racer. I'm a really good driver, but I wasn't in that moment. But that's not the point of the story. Here's the point of the story. Thinking of this, most people would say, "Man, a Lamborghini. That's pretty cool. How much is that? Three or $400,000. I could never afford a Lamborghini. How could I work harder to make the three or $400,000 to buy the Lamborghini? I can't make enough, or I guess I can start a new business, or maybe I get this new sales job. How much harder can I work to get the three or $400,000 for the Lamborghini?" But that's, that's the worker mentality. I'm not a worker. I'm a treasurer. How does the treasurer do it? The treasurer uses the balance sheet. Nobody hurt. Nobody hurt in the, in the car, luckily, just the car. It's got, it's like a marshmallow inside. It's like airbags, like more airbags I've ever seen went around, but that's not the point of the story. So, about five months ago, I saw, you guys know my brand colors are black and orange. I saw this black and orange Lamborghini, and I just thought, "I kind of want that car." And so, rather than go out and pay for a brand new one at like $350,000, I, I found this local dealer, and they had a, they had a used one there. So, it already had lost most of its value, and it was only $200,000. But again, I don't want to work hard and make $2,000 and go put down a car, and that's going to lose money. A car is, cars are depreciating assets. You guys know that. So, I thought, "Here's what we'll do." Uh, I'm just going to take some of my assets that I have on my balance sheet and I'll rent the liquidity. Rent liquidity means I'll take some liquidity off of the assets I already have. I pulled money off assets I had, off of my Bitcoin. Now, I went to the dealer. They went to 200 grand. I negotiated to buy it for $185,000 cash. So, I bought the money for my Bitcoin within 24 hours. I had to exact my money. I gave $185,000 cash. Now, that means no money out of my pocket. I work harder. I make more money. I had no money out of my pocket. And now I transferred. I rented the liquidity from one asset and put it into another asset. Lamborghini, $185 grand. Now, I have to make payments. I have to make the interest payments on the loan. But interest payments are tax-deductible. So, now I'm not even paying the full amount. I'm paying the deduct, and I write off my taxes at taxable amount. Now, at the time when I did that, Bitcoin was about, that was in May. So, Bitcoin was about $16,000. Now, I wrecked it about a month ago, and here's the plot twist. The insurance gave me $200,000 for the car. I paid $185. They gave me $200,000 because that was the value what I bought for. I just, I knew I should deal. I got the $200,000 back in the car, which means I made $15 grand. Boom. On day one. But then I put the $200 grand back into Bitcoin. And Bitcoin was only, was $86 or $87,000 at the time, which means that I made, .5 more Bitcoin. I got a half a Bitcoin out of the deal. I made $50,000 on the Bitcoin. I made $15,000 on the car. I got $5,000 after tax, and I ended up with about $65,000 gain after owning and driving for six months and wrecking it. Matt, I'm saying, "That's my $50,000 idea. I wrecked the Lambo." I didn't have to wreck it. What if I just sold it? What if I just sold it? I could have bought it and sold it. No money out of my pocket. I didn't spend a penny. I put $65,000 in my pocket and I got me in six months. Now, some of you might go, "Mom, you got lucky because Bitcoin dropped $86,000." Would it have had gone up? Well, then my Bitcoin would have been worth any more money, and I would have put the cash right back in. I would have been in the same place because it was debt. It was liquidity rented against the asset. I didn't sell the asset. Now, if I sold the asset and it went up and had to buy back in, then I'm further behind. But, I rented the liquidity against it. You copy?

All right. Now, most people, like I said, would lucky. I didn't use income to buy a car. If I would have used income to buy the car, it would have dropped in value. Instead, I mobilized my balance sheet. I preserved my Bitcoin stack. I operated with rules. Max 50% loan value draw down because Bitcoin dropped. It dropped 30%. So, I had to operate with rules. I taxable interest. I stress that's different. I never interrupted my compounding. That's strategy. That's what we call an operating system. That's what we're going to install today. Okay. Now, again, the difference of a treasury operating system versus a budget. How most people do not, most people businesses do this. MicroStrategy did this until they changed strategy. A budget tells you what to do this month. A constitution tells you what you're forbidden to do forever, right? A budget is instructional. A constitution is constraints. So, we're not optimizing. We're constraining. We're constrained freedom. But actually, constraints create the freedom, right? Discipline creates the freedom. So, we're moving from optimization to constraint. The goal is to get rich faster. I mean, it is, but the goal is to never be forced to sell. Warren Buffett's first rule of never lose money. I say it's never be a seller. Now, the traditional model of of running my life on a budget and a P&L versus an operating system model is pretty drastic, but the ultimate goal, again, is to never be a seller. But we want to go and take long-duration assets. Long-duration assets are something that's designed to grow over decades. So, like Bitcoin is one, about 50% compounded growth rate per year. Why would I want to sell assets that's compounding so fast? You know, real estate has been one of the best ways to build wealth that go up year after year after year after year. Equity goes up year after year compounding. So, I want those longer-ration assets. I want to allow them to grow over time, but I want to take my consumption, my bills, my spending, and I want to time shift it. So, I don't want to force the spending now. I want to allow the assets to grow over time and spend for it later. That way, I let my assets compound over time. The compounding stays uninterrupted. The machine never breaks. And the traditional path, like I said, go to school, get a great job, save for retirement, one day in 30, 40 years, I'll have enough money, and then I can sell my assets. I can sell a little bit of my assets each year. Each year, I just sell a little bit. Hopefully, I, hopefully I die before I run out. But when I do that, if I'm selling my assets each year, the compounding gets interrupted. That's the traditional path. Sell to live. But, but the operating system that we want to build is borrow to live. So, now I'll borrow conservatively against my assets. And then the income that I have coming in, so I'm borrowing to live. And then my income that's coming in is going into more assets. Now, if we just map out on a Bitcoin here, uh, these are just rough numbers. We use a lot, just sort of generic numbers. A million dollars. Uh, if we, if we did, if we sold a little bit each year versus borrowing against it, it's about a $200 million difference for 20 years. Imagine being able to give $200 million to your kids or your grandkids. That's the difference. It's big. This is about leverage magic. It's about never interrupting the compounding. Never interrupting compounding. The only way you can do that is with rules that remove the emotion. You need rules. And that's what your treasury doctrine does to make sure you never get forced into path A, which is selling to live.

All right. There's three costs to selling. That's why you don't want to be a traditional seller. Most people just think about one. I lose the asset. Let's just use a round number here. Let's say we have a million dollars of Bitcoin. Maybe you have 10,000 or 100,000 or 10 million. Adjust the math for yourself. I'm going to say that one more time and do that. I just put some, I put some basic numbers in here. I'm not good at math on the fly. Feel free to adjust for yourself. It could be 10,000,000, 10 million, whatever. But 1 million Bitcoin. Bitcoin's been growing for the last three years about 70% per year. Really, if we look at the five, it's about 50% compounding growth rate. Let's throw it that way. Let's cut it in half to 20%. Let's, let's drop, let's call it 20. Let's call it 20. I have to use some sort of math. At a million dollars of Bitcoin compounding at 20% per year, and I need, let's say I need $100,000 a year. I need $100,000 a year to live. So, what do I do? Do I sell a little bit? Because, I mean, it's compounding 20%. I could easily sell it and never run out, right? So, I sell $100,000 Bitcoin every year. But when I do that, compounding gets interrupted. So, say I start with a million of Bitcoin and I sell $100,000. My compounding base starts to shrink every year. By year five, I only have 1.9. Not only it went up, obviously. Year 10, I had 4.8. Year 20, I have 21. I mean, shoot, I'll just sell it. I didn't, why not, right? But if I do that, I would lose $16 million. Not even counting the tax drag, because if I need $100,000, I really have to sell $130, $140,000 of Bitcoin, depending on what cost basis is in your tax bracket, whatever. So, if I need $100,000, I got to sell $134,500 Bitcoin to get $100,000 I need. So, I'm losing $16 million, not even counting the tax drag. Scenario B, though, is I don't sell. I borrow $100,000. Let's call it 12%. Great. Now, on year five, I have 2.5 million of Bitcoin. Year 10, 62 million. Year 20, $38 million of Bitcoin. Again, almost a $20 million difference. Not small stuff here. Now, cost number two is the tax drag. So, again, if I add the tax drag in, again, depending on what your tax bracket is and your cost base is, you probably lost another seven or eight million to taxes because my compounding base is shrinking at the same time. So, taxes don't just take your money, they force you to sell more of your future. You're not paying the government 25% of the taxes. What you're really paying is the compounding 100%. Uh, I see somebody here say, "Does it work in the US or does it work outside the US?" It does work, but the US is better. Nowhere in the world, this works everywhere in the world. It doesn't matter what country. It works in every single country in the world. No country in the world taxes debt. No country in the world taxes unrealized gains. Okay, it doesn't matter what country. They only tax income. So, when you sell an asset, then there's different rules about that country, but no country on earth. No, I don't think, I don't think France taxes unrealized gains. It's being planned. Maybe it's being planned. Maybe some countries maybe like, whatever. Like, we don't, we don't plan for all these others. Uh, no country under taxes unrealized gain for a billion dollars, whatever. So, and no country taxes debt. When you go get a car or house loan, we're not taxing that. It's debt. Okay. So, anyway, we're going to talk about taxes tomorrow. I'm not going to get it all with you guys right now in the chat. Tomorrow, we have a whole section on tax. Okay. But just know that, uh, tax, they're forcing you to sell more of your future because I have to sell that extra wealth to pay the taxes. Okay. Then the third cost is the opportunity cost, the 5-year return. So, as I said, over the last 5 years, Bitcoin is up 37%. S&P 500 is up 123%. MicroStrategy is up 2500%. Why 2500%? Because they didn't just hold Bitcoin, they leveraged Bitcoin with low-cost debt. So, they created a compounding machine on top of the compounding asset. So, now they're allowing an asset to compound, and they add additional compounding on top of it. So, let's say that you own real estate worth a million dollars. Let's say that, uh, I sell it for a million dollars cash. I pay the taxes, and then I'm done. Now, let's say that I leverage it up. I take the $500,000 of liquidity. So, instead of selling it, now I'm going to leverage. So, now instead of selling the million-dollar building, paying the tax, whatever that is, it's $200,000, and having $700,000. Let's say that I borrow $500,000 against the property, plus I still have a million-dollar property compounding. That $1 million building could be worth $3 million in 10 years, and I got $500,000. So, selling captures upside at a one-time, one-time caps it, but leveraging it unlocks it three to 10 times on the same base.

All right. So, let's keep going. The four doctrines. We're going to start building our doctrines. The four doctrine categories we're about to build. They protect us from these three costs that we just went through. That's why these are non-negotiable. Now, we can change these. The constitutions do change. The operating system does update, but there are rules that are set in place until we decide to change it. So, what does the government, what you're allowed to buy, what you're allowed to buy, what you're allowed to finance, what you're allowed to spend on, and, and it matters because consumption is the silent killer of compounding, right? If I consume it, and I have to stop the compound, interrupt it. But consumption can be delayed, the ownership can't be sold. So, rules like, "Oh, I'll never pay cash for depreciating assets." Like, that would be me earning more money to pay cash for a Lamborghini that was appreciating. Uh, "I will never borrow to fund lifestyle inflation." I won't borrow money to go on a bigger vacation. I want to borrow for lifestyle inflation. "I will never let consumption force me to sell a productive asset." Like my friends, uh, my friend was telling me about his parents and uncles, I want to sell these productive assets to fund their lifestyle. Consumption is just a design problem. It's not a willpower problem. All right. And any rule I want to write, when I write these rules, we write should say, uh, a rule cannot say, "I'll try to," or "I should." Rules, like laws, have to be black or white. All right. Then we have liquidity rules. How much cash buffer should I maintain before I start deploying capital? Liquidity. Liquidity is our permission to wait. Liquidity is what gives us optionality. Do I need to consume now? Can I consume later? My assets? And I use this term before you understand what I'm saying, but liquidity is rented, not owned. I want to rent the liquidity. Like I rented the money from my Bitcoin to buy the Lamborghini. I rented it, and then I gave it back. Rules like, "I will maintain 12 months of operating liquidity," for example. Adjust my screen here. Uh, "I'll maintain 12 months of operating liquidity before any illiquid deployment." Now, liquidity is a spectrum. I'm going to break this down for later. I'll never deploy reserves and new speculative positions. That could be dangerous. I'm sure that for, I can borrow against assets for liquidity, but never above 25%, 35%, 60%, whatever asset it is coming with. Uh, liquidity is again, always rented, never owned. All right. And then we have our leverage rules. When do I use leverage? How much leverage should it be? How much am I allowed to borrow? Because the leverage amplifies our behavior. But that behavior could be good behavior. It could be bad behavior. If we're generating gambler, it could really hurt us. But if we're disciplined, it can really help us. So, leverage amplifies our behavior. And the leverage is earned by the balance sheet discipline. For example, "I'll never exceed 50% loan value on any single collateral position." "I will only borrow or rotate," you know, or, uh, "only borrow rates that I can service." Uh, service what stress test. We'll talk about that as 50%. "I'll never use leverage to chase returns. Only preserve ownership." Again, it's not speculation. This is a discipline. I know most people think, "Oh, this is so risky." Going swimming is risky if you don't know how to swim. If you don't know how to swim, swimming is not risky. Number four, the risk rules. What do you do when things go wrong? If I'm going swimming, I can wear a life jacket. I could bring a float. I can make sure there's a lifeguard standby. I can make sure there's a CPR-trained person there. What do I do when things go wrong? And it matters because the downside defines how long our longevity, how long we can stay in that. And what you find out is that risk isn't the volatility. People think it's too volatile. It's not the volatility. Risk is being liquidated out of a position, being a forced seller. So, it's always about survival first. Survival first. The Warren Buffett first investor is never lose money. Survive. Don't be a forced seller. Survive because if you lose losses metric, it's really hard to come back from losses. Survive first. Optimization comes second. For example, "If an asset drops 30%, I freeze all new borrowing." That could be a rule. "I will never concentrate more than 20% of my net worth in a single lender relationship." We'll talk about that in a minute. "I'll stress test every decision for a 70% scenario." Maybe depends on how, how much stress test you want to put in there. And these rules must be simple. If I can't explain one sentence, it's not a rule. It's a wish. It should be a yes or no. It's allowed or it's not. Uh, it should be easy to enforce. No, "I will try." "I will be." "I will avoid." None of that. It will, it's, it's "I will never borrow." "I above." "I will maintain." You need to have the discipline rules that are in there.

The other day I was, actually for Christmas, at my, my in-laws' house, and I had my kids there, and they wanted to play. We played a couple games. Then we started playing blackjack, and my kids, they're too young to go gamble, so they haven't really ever played Vegas. And so I'm trying to teach the rules of blackjack. It's simple, right? The dealer hits on a 17 or higher, right? And so the dealer, the house always wins because the house has strict rules on their, on their odds. So, think about that. The house always wins because they have strict rules on their odds. The dealer must hit if they have 17 or less, right? They cannot hit if they're over that. So, they either, they either must or they cannot. That's it. But the players, I don't know, like, I mean, I have 17, but I'm feel lucky. I could get a four. What the heck? Let's go for it. So, the players, they go off of their gut. I know that I shouldn't hit that, but, but I'm going to anyway, right? So, I'm trying to tell my kids, look, you have to have a strict set of rules. So, let's just say hypothetically, put in the chat here. So, let's say I try to teach my daughters this. Let's say that I have an 18, let's say I have an 18 or a 17. And I'm like, "Hit it." And I get a four. Boom. 21. I won. Amazing, right? Did I do the right thing? Did I do the right thing? Yes or no? Well, if it's 17 and four, I did the right thing. It's not the right thing because I went, even though I won the hand, I didn't play the odds. Even though I won the hand, I didn't play the odds. And what that means is over time, my luck will run out. I have to play the odds. That's why the house always wins because they always play the odds. That's what these rules are. So, the real inheritance, what we're really building is a system that's constrained by rules, right? We're not just building rules for yourself. You're building the inheritance because, as I said about the true generation wealth, is that most families don't lose wealth because the markets crash. The Rockefellers have kept their wealth. But the Vanderbilts and whatever, they've lost their wealth, not because the market crash. Markets kept going up. They lose it because the assets are sold to fund their life. It's like my friend's grandfather. Rules are not passed down. The kids inherit the money, but they don't understand. So, each generation has started with zero. So, the real inheritance is the principles and constraints, the rules of engagement, a balance sheet mindset, a respect for compounding.

All right. So, now open up the treasury doctrine worksheet. This is where we're going to be now doing some work. Now that you understand it, open up the treasury doctrine worksheet and, uh, we're going to complete just two of four categories. Um, is Barbara going to drop the link in? >> Okay, we're going to drop it in the chat here. Uh, stand by. So, so there's four categories that we're going to have to build this in. We're only going to build it in, like I said, two of them right now because we don't have all the time in the world, and we don't have time to really think through this very well. So, um, so, uh, you have to work on a little bit more. I just want to get you a head start, get you working on this. Everybody get that? Everybody open that up? >> All right. So, it's in WhatsApp. >> And in school. So, we've got both. We've got, we've got both. Hey, you know what? Forget the work. You got a pen and paper. Let's just go. All right. I don't have time for this. Uh, you're going to finish two. We're going to keep going. Remember, these are aspirations. These are policies, or sorry, these are not inspirational or aspirational rules. These are, these are policies that you would put yourself. Number one, for consumption rules, you're going to answer three prompts. Each prompt becomes one rule. Fill in the blanks, make it binary. Remember, no like, "I'll try to," "I want to." So, what is one asset you paid cash for in the past that you would not do again today? Think about that and then write it down. "I will never pay cash to buy a blank depreciating asset." Maybe. What's one expense you could delay 12 months without harm? Rule: "I will never let consumption force me to sell a blank productive asset." Like my friends' parents and aunts and uncles selling business, uh, buildings, retail centers, selling productive assets to buy. "I'll never let consumption force me to sell." What if I want to make a purchase above a certain dollar amount? "I must wait 30 days, 6 months, and consult who?" Do I have, do I have a friend that I trust? Do I have an advisor that I trust? A partner that I trust? If I want to make a purchase above this amount, how long am I going to wait, and who am I going to talk to? Sort of like the president goes to war for like, what, 30 days before I talk to Congress? Like, right? So, like, if, if I want to make a purchase above what? These are rules put in place. All right. Now, liquidity. Liquidity is about our optionality. This is your permission to wait. "I will maintain a minimum of blank months operating liquidity at all times." Now, if you're living paycheck to paycheck, try to get one month. But depends on what your income looks like, what your expenses are, and how much liquidity do I need to have available to me at all times. "I will not invest in illiquid assets." We're going to talk about liquidity on assets because there's actually four layers of that. But right now, illiquid assets would be like real estate. You can't quickly sell real estate, private equity, private equity, venture capital, like seven to 10 years, startups, right? So, I want to invest in illiquid assets until unless I have at least one amount in accessible reserves. My CC says, "I need more information. I need you to understand to be able to answer them." Just asking the question, "Is it enough info?" You have the worksheet. This is just to jumpstart you, and then you can finish it later. Let me, let me tell you the law of physics. When I think of anything that needs to get done, I think in the law of physics. Can it actually be done? Is it, is it possible to be done? Physics are very important in our world. There's a couple things. But one point I want to talk about right now. Have you ever heard this term, the law of physics? Things that are in motion tend to stay in motion. Right? You guys heard that? Yes. You heard that? Momentum, entropy. Yen Denise has that. So, I want to get the motion going. As a writer, a lot of times I just stand on a blank page, right? And so literally, you could just start typing anything, and, but the dog, right? And just by getting going, it starts to move you. So, I, I get the niece, you need more, or whoever that was, CC, whatever, like, you need more context. We have the, the thing to download. This is just to get the wheels turning, get the motion going. Okay, if liquidity falls below, how many months, what was my threshold? One month, three months, five months? If liquidity falls, I, for this, I don't typically think in, I don't typically think in percentages. I like to think about in time. Money is time. Time is money. If liquidity falls below blank months, I will immediately what? These are rules. I'll give you suggestions to fill the blanks, but I want you to think a little bit on what you think makes sense. Now, again, the constitution of the United States changes. The operating system on my phone changes. So, it doesn't mean a set for all eternity. All right. Now, we need leverage rules. We're going to do that later. We need to set risk rules. We're going to set that right later. Like I said, I got like 12 months of coaching. I'm trying to break down three days for you. So, I want to give you enough. I'm going to give you worksheets and, and get you the momentum going so you can stay in motion. All right.

So, what I want to do is, uh, are we going to do breakout rooms? >> Huh? >> Okay. So, uh, what I want to do now is I want to put everybody in the breakout rooms. And here's what I want you to discuss. I have it up on the screen here. Now, this, this is super important. You have to, you have to talk about these things. The more you talk about them, the more you understand them. You can hear them from different angles. Okay. Now, there's no debating someone else's rules. Whatever the rules are, they are. No. "What about?" "What if?" "What if?" Not, not planning for everything in the world to share. Listener. So, number one, read one consumption rule and one that you really wrote. Then identify what gap or blind spot did this exercise expose for you? Because when you, other people go, "Is one of my rules like, oh, that's what that." And then name it. What forced decision have you made in the past that if you would have had a rule that could have helped you prevent it? Okay, 10 minutes. Just do this real quickly. Read a consumption rule. Rule. Identify a blind spot when you're other people that that you hadn't thought before. And then name what's a forced decision made in the past that a rule could have prevented. Okay, let's spend, uh, just, uh, let's do eight minutes in there now. What's that? Can you turn? So, uh, I'm going to stay on you guys getting moved in your breakout rooms. Um, this is the first day we're shaking it down. Bear with us. As I said, uh, this is a $10,000. I'm giving you 100 bucks. So, uh, bear with me on the technical details. Um, but, uh, that's all, all happening. We're going to get better at this. Make it quicker. But, so, yeah. So, we're going to talk about this. Um, let's see what's in the, in the chat here. When you ask about liquidity, does it mean cash in the bank or just access to liquid assets? Oh, Tamara, that's a great question. It means liquidity. Liquidity is not cash in the bank, right? Cash in the bank is what you own. Liquidity is access to capital. Hey, I see you in the chat there. This is awesome. This is a whole new module that hasn't been released yet. You're getting the first preview of it here, the treasury US stock. I think you're really going to love it. Um, yeah. So, it's liquidity. So, you hear me talk about going back to the macroeconomic view. We think about total global liquidity. So, as the liquidity of the world goes up, the global liquidity goes up, asset prices go up. But, but people, how do you measure global liquidity? It's not just like M2, which is the money supply. You have to look at the M2, which is money, but we have to look at the availability of credit as well, the availability to expand because monetary system, money is created through. So, we have to look at the availability of that. And so, our liquidity is not just the cash in the bank. Our liquidity is the availability of money that we have available to us. And again, we're going to get to a little later here, but four different levels of liquidity. And we'll talk about that in a minute. A simple answer to one of the questions. I went through all those. How >> Is it taking longer than we thought? >> Yes, sir. >> Bigger. >> So, kind of going back to these rules again. So, the consumption rules are, uh, an asset to pay cash. We would not do it again today. I would never pay cash for a what? A car. I'd never pay cash for a car. I'd never pay cash for a house. Why would I never pay cash for a house? I'd never pay cash for a house because that money is stuck in a house making me no money when I could have just borrowed money at six or seven percent and my cash could have been making me 10, 20, 30%. I would never pay cash for a car. I never pay cash for a case, you know, whatever, because I'd never cash a car because the car is losing value. Depreciating asset. Now, a house, but you go, "Mark, how does it appreciate an asset?" I'm not telling you what to write. I'm giving you examples and ways to think through this. I would never pay cash for a house. >> I would never pay cash for a car. I don't pay cash for anything. How's that? I don't pay cash for anything. I use, I rent liquidity to pay for things. It's tax-efficient. Tanner, turn my mic for a second. >> All right, guys. I changed a plan. Sorry. We're going to pivot on the fly because this is what you do. You make good plans and sometimes don't work out the way the way you want, and you have to quickly pivot and adjust. So, we're not going to do breakout rooms. Sorry. I thought we could quickly push you into break rooms and bring you back. It's looking like that's not super possible. So, we're going to do it all together. How's that? We're going to do it all together. We're going to do it all together. So, we're going to bring everybody back in. I apologize. Each, we have four of these sessions we're going through today, and each one is going to have a breakout room, but we'll just do it all together. So, we'll see if we can figure it out for tomorrow. Uh, no big deal. It's still going to be good. Barbara, let me know when you bring everybody back in. >> John says, "What is meant by forced consumption? Can you give me an example in this context?" Sure. Forced consumption is, uh, I have to pay for something. So, for example, I got to make my home payment. I got my medical payment. I have a medical bill that comes up. So, I have, I have to pay it. I'm forced to consume, pay for that consumption, but I don't want to sell an asset to get it. So, for example, shoot, this medical bill came up. Oh, my car broke down. Oh, I need to pay for this thing. I don't have the money. So, how about if I sell a little bit of my stock? If I sell a little bit of my gold, I sell a little bit of my Bitcoin to pay for this unexpected event. That's forced consumption. Now, I could either delay the consumption, which is I could wait a little bit longer without, um, getting my car fixed, and then I'll have more revenue coming in. I could delay. I could take vacation later, right? Or I can rent liquidity. What we don't want is the forced consumption to force us to sell the asset. That's why we understand liquidity. >> Is it back in Barbara? >> Everybody's back in. >> Yeah. >> Okay. We're all back in again. I apologize. Uh, but it's all good. We're all here. We're all going to be one happy family. I'm, man, I'm going to be asked this a freaking million times. I'm going to answer it. Uh, I use Arch Lending. I have a partnership with them. I think the best place to buy into Bitcoin, Arch Lending. I created a product called Velocity, which we created a perpetual income product where it just produces income for you. You don't have to do anything. So, you don't need to learn how to do it. How do I make it work? We just create a product called Perpetual Income. Arch Lending. That's who I use. Um, this is not about Bitcoin. It's not about gold. It's not about crypto. It's not about any of that. Okay? We're not even talking about that level. You guys like talking down here. We're still up here. All right. So, um, let's, let's jump into, um, imagine you went to the breakout room, and, uh, let's go into discovery right now. So, if anybody wants to drop in the chat, "What forced decision have you made in the past that a rule could have prevented?" Anybody want to drop in the chat? Selling my house. Denise said, "Selling my house." Selling a rental townhome. Paying taxes, a margin call, you know, so all those like paying taxes, sure, selling real estate, selling a house, a lot of that. Selling inherited, selling inherited assets. Okay, so those are all forced decisions that you made in the past that a rule could have prevented. That's exactly why we're doing this. That's exactly why we're doing this. Okay. So, there's three operating systems, three operating system principles. That's what we started today. Again, it's not about budget. We're not trying to optimize how do we keep more of our income and then not spend as much and keep a little bit more of our savings and not save harder. It's not that. We want to go into a treasury model. How Sailor couldn't grow MicroStrategy? I mean, it was worth $3 billion. Crime River, right? We couldn't grow it. Couldn't increase the revenue at all. As a matter of fact, he was losing revenue every year. His treasury was winding down. And we started operating treasury, went from three billion to 50 billion. So, we're not building a better budget, not a plan. We want to build an operating system. This is one piece of four that we're going to build today. What you wrote today is the foundation of the system. It's the base set of rules on the operations that was built a system that will outlive you and your heirs. Won't inherit your assets, they'll inherit the rules that protect the assets. If my friend's grandfather had died with the system, the kids wouldn't be forced to sell off all the assets to get the money. But he didn't pass down the system, he just passed down the assets. All right. So, uh, there's going to be homework here because again, like, this is just to get you started. Things that are in motion tend to stay in motion. So, what you want to do is download the worksheet. Maybe drop it one more time in the chat so everybody has it one more time. Download it. We only give these out live. If you bought the recordings, then you can go back and watch recordings, and then you have access to them. Otherwise, if you're here, you get them. If you're not, that's why we're dropping them in the chat here. Okay. So, we drop it down one more time. Um, complete this. Complete the leverage rules and the risk rules. Right? We didn't go to that's number three and four. We didn't go to those. So, go back and revisit one and two, consumption rules and equity rules. But then you need to go back, you need to go and work on three and four, the leverage rules and the risk rules, using the same template again in the worksheet. It has all the prompts, the blanks, everything I was reading, all in there. And what I'd like for you to do is submit your full treasury doctrine, all four categories filled out by night, by the end of the day. The reason why is then I can have my coaches review that, and we can help you with it. Again, this is not about entertainment. Watch how many videos that you want. This is about transformation, and it only works if you work. So, you have the opportunity right now. You can fill it out and you can submit it, and we can review it. We can flag weak rules. We can flag gaps. We can find areas that need to be tightened up. Wins that don't have the worship links. Scroll up. Scroll up. If you're not here live, you don't get them. That's it. If you're not paying attention, you don't get them. I'm sorry. If you, if you want to buy the recordings, and you get them, there's, I'm trying to get out to. But you got to be here. Paying attention. If you missed part of it, you missed part of it. Sorry. Okay. So, I want you to complete that and, and submit it. Does anybody have any questions about that? I see the edible one in there. >> It says access denied. There's a PDF. There's not access denied. Thank you for the edible one. Just scroll up. Just scroll up. There's a PDF in there. Just scroll up. It's a little PDF. Just scroll up. Result says you scroll. Pin the do the top of the chat. No, we shouldn't because you'd be here live and be paying attention. If you miss out, you miss out. I'm sorry. That's that's the rule. Why? Because everything I'm saying is sequential. Everything I'm saying is

important. This is not like a buff buffet, as I said at the beginning. So if you're here, you're here. You get it. Get it. When I say we're dropping the chat, go check the chat. If you're not here, you'll hear me say, "Drop the chat," then you miss out. Okay.

So anyway, I'll completely have any questions about those liquidity rules operating the same as successful reserves. Uh, Dave, we are going to go deep into that a little bit later because the next module is all about liquidity. This one's just about rules and it's just to get you going. Can we see the three Ls principles again? Oh shoot, what happened? Sure.

>> Do you have it up over there?

>> Yes. I mean, I'm not sure what you're asking for. This the four the four doctrines.

Okay. Well, with that, we're going to wrap it up, uh, because we have a lot more to go through today. So, we have, uh, what do we have next? We have, here's what's coming up next. We went through the state of the world. I told you what I think is coming in the next year, next two years, and why it's important. Now, we went through the Treasury documents. This is the foundational rules, the constraints of our operating system. It's the foundational rules.

Next session, we're going to do our balance sheet X-ray. So, now we're going to start look at all of our different assets that we have or we could have, how they work. All right? Then we're going to take a lunch break. Uh, if you're if you're a VIP member, we'll have a VIP room open where you can join me. If you're not if you're not a VIP member, um, you can still jump in and join the VIP if you want, but we're going to take a lunch break and the VIP room will be open. Then we'll come back from lunch. We're going to build out the liquidity stack. So now where we start to learn the four different layers of assets and liquidity and how we measure them over time, right? So we'll break that down. And then the last module is our risk and leverage module because the first question we ask is, well, what if, what if, what if I can't afford the payments and what if the value drops and what if, uh, whatever, right? So we're going to break down risk and liquidity and leverage. Again, swimming isn't risky. Well, swimming is very risky if I don't know how to swim. Going in the water is very risky, but I can learn how to swim. I could wear a flotation device. I could bring a floaty in the pool. I could have a life, right? I can build ways to mitigate the risk. That's what leverage is. That'll be the last module of the day. All four of those have their own artifacts, their own worksheets. And when you put them together, you're going to create a binder that will be your treasury operating system. Then they have VIP mode again. Right. So at the end of the day, you're going to have an operating system binder full of the four doctrines that will be operating system like an iPhone has. Tomorrow we're talking about the gas in the supercharger and we're going to talk about the nitrous oxide on the motor to get it from 100 to,000 horsepower. Um, but that's it for Treasury OS. Let's go ahead and take a five-minute break. Do I find I'm going to run to the bathroom real quick, get a drink of water, and I'll be right back for session two, the balance sheet X-ray. Let's go.

Hey, hey, hey. And we're going to jump into what we're calling the balance sheet X-ray. All right, what we got here? Let me set my clock. We are back live. Sorry, guys. I'm just setting my clock here. I think Drew, when you taped that thing up, you taped over my ability to do anything with it. So, that doesn't work anymore.

>> Got no timer.

>> Well, I'll try to stay on time.

All right. Um, I see Monford says, "I could not attend the first few hours. Can I ask the material I was covered?" Mark says, "It concerned what's coming up in the next couple years." That's very much. Um, yeah. So, I'll say it again. I'll be saying, "Sorry for everybody's here. Sorry over. Mon, anybody else? If you missed part of it, you missed it. Uh, we have access to all the recordings. You can get all the slides. You can get all the handouts. You can buy those. Um, otherwise, you need to be here live. Um, what we're doing is, uh, not entertainment, but implementation. And so I'm trying to get through the work. I want you to be here. I want to be able to answer your questions. I don't want to do coaching. And so I want you all here. Um, so if you missed part of it and you feel like you missed out and you want to go back again, this is like a $10 program I normally sell in person. So spend a little bit of extra. I'm certainly not trying to sell to you.

Okay. So most people fund their life by selling their future. What this really hit home for me, I did a, I talked about this in a YouTube video a while ago and the person I talked about heard about it, but I was in the gym working out as I do every morning except this morning early. I'm in the gym working out and my friend's dad, um, comes up and talks to me and, uh, I call him Papa Rich. And he's old, but man, he's in good shape and he's working out. He did pretty good for himself, you know, and he's telling me how, you know, um, he did pretty good, but, you know, he's trying to manage his retirement and he's hoping that he doesn't run out of money before he dies. And we kind of get asked, we start asking him like, how much assets do you have, this and that, and how much do you need to spend for a year? And I'm like, "You have enough assets right now to fund your entire life as long as you live 100 years, and when you die, your kid, my friend, he gets the money." But instead, you're selling it down to zero so you die with zero and your kid gets nothing. That's what Dave Ramsey teaches. That's what modern financial advisors teach. You fund your life by selling your future. Think about like, well, I'm not going to, I was going to talk from a philosophical level. I can go all over the place here, but we want to install a system that prevents that.

Now, I asked this question earlier. I ask from another angle. So, another question, drop in the chat here. Would you rather one, would you rather earn $500,000 a year or two, control $5 million in assets? Everyone says two, but like, think about what you're saying here. Like, unless you learn to do what we're talking about here, you'll be out of money in less than 10 years. You'll be broke. You'll be broke. That's why when you see the people win the lotteries and like there was that one recently where like where like the the girl had chosen the money, right? So when you win the lottery, like, do you want the money or do you want an income stream? And most people choose income stream because they don't know how to use the assets. So you can choose the $5 million, which would be broken in 10 years or less. That's the problem. Income feels safe because it's predictable. I'd rather take the $500,000 a year a year because I know I can easily live $54 a month. I'm good. It's predictable. But the moment the income stops, I get sick, I get laid off from my job, I burn out, I'm tired, everything collapses, whatever, the market crashes. As long as, as soon as the income gets disrupted, everything falls apart. That's the core problem. So income, I don't take $500,000 guarantee because that's safe. You see, net worth doesn't stop. Net worth just sits there. It sits there working.

So today, what we do is we want to X-ray our balance sheet. Today, we want to find out where the control is, where it actually lives, because most people are asset-rich, but they're control-poor. Now, before I show you the example, don't get hung up on these numbers, okay? Again, I'm trying to teach you strategy. I'm trying to teach you system. Don't get caught up in assets. We're not that level yet. We're going to get there. We'll get there. Don't be caught up in the size. Again, I just show round numbers because I'm not good at math on the fly. This is about the system, not the size of the account. Let me show you why income is the wrong metric.

So, let's take two people. They both earn $500,000 a year. They both spend $450,000 a year. Okay, two people. Both make the same money, 500 grand. Both spend the same amount, $450 grand. Person A, their net worth is $200,000. Or maybe they're starting from scratch. Maybe this is you. Maybe you make 500 grand a year and you're starting now. You're one layoff away from a crisis. One market crash away from a crisis. All your decisions now are income-based, income-dependent. But person B, they built up some assets. Let's say that they built up a few million dollars in assets. What person B does is instead of spending the 450 on their income, every year they borrow 450 against their assets. Let's say they're paying 10% a year. Then they take the full income, the full 500, and just invest that. Now, their lifestyle is being funded by their balance sheet, not their labor. They both make the same amount of money. Which one's actually wealthy? Person A or person B? Person B. We're going to get into the weeds. Trust me, we're going to go so deep your mind's going to melt down. But I have to give you the right frame first. We have to build a motor. The poor and the middle class work to pay for their lifestyle. They use credit to pay for things they can't afford. I showed this on the first module. The wealthy mentality: work to buy assets and have their assets pay for their lifestyle. That's person B. Does this ever implode? At the end of the day, we're going to go through the risk and leverage, uh, document. Okay, so we're going to talk about the risk. Do I have it around? I mean, I could drown, but I also did that. Okay, which one's actually wealthier? You guys got it. Person B.

So, the key here is that person B didn't start here. So, remember I said person B had a couple million in assets. So, some of you might be going, "Well, I don't even have any money." It's not about if you have the money. Person B didn't start there. They built there. They had to build themselves there. The working to buy assets and using assets to fund my life can start at $10 an hour or $100 an hour. It's the system that I'm operating. Maybe the system is not fully operational yet, but we can build to it. That's what the next few days are for. That's the next few days. For today, we're going to install the operating system, set the rules, build the structure, build the discipline. Tomorrow we'll talk about how to optimize it. We're going to, you're going to be blown away. By tomorrow, you're going to realize that you can have this system pretty much right like this year. It doesn't take five or 10 years. You can optimize what you have, multiply faster without having to work harder, without having any more money. We're going to find the money in your cash, literally. By day three, you'll have the clear roadmap to go from wherever you are today to this level of optionality. You'll have it from where you are today to get you to person B. But right now, what I do is I want to shift your thinking and get you out of a person A thinking, a poor middle-class mentality, and shift you to a person B mentality, how the wealthy live.

So over the next, not 90 minutes, next, uh, 80 minutes, we're going to do this. One, we're going to classify every asset you own into four categories or assets that you might want to own. You want to understand where they go. Two, we're going to identify where control lives versus the value. It's about control. Control. Adrian says, "And then Lambo." Yeah. And then Lambo. I get another Lambo. Whatever. Right. Throw in the gutter. Uh, three, expose single points of failure in your balance sheet. Everyone wants to think about the risk, and that's right. You need to think about the risk. Only poor mentality people think about the risk. You guys ever heard of a hedge fund? You guys know hedge fund. You guys know what a hedge fund is, right? The ones that make money on Wall Street. Think about a hedge fund. Hedge every bet they make is hedged. Every single one. So a hedge fund, everything they do is thought about through risk. So this one said, "Money. Find more capital." So we're going to find more capital doing nothing. We're going to expose single point failures in your balance sheet. And then we want to build your personal, your own personal balance sheet map.

Okay. Let's start with the framework first. So the first thing to understand is that not all assets are equal. It's a very important part. The most commonly asked question I get that absolutely drives me crazy. I'll tell you right now, you don't want to ask me this is, "What asset should I buy?" It's like if you're trying to fix your car and I have a professional tool set right here and you're like, "Mark, what tool should I use? You have the tools. Give me a tool. What tool should I use?" And I'm like, "I don't, I don't know. What, what are you trying to do? Do you need a screwdriver or a wrench or I, I don't know. What are you trying to do?" Every asset is like a tool, and each tool should be used differently for different purposes. You can't fix a car with one tool, and you can't build a wealth operating system with one asset. Yes, I love Bitcoin. Everyone should go buy Bitcoin 100%. But I also own other assets. Just like I may use the hammer the most in my toolbox, but I also have other tools in there. Not all assets are equal. Some give us leverage, some give me cash flow, some just look expensive.

So what we want to do is we want to classify everything you own into four buckets. Okay, four buckets. Now, why, why these matter? Why do these matter? Because our assets are our life. It's like our life battery. I'm going to have to get a philosophical frame real quick. Here's a philosophical frame. Back to physics. The law of energy is that energy cannot be created. Right? You guys know that. It can't be created. My point here, point is this is my zoom in my chat here. Sorry. Energy can't be created, right? Where does energy come from? It can only be transferred. Can only be transferred. Right? So I have to eat food. Food are measured in calories. Calories are what? Units of energy. I eat food for energy. Then my body, what I'm doing right now, I'm spending energy. So let's say that I'm digging a hole for four hours and I'm spending energy. I get paid in money. So if I work for four hours, I earn the money to buy the food and everything I need for the day. But let's say that I decide to work an extra four hours. I can, I get paid extra four hours that day and I can save it. That's my energy that I expended working is now saved in the money. So tomorrow I don't have to dig for four hours if I want to. I could then deploy the energy in that money in those assets. It's my life battery. It's my battery. It's where my my life's energy is stored. So I don't have to work tomorrow because I have the money. I have energy in the battery because I have that money in the battery. I don't have to work tomorrow. It gives me options. It's optionality engines. If you're broke, living paycheck to paycheck, you have zero options. You're a slave. You can't even quit your job because what will you do next week, right? So the more I have, the more options I have. They let me time shift my consumption without interrupting compounding. The collateral assets, because remember, we're in a debt-based monetary system. When money is created through debt issuance, when I go to the bank and get a house, a car, a boat, whatever the loan, the money is created out of scenario. The dollars that are given for the house, the car, the boat are the liability. That's the liability. What's the asset? The asset is the debt. It's the collateral. So we want to get collateral assets, and those assets give us permission to wait. That's our battery. Because it's my battery, I don't sell those. The wealthy don't sell those. We rent liquidity. We borrow against them. So if you can't borrow against it, it's not collateral. Write that down. Maybe it's an asset. Maybe it's an asset, but it's not collateral. You guys copy that?

Let me change my screen around here. So, some examples of collateral assets: Bitcoin, right? It's clean. It's liquid, globally recognized. Public equities, right? Stocks, index funds, real estate with equity, bargain, whole life insurance policies. I can bargain life insurance policy. Business equity, right? A lot of times I can borrow against that.

Okay. Then we have productive assets. Now, productive assets generate cash flow, appreciation, right? So rental properties, businesses, things like that. Royalty stocks. And the reason why these matter, I see we're like type two diabetics. We used to be type two diabetics. Can't store fat on their body. Fat is my life battery. Fat on my body allows me to not eat for days or weeks because I have energy stored. And if I don't have fat on my body, I have to eat constantly. Anyway, sorry. I get distracted. I'm like a, like a squirrel. Chase that. Um, okay. So, productive assets, they generate cash flow and they matter because they fund operations. They cover our debt service. They provide income streams. We need income to live. We got to pay our bills, but we don't have to work for income. That's the shift. So again, examples of these would be, uh, a rental real estate, uh, businesses, uh, dividends from stocks, things like that, royalties, licensing, IP, interest for lending, things like that. Um, now, a red flag here would be taking profits on productive assets. So when somebody says, "Hey Mark, what price you going to sell your Bitcoin?" I was like, "Man, you have no idea the game that we're playing, do you? There is no price that you take profits on productive assets." You know, uh, whoever, whoever he ever, uh, with investing simple, right? You buy low and you sell high, right? Is that right? You buy low, you sell high. Yes. Salman says this. Yeah. Buy low, sell high. Buy Bitcoin when it's cheap. It's expensive, right? No. You never take profits on assets. No, it's wrong.

Okay. Then the third is a, actually, uh, to talk about that, that one. Let's look at compounding rental income as an example. So let's think about this. If I had $5,000 a property worth $500,000 and let's say I had $3,000 a month of cash flow. That means I'm getting 7% return, a 7% cash on cash return. That's how I like to think about all my returns, my cash on cash. So I have, I have $500,000, $3,000% over 10 years. That's $360,000 of rental income. Plus, let's say that I get 3% appreciation. So I get $200,000 appreciation. So now the property is worth, uh, so I get about $560,000 on that property over 10 years. And then I sell it, right? That's what I do. Buy low, I sell high. I sell the property. I sell it. Um, I had a $500,000 basis. I made $300,000 or $2,000 gain. I got to pay 20% long-term capital depreciation. So, I pay tax. So, I actually net $450. I get five. I net 450. But then I lost the opportunity. I don't no longer have that asset compounding and I no longer have the cash flow in. I could have just done a cash-out refi. I could have just pulled $200,000 out tax-free and kept the property compounding. Let's say it kept compounding another 10 years. That would have made me 900 grand. So, I lost 900 grand because I wanted the money today instead of shifting the consumption.

Okay. Asset number three, or those four buckets. Number three are lifestyle assets. These are not bad assets to have. I like to have a good life. They're just not leverage. And we see no difference. Lifestyle assets are consumption. They're not capital. They're not collateral. They feel like wealth, but they don't create the optionality. Now, someone asked a minute ago about a house. Could be a primary residence if you don't have like a HELOC or equity line, like like rental property has income on these. Primary residence, but of course, you can get home equity. Cars, boats, RVs, things like that. Those are assets and they sit in your balance sheet, but they're not collateral assets, okay? They're consumption assets. They feel wealthy. Look at my RV. My boat. Art collects. A lot of people store a lot of wealth in art collectibles. Those places to store your wealth. Art and collectibles go up by a lot. It can be, but they're not collateral assets. Um, watches, jewelry, things like that. Vacation homes if not rented. They feel like wealth, but they don't create the optionality. If it depreciates in value, there's a red flag here. If it appreciates in value and you can't borrow against it, then it's what we consider dead weight.

That's the fourth category. Dead weight assets. Now, these are these are the silent killers of momentum. The reason why they kill momentum is because they don't just sit there. They bleed resources. They need maintenance. They need taxes. I got to pay insurance. I get stressed out. All for what? For zero returns. Illiquid investments. I can't exit. These are bad partnerships. Frozen LPs. I have several of them. I've had an investment into an LP of an oil, uh, property. It's like five years old and like I keep thinking money come out and it never has. It's dead. I have another one. I mean, I list a bunch of them. Properties that I have, but they have negative cash flow and there's no equity in them. So I got to deal with the maintenance, insurance. Not making any of vehicles that cost more to maintain than they're worth, right? These are investments that are just sunk costs. Inherited assets. I mean, you can read yourself a read this, but a red flag would be knowing what I know, would I buy it again today? If if no, it's dead weight.

Okay. So those are the four assets and we sort of divide them like this. They people mistake our assets and they confuse the value of the asset with the control of the asset because we want to be a treasure. We want to build our wealth of treasure. We have to understand control. You can own something worth a million dollars and have zero control over it.

All right. So quadrant one is high value and high control. This is the ideal place we want to be in. All right, high value, high control at the top right. That's like liquid Bitcoin. I can have custody. Uh, I can access liquidity. To have high control. It's high value. Uh, public stocks that I control, cash in my bank account, real estate with clear title, high value assets and I control them. That's ideal.

Quadrant two is high value but low control. That's trapped capital. All right. So that's, uh, that's the bottom right. Medium value. They add liquidity. They add borrowing capacity. Those could be like 401k, IRA. Um, it could be like liquid private equity. Like I said, equity capital sometimes that's locked up for seven to 10 years. Um, it could be business equity. So in my business I have equity, but I don't have it easily accessible.

Quadrant four, I'm sorry, quadrant three is low value, high control. That's the top left. And this gives us optionality. This grows value, but I can maintain control. So emergency cash reserves, uh, starter positions in new assets, small liquid accounts, tools, things I might use in my business, capital equipment, things like that.

And quadrant four is the bottom left. Low value. It's not worth much. It's not going to go up by much. And I don't have a lot of control over it. That's the dead weight. Those are the frozen investments, right? These are four different. What do I do with those? Those I want to get out of them. I want to exit them. I want to liquidate them. I want to write them off my taxes. If I have $2 million trapped in a 401k and I have $50k in liquid assets, I'm functionally broke during a crisis. I have $2 million, but I can't access it. So in a crisis, if my income were to be disrupted, I'm broke.

All right. Then we have what I call dormant capital. Or really, what I would call this is not dormant capital. I really would call this lazy capital. I like to call it lazy capital because I believe that the reason why most people are broke, as I said at the beginning, most people are broke is because their money doesn't work hard enough. So instead of you trying to get a second job or third job, you should make your money go work a second or third job. I want my money to do five jobs. I want to do 10 jobs. So it's dormant, lazy capital. Inefficient. Let's call it inefficient capital. So most people have capital sitting idle, but they don't even realize it. This is capital that exists in your balance sheet, but there's no leverage against it. There's no cash against it. There's no optionality from it. So I have it, but it's not providing any of the three benefits for me. So what we want to do is identify what capital we have that can be activated without having to sell the asset. What capital do I have available to me or could I make it available to me that could go to a second or third or fourth worth of job? Example, um, I have a home and I have $8,000 equity. I could get a HELOC against that at say 7% interest and I could take that 7% debt and put into an asset making 20%. So, when I have this lazy, inefficient, dormant capital, it's like owning a truck, but like never using the bed. I drive a Ford Raptor. Anybody know what a Ford Raptor is? It's just the best truck in the world. Um, but it's like the most capable off-road truck in the world. It's got like amazing suspension and it's like the most capable off-road truck in the world. Dodge tried to make one that's comparable, but it's not even close. But it's meant to go off-road and all these guys around here, they drive them to the, uh, they drive them to the grocery store, the grocery. It's like, "Good dude, I have pins down with it." So, it's like, use it for its use. So, we want to put it to its highest and best use. It's not wrong. It's not wrong to have the Ford Raptor and not use it. It's just suboptimal. We just got 150 instead.

All right. So, what we want to do is think through our balance sheet. And don't worry, there's a worksheet here. We're, we're going to get to work. I'm just trying to frame it up so we don't get to work, you know what I'm talking about. We want to look at our balance sheet. You want to find everything we have on our balance sheet. You want to stress test it. What breaks it? If what fails, does my system collapse? Is there a single point of failure that can crush me? Or do I have a resilient structure? Common single point of failure would be I'm dependent. So, if my job stops, I can no longer make all these payments and I can lose everything. Or I saw someone in the chat earlier, what about the risk of borrowing against my Bitcoin with a lender? So, people put their Bitcoin or crypto with BlockFi, Celsius, or whatever went bankrupt. So, lender concentration. Maybe I shouldn't have all my loans with one institution. If one institution goes down, asset concentration, 90% of my net worth is in one house. If this house, if this house burns down or gets what? I lose everything. Liquidity, fragility. I have net worth, but I have no access to cash. So again, I have assets, but I can't use them. Forced liquidation risk, right? If the market drops 30%, I have to sell everything. That clock. Yeah, you guys get it. It's okay. We're going to keep going.

So the fix is then the opposite. Well, instead of having one lender, lender concentration, how about diversify lenders? If I don't have enough increase layers, we're talking about four layers of that. Uh, instead of having my mass concentration, one thing, how about I find my asset concentration? Okay, you understand that?

So, let's make a map. So, now Barbara, let's go ahead and drop in the balance sheet X-ray worksheet. We're going to drop into what's called the balance sheet X-ray worksheet. It's in the chat. It's in the chat. Everybody grab it before it's gone. You got to be live to get it. Um, or you can scroll up and get it. It's right there. It's a PDF. Grab it. What we're going to do is we're going to map out every major asset that you own. It's going to take about 10 minutes, 10 minutes. Stay focused. Remember, if it doesn't matter, or remember that it doesn't matter where you're starting at today. What matters is that you're mapping out the structure. We're building the scaffolding, the system. Okay. So, go ahead and grab that. We're doing this live.

Adrian says, "Barbara's kicking ass." Yes, she is. Barbara is always kicking ass. Um, okay. So, asset classification one, the first one. List every asset and introduce a piece of paper. You don't need a worksheet. Go back to do the worksheet later. Get a pen and paper. Write down every asset that's worth more than $10,000. First, that's what we're first. Make a list. I have a house. I have a car. I have a rental property. I have a business. I have a 401k. I own MicroStrategy stock. I have Bitcoin. Right? So, every asset that's worth more than $10,000. You can get granular later. Get granular later. Right? Let's get the thing in motion. Let's get the wheels in motion. Then, we want to classify them into one of the four categories. But right now, just write down the asset name, the estimated value, and the classification. Is it collateral? Can I borrow against it? Is it productive? Does it generate cash flow? Is it a lifestyle asset? It's an RV. It's cool, but it costs me money. It doesn't make me money. Or is it dead weight, a bad partnership, a dead LP asset? Any other $10,000 asset name, estimated value, classification. Collateral, productive, lifestyle.

Palon says, "Rental property can be can be both collateral and productive, right?" Um, sure. Like, um, a screwdriver could be a paint scraper. It could be a knife. I could stab someone with it. I could use it to poke holes or I could move screws out. But why did I pick it up? What use am I using it for? That's how you determine that. So I would probably put the rental property in the productive category because I probably bought it for cash flow. So it goes into that bucket. It could go in another bucket, like let's be other purposes, but I bought it for that purpose. How you categorize whole life insurance? Whole life insurance is a productive asset, right? It makes me money, right? Doesn't make you money. Physical gold, it's sort of like a collateral asset, but it's pretty hard to get liquidity against gold. Go to the punch.

All right. Now, what we want to do is we want to take our top five assets on the control versus the value matrix. Are they high control? I can access, sell, or borrow 30 days. That's the high control. Can I get them, sell them, or borrow in less than 30 days? Or is it low control, which is it's locked up, it's illiquid, or restricted? That's that's the control. Can I access it, sell it, or borrow it in days, or is it locked up, illiquid, restricted? That's control. High or low. Aaron, IRAs are not dead weight. I talked about IRAs already. They're not dead weight. They're high value. High value, low control. Not dead weight.

Okay. Now find our dormant capital. Three questions. What assets have equity but no borrowing capacity? Just write down at least one example of dormant capital. Just one. What cash is idle earning less than 3%? If you have money in the bank, it's earning less than 3%. I make it easy for you. What assets do I have that are only there for legacy? I have them because I've always had them. I have them because someone passed them down to me, or for emotion. It's an heirloom. My mom and my grandmother gave it to me, but they have zero strategic use. These are the dead weights. Just write down one example. Remember, all we're trying to do is get things in motion.

Uh, collectible cards and comics. Are they dead weight? I mean, they can be. Are they expensive? They're probably high value and probably high control because you probably sell them pretty quickly. I'm guessing they're pretty, pretty liquid. I don't know. Probably collect comic, but could be could be high value and very, very liquid. Um, Steven Bowen, valuable artwork. We talked about art already. High value, low control because it's not, it's not liquid, right? Uh, Mary says, "Some altcoins." I mean, maybe, maybe some altcoins. I mean, there's what 20 million of them now, so I don't know what you're talking about. Um, is land dead weight? I mean, it's it's dead weight if you can't get out of it, right? So we're trying to figure out how high value, remember here, high value, low control, high value, high control. So it's four categories. So what you're, what most people are asking here are binary questions. It's not binary. There's four. It's a matrix. It's not binary. It's a matrix. So what is a collectible Porsche? Masha is asking. Well, that's probably high value, mean, uh, high value, low control, right? It's probably not super liquid. Collectibles are probably not super liquid. You have to find a special buyer for them. Bitcoin is high value, high control because I can sell that instantly right now, within, I can do it right on my phone in seconds. But a collectible probably needs a special buyer. So it's worth a lot of money, but a lot of control. So it's a matrix. It's not a binary question. You guys got that.

All right. And so then we're trying to identify the dormant capital. Write down at least one example of dormant capital in your balance sheet. If the bank won't lend against dead weight, that's not necessarily correct, Ken. Um, could I sell it? If I can't sell it and I, so again, right, I'm in, I'm in a bad partnership like this oil deal, right? I can't sell that equity in that oil deal. Um, so I can't sell it. I can't borrow against it. Uh, it's dead weight. Maybe one day they'll have some money for me, but like maybe not, right?

All right. Now, um, let's see here. Hey, Barbara, do we want to try the breakout rooms again or do we save that for tomorrow?

>> All right, here guys. We're going to give it a go. We're We're going to try this one more time. We're We're going to give it a try. I think we got it figured out. Um, so what we're going to do here is, uh, let me switch my screen here. I want to go to a breakout room. Listen, uh, let me just explain why this is so important. What I have found and I believe to be true is that you have to talk about something. So ideas are like vapors in your head and only when you start to talk about them and listen do you start to like understand them. But also like, you can only understand so much. So when you hear other people's points of view and the way other people think about them, it jogs your memory or gives you inspiration or insight. Uh, so what I found and I've coached over 6,500 people on building wealth in the last, whatever, six, seven years. What I found is that small group coaching works better than one-on-one coaching. Most people think one-on-one is better, but you get way more value, um, in a small group listening to other people. That's why masterminds are so important. Um, Napoleon Hill talked about the power of mastermind, a bunch of minds working together better than one. So that's why this is important. So, uh, you use this, use this. We're going to spend 10 minutes in breakout rooms and here's what we're going to discuss. We'll leave the slide up on the screen. Um, share what is your biggest asset and what quadrant is it in? Now, you don't know these people and we know who all the billionaires are in the world. So, don't be afraid to say that. But if you don't want to say, don't say it. Like, just say, "My biggest asset is my house or rental property or Bitcoin." You don't say what the amount is. But what is your biggest asset and what quadrant is it in? Then identify what dormant capital did I discover. So, what makes quadrant is what dormant capital did I discover? And then the insight is, what single point of failure did this expose? Okay. So, uh, again, ground rules here. No advice, even here. You guys aren't coaches. We're not here to critique. We're not here to give advice. We're not trying to compare dollar amounts or balance sheets. All we're doing is sharing observations and we want to listen for patterns here. Okay. We're just hoping that we can hear other perspectives that can jog our memory so we can hear from other people. Okay? So Barbara, let's give it a go. One more shot. Everybody cross your fingers. Let's give it a shot. See if we can get you in the rooms and back. And if we lose you, uh, let's go back to the original. You join and we'll try it again. But go ahead and hit that bar. Let's see what happens. Give me, I see hand claps. Awesome. Helpful. Really good. Great. Fantastic. It was good. All right. Well, positive. All right. Good job, Barbara. Hats off to Barbara. Um, you know, uh, as I said, I'm not going to keep you over and over just so you can understand this. It's like, you can watch my YouTube videos. I break this down in 15, 20 minute chunks, or you can just read headlines, too. Um, but this is not about entertainment. Um, this is not about information. It's really for a transformation. And, um, I don't do these live. We're only doing this live right here the very first week of January because it's the beginning of the year. New Year's resolutions. Now is the time to get this order. If you guys watch me regularly, you know I put out a video a few weeks ago talking about my end of the year. I'm, I'm a, I'm very systematic, as you hear me use the word systems over and over. I try to build as many systems in my life as possible so I can remove as many decisions from my life as possible. And so throughout the year, I do a lot of the same things. So, for example, I typically spend the last two weeks of the year just in self-reflection. So I sort of shut everything down and I plan out my year. I, I reflect what I like, what didn't I like. I plan out the year. I do all these things. Um, and man, I had some big breakthroughs. You'll notice a lot of content changing. Um, this next year I'm really doing. And then at the beginning of the year, I like to go through all my, all my finance stuff. So, you know, making, make sure all my insurance calls are up to date, making sure my wills, my trusts, all that's up to date, all my contingency plans, my instructions, all that's done. Um, and so I spend the first part of the year doing that. So, this is the first part of the year, and you're doing it with me. Like, so we're going to spend a couple days together, but it's doing the work. It's going to change your life. Um, and, and we're here to do this together, and I'm here to coach you through it. We have the breakout rooms, like I said before the break, if you weren't here. Um, after coaching 6,500 people for the last few years, I find that small groups are the best way to do it. Um, because you learn from other people, better than one-on-one help. I've recently started to learn how to play tennis. That's what, anybody played tennis in the chat? I started about two years ago. My daughter wanted to play for high school, so we started getting her lessons. And then my wife and I, like, why don't we start playing? So we all play together. And, um, I'm trying to figure out how to play tennis. I'm getting, getting better at it. And there's this old, old book and I don't remember the name of it, but it was like from the 70s, like how, how to learn tennis. And there's like some old, old YouTube videos you can find. And what I found is that this instructor makes a case, and it's one of the most awful used books in instruction is the best way to learn tennis is to watch other people play tennis. And so literally what the instructor does, if any of you tennis know, you probably know what book it is. But literally what he does is he just has you watch someone do a perfect stroke and like count it. Okay, boom. And what they found is rather than thinking through the mechanics, uh, the perfect game, I think maybe that's rather than thinking the mechanics of like, okay, first you go here and then you drop the racket to here and then you bring this here and then you come here and then you move it up, right? Rather than think through the mechanics because that's too hard for me to think through everything. And when I'm getting coached and he's like trying to critique me, I start thinking about what I'm doing. It's harder than just doing. So you learn the best way of observing. Anyway, long story short, we learn from observing. So when we hear other people's ideas and other people's thoughts, um, visual learning, but we can learn from other people from the observing. That's why we want to listen for the observations. Your sub, your subconscious is way more powerful. Yes, but it's also like, we can also see whether people are doing right and wrong. Oh, I noticed that when they do this, their hands like this. Oh, I noticed they talk about this asset this way. I think about asset that way. Oh, I noticed that they put this ass. Oh, I didn't think about that. And so we, we learn from that way as well. Um, okay. So, now let's, are we sharing the screen? We got the screen up.

>> All right, so now let's let's spend some time. Let's have some fun. Let's do this live debrief here. So, let's go ahead and, uh, anybody want to come up on stage? Can we bring somebody up?

>> Um, does anybody, are they can see it in here? Anybody want to, uh, raise their hand for me to ask them three questions? Does anybody want to come up and talk to me? Does anybody raising their hand?

>> I don't know. Just pick one.

>> Someone's got their camera on.

>> All right, Ann. Looks like you're on. On the Ann.

>> Hi.

>> Oh, hang on. All right, I hear you. We're going to go. So, let's let's run through this real quickly. Let's run through a couple. So, what surprised you about where your assets are actually living?

>> Uh, what surprised me is that I have this property that I think is a dead thing that I bought in Malaysia, but it's it's rented. It's four years away from paying off. The rent covers half the mortgage, and it's not nearly worth what I paid for it. So I, I had always just thought of this as completely dead weight, but I'm starting to think maybe I could pull some money out of it. Maybe I should pull some money out of it.

>> Did you say the rent covers the mortgage?

>> No. Like it covers, I always have to kick in. Yeah, it's not, it's not been a good situation.

>> Okay. So then one, the the total value of the property has gone down. Two, you have to contribute money every single month to keep it. And three, because it's in Malaysia, it's illiquid. You can't even pull money out of it.

>> And I can't really sell it.

>> And you can't sell it. So that's four. So that's not only is it dead weight, it's like a weight pulling you down into the depths of the sea that you can't get away from.

>> Yeah. I mean, I have other investments, you know, I have Bitcoin and I have, I have, uh, structured notes. I have, I'm getting, I'm getting organized. This thing has been

dogging me for a long time. And I just, I wonder, should I pull money out of it?

Can you? Well, I could pull maybe like $30,000 out of it, you know, or $40,000.

Well, you can't get a loan against you. You can't sell it.

I can't sell it. I could. Yeah.

Yeah. What, uh, what dormant capital, or as I call it, lazy unproductive capital, did you discover?

Uh, well, I have a VC. I have a VC as well, and I didn't, you know, it's funny because I thought that was a cool opportunity, and I, in the last year or so, I've been thinking, why did I do that? Like, that was not smart. Um, I had the chance to, like, it seems like a good company. All things are going well, but it just bothers me. I wouldn't do it again.

Okay. And what single point of failure did you identify that could take everything down?

Okay. I'm a single person. So this is the thing that for single people, if something happens to me, like, if I, you know, last year I was working, and I have a side business, which I have quit my full-time job to devote myself to my side business, but if, you know, I was very burnt out last year, and it was, it's like, if something happened to me, that's it, right? So to me, that's the single point of failure.

Well, what you're saying is it's all up to your income because you, you're working, and your side hustle, your two, your two jobs are the only source of income. And if your income were disrupted on either of your two jobs, it could bring the whole system down.

Yeah, that's what I'm working on to fix that.

Okay. Well, good. That's exactly what we're doing here. Thanks so much for sharing that.

Thank you. Uh, go ahead and pull something else. Tanner Drew.

Are we on this camera, or are we on this camera? Okay. Hey, can you hear me?

Yep, we got you. What, uh, what surprised you most about where your assets actually are?

Um, I'm not sure if I actually was surprised. I keep a pretty good, uh, beat on it, I guess. Most of my stuff is in the high category, I would say. The only thing is maybe. So, I'm really not sure about my 401k. I know I can like borrow against it, but I really don't know how that works. So, that was maybe something that kind of threw me off.

Okay. So, you thought your asset, your 401k asset was actually a high control asset, but you're not sure if it is.

Now, I'm not sure. Exactly. Yeah. Exactly.

Okay. Um, some are, some aren't. You have to talk to your plan administrator about that. Um, but yeah, that's, that's exactly what we're here for. What about, uh, what, what dormant capital did you discover?

Uh, well, definitely my, you know, we have money in bank accounts, a lot of money sitting in a bank account doing nothing. So, yeah.

Good. We have some really good ways that we're going to talk to you about that here coming up. What about, um, other equity in properties, or equity in business, or equity in businesses that are not that's only doing one job?

Yeah, I, I mean, I have Bitcoin and the 401k. I have a brokerage account, and then I have the bank account. That's pretty much the big things that matter.

Okay. What single point of failure did you identify?

Well, I definitely just one income earner in our household. The 401k thing. I wasn't sure exactly how that works. I get money out of that if I needed it. That sort of thing.

Yeah. So the single point of failure is like, what could happen that could bring everything down? So we talked about like lender concentration risk, over concentration to one asset, uh, income. If my income drops or gets disrupted, so like in Ann's case, if she, she has to pay money every month to keep that property. If she loses her income, it all comes crashing down. So we're looking, we're trying to identify times people are like, "What if this happens? What if this happens? What if this happens?" In order to learn how to mitigate risk, we have to understand what the risk is. So if I think that someone's going to break into my house, and they're probably going to come through my front door, then I would want to, I would want to reinforce the front door and guard the front door, right? So we have to, if I, if I'm afraid that I could drown if I go in the pool, then I don't go in the pool. I learn how to swim. But I have to understand my risk to understand how to mitigate the risk. So all the time people come ask me for, for risk management advice, but it's like, well, what are you afraid is going to happen? So we're trying to identify the single point of failure, like in Ann's case, if she doesn't keep working, she can't make her payments anymore, and she loses it. So, uh, again, I gave the problems, but go back and think about that because we really want to think about how we mitigate that. So I, I urge you to sort of dig in a little bit deeper. Again, all of us have risk all the time. I have a venture fund. Most of you guys know that I have a venture fund. Invest companies building the coin ecosystem. When we look at companies to invest into, I want to hear the bold case, like why do you think this is a good investment for me? But what are the risks? And if they don't know the risks, we would never invest. So there's always risks. So dig deeper, but thank you for sharing. All right, let's grab somebody else.

Nasha.

Just everybody knows, when we're gonna go through these three questions. Uh, everybody, everybody on the same page here. Who do we have up?

Masha.

Hey, Mark. This is Harasha, is my wife's name, but nice to, nice.

Oh, you hacked your account. Okay, I got it. I got it. Um, what surprised you about where your assets actually are?

Um, I mean, one of the things that I found out, at least sometimes makes you feel stupid, and that's sometimes the goal of it because you learn your mistakes. So, in the past, I had a home that was going to be paid off that we sold, um, you know, thinking that we would use that money to invest somewhere else, and we didn't end up, end up actually using that money to invest in another home. So, that was, that was a miss. I would have borrowed against it otherwise if I would have known before. The other piece is, uh, our current home right now. Uh, that's, that's a pretty big, um, investment. There's good equity in there, but we haven't pulled a HELOC against it yet. So that was one discovery. The other one was collectible Porsches. Um, that seems to not be a good, it makes me happy when I drive the car, and I'm emotionally connected to the car, but it's like, may not be the best financial decision to keep that vehicle.

Okay. So, um, number two, what capital did you discover? You discovered that your home has equity in it, but you don't have any availability to the capital. So it's dormant or inefficient at this time. And then, um, also the Porsches, you've realized they're an asset, but so they're, they're potentially high value, but low control. They might be worth a lot of money, but I have low control because I don't really have a lot of access or access to liquidity on those. Maybe I can't sell them quickly. I can't take loans against them. So, it's high asset, but low liquidity.

Exactly. Exactly.

We're going to get in, we're going to keep going. We're, we're in the discovery phase right now. So, we're going to get into the layers and liquidity and all that later. So, we'll save the, um, I don't know if it's a good decision or bad decision for later. We have the decision criteria yet. Right now, we're in the classification stage, right? We're in the discovery phase. So, uh, you know, as you said, you know, now we have, I don't know if that's a good or bad thing. Let's, let's save the good or the bad thing for later interpretation. Right now, we're just in the discovery phase. Um, but let's finish off. Uh, did you, do you have, what single point of failure did you identify? What do you think is like your biggest risk that could take everything down?

I think what you mentioned that really, um, was impactful to me is how you pass on the system, the operating system to your, to your kids. I think that's a huge one because if something happened to me or my wife, or, or both of us, God forbid, that would be my concern. So that would be our single point of failure, which I would like to protect.

Now, you even think about like, what, what about what about me, and then my wife inherits everything? Or like my wife and I are on a plane, and we both have kids. But like, not just like, how do they get the assets, but like, what's the 7-day plan? What's the 30-day plan? Like, how do they even make the payment for the next month or two? But then they get this big chunk of money, but then what do they do with the month? They don't even, your wife knows what to do, right? Or my wife, right? Yeah, it's the system. So single point of failure is not having a system that somebody else could follow in your absence.

And, uh, spoiler alert, if there's no system for someone else to follow in your absence, that also means you don't have a system to follow.

Yeah.

So, one is a quick one. If you were to pay for a home in cash, and that would mean that you have maximum equity in that home and are able to pull a line of equity on that home. What's better, to not pay cash for the home, or to pay cash and buy larger, get, you know, larger line of equity?

Well, better is a subjective word, and it all comes down to what we're trying to do. So I could make the argument for and against either choice. So because it's subjective, right? So again, uh, in the next session, we'll start to think about our liquidity in layers and time frames, and then we'll start to think about how we can deploy equity into second, third, fourth, fifth jobs. And once you have those other structures, then you can make that decision a little bit better. Um, but I would say to answer your question as best I can at this point without jumping too far ahead. I want options. Optionality beats uncertainty. So if, if the future is uncertain, I need as many options as possible. And so having, whether I have the home equity doesn't change, but do I have access to equity? Whether I use the equity or not doesn't matter as long as I have the option to use the equity, right? So I would rather have the equity and have the equity accessible to me, and then I can later.

So anyway, okay. Uh, let's find somebody else. Sheets.

Brock Sheets coming up.

Hello.

Yeah, we hear you.

Yeah.

Hey, what, when you started breaking down your assets into these four quadrants, what surprised you about where your assets actually are?

Um, I guess it surprised me that I'm actually doing really well. My first asset is Bitcoin, but I made the massive mistake, uh, later on when we talk about leverage. I'm overleveraged on it, and the most recent downturn has really, uh, basically locked everything up now. Um, and so I'm, I'm now immobile, illiquid on that, on those Bitcoin assets.

Good. That's a good insight. You know, what I found, and again, I've coached a lot of people a long time. A lot of times people are doing much better than they think they are. And a lot of times they don't take the time to really identify what they have and just accept that they're doing pretty good. And maybe with a few small tweaks, they can do much better. So that's, that's a good insight in its own. Um, and so I guess number one, I'm surprised you about where assets actually are. And number three, together, number three being the single biggest point of failure together. So what you realize is that you're doing pretty good. Your assets, you have good assets that have high value and high control, but it's also your single biggest point of failure because you realized when it was stress tested with a market downturn, now you're stuck.

Yep. Yep.

And then, and then it's the single biggest point. Not only are you stuck, if the market were to continue to go down even further, and then maybe potentially you had a disruption to your income, you might get liquidated.

Correct.

Yeah.

So that's catastrophic.

Correct.

That's death. Did you discover any dormant, lazy, underutilized unproductive capital?

Yeah, my IRA, um, which I can't borrow against, and that's, you know, it was a 401k from a former employer that I rolled over into an IRA when I left. And I've done really well because I put a lot of that into Bitcoin ETFs. I'm a big maximalist on that, but, um, so put that into the Bitcoin ETFs, and but it's all just locked up, sitting there, unable to do anything with it.

Good. Okay. Well, that's exactly what we're here to solve. So, as I said, we'll get through the next two modules here today, and we'll figure out the best thing to do with those different types of assets. So, thanks for sharing, Brock. That was super insightful, actually. Um, all right. Somebody else.

Desire. We got you up live.

Hey, Mark. How you doing?

Yeah, I'm doing great.

Yep. Uh, for my assets, I'm kind of a dad nerd, so I track everything in Excel. I'm kind of aware what they are. I just, biggest thing probably haven't done a lot with them. Um,

since you've seen them and you have this four quadrant framework, anything surprise you about where those assets actually are? Maybe you think about them differently now.

Not really. Like my house is paid off, and I have a lot of precious metals, and they're just kind of sitting in places, a paid-off clean slate. Um, so I, I feel comfortable with what they are. Um, one of the problems I have is my house is an LLC. So I don't know how to make myself legally seen by taking a HELOC against it. So it kind of scares me a little bit on that. Um,

Okay. So those are high value, low control assets. So you have a lot of high control, low value assets, but not a lot of high control, high value assets.

Yeah. Except for like the precious metal, I would say is probably.

Pretty quick. I could take out and sell it today if I wanted to.

Yeah.

Yeah. Okay. And then you found the next question. You found more capital. Well, you found a lot more capital because as you said, you have properties that are paid off.

Right. Yeah.

So now you have full capital in there doing one single job, earning 3 to 5% per year.

Right?

Okay.

And do you have, since you've paid off a lot of this stuff and you have precious metals, you don't have maybe the payments that people have, but did you discover any risk in any single point of failure that you could identify?

Yeah. Um, I thought about maybe leveraging against my property, but I also treat like an Airbnb cash flow. So I really want that legal protection, but I'm retired military, so all my benefits are retirement and VA disability. So I'm really nervous like if the government did go down, would I lose all my payments that are all coming from the US government for retirement, all those purposes? So all my eggs are in that category right now for making payments.

Yeah. And I don't know if that's a true thing, but I do think.

Well, um, when the government shut down for the longest in history, and you saw that all of a sudden shoot, maybe something like that could happen. Um, but okay, good. Well, that's, that's very helpful. Desi, thanks for sharing that. Um, it's important to understand these things. So, you know, we heard about, you know, the Bitcoin being a high value, high growth asset, but if we overlever all sudden with a little downturn, a little stress test, we find ourselves in problems. Desal, you know, having to check the house underperforming, and none of these are bad. We just, we're aware of them right now. Again, the next two models today, we're really going to dig deep into the liquidity and the risk thing. I see people in the chat saying, "What about the risk?" We're going to get to that. Tomorrow, we have a whole laser coaching session. Right now, we're just discovering insights. Tomorrow, once we've gone through the program, and then you guys know everything, or at least I've heard everything, uh, then we'll actually coach through it because I can't be coaching through things we haven't learned yet. It's like, uh, um, again, like, uh, like, like I'm going to teach you how to play tennis, and you haven't even got back to the court, pick a racket yet, and ask me how you serve. It's like, hang on, let's get to the court, and you know, and we'll get there, but we haven't gotten to all the, I want to coach you on that stuff yet. Um, let's, let's take a couple more. Tanner, do you have.

All right, Thomas Mayyou. How do you do?

Nice hat, Thomas.

Oh, thanks. Appreciate it.

Thank you. Yes, it's the cat, and I have them up on top. Um, so I, as far as the, you know, the, I guess that surprise on the asset side, um, that would be, it's, it's meaning I just got a lot of value in a home and, and overall have a lot in just real estate. So, little bit Bitcoin, little bit here and there. Um, and yeah, so that's, that's it. So.

So most of your wealth is in high value. You have a home, maybe it's not going up as much, high value as other assets, but it's probably low control because you don't have access to the equity or whatever in that you're not utilizing that.

I, I could, but so far chose not to. Yeah.

Right. So we'll talk about this more later, but just to plant the seed where I talked about like global liquidity as a measurement that we look to see how assets are going to respond. And global liquidity is not just the money supply, but it's the access to increase the money supply. So I could go access the equity. How long is that going to take? It could take three months. So does that help me if I have an emergency? I need to go into the hospital tomorrow. So let's walk through that. Nor, we'll get to that. Um, what dormant capital did you uncover?

I guess it's also in your house.

Pretty nice. Yeah, that's right.

Yeah. What about single point of failure that you're able to identify?

Yeah. Just, you know, I'm kind of limited by the, the hamster wheel effect. You know, just, you know, got to run faster, and, and if something happens to me, then that's, yeah. The hamster wheel breaks down. So.

Okay. Yeah. So that's like most of us were working harder, trying to make more revenue. Like MicroStrategy was doing. MicroStrategy couldn't increase the revenue anymore. The problem with making that revenue is the revenue is buying us less and less and less. So even though we're running faster, faster, faster, we're going, you know, we're not going as fast. Um, and so, uh, and then, and then heaven forbid, something were to disrupt that income, then everything, unfortunately, that we've worked hard for could come crashing down. Um, that's sort of like what happened in 2008. I'll tell you more about my story tomorrow. Um, and the lessons I've learned and how I recovered from that. Um, okay, good. Thank you, Thomas. Appreciate you sharing that. Um, what, we got one more.

Sure. Caroline.

Caroline.

Caroline.

Hello, Mark.

Hi, Caroline.

Hi.

What surprised you when you made a list of your assets and you, uh, sort of look at where they were? What quadrants they're in? Any surprises there?

Um, I sold my house last year and I put most of my profit into Bitcoin.

Okay. I did keep an amount. I am keeping an amount in my bank account right now. So that I would consider that dormant.

Um, that amount is to eventually, um, start up or purchase a money, a cash flow business.

Okay.

So, you know, some of this is like, obviously I knew I had the cash in the bank, and obviously I knew I had Bitcoin. Obviously I knew I had whatever the asset is, fill in the bank, but I didn't really think it was in this category. I thought it was actually in this category. Some of the surprises that we're looking for, um, kind of like the Porsches earlier, right? Like, man, I, I thought these Porsches were, were online, and they are, but I never really thought that really, it's not really accessible capital for me. Um, so that's kind of the surprise we're looking for. With the boring capital. So you have money in the bank, if doing one job, it's earning less than 3%, and that's super lazy, super, super lazy capital. Um, I guess is that right?

Absolutely. Uh, with the inflation, uh, I'm not making any, not making any money with my dormant capital in the bank.

Hey, uh, I just, real quick, Barbara, I see someone in the chat showing links. I don't know if that is abundant minds. I saw someone put some, look like some crypto coin. Let's, let's end that. I don't know what's going on there, but I, I don't know what they're doing showing stuff, but don't, don't be showing stuff. Look, I'm not going to be telling you guys what to buy. Certainly don't be trying to tell other people what to buy here. Uh, if we see that, we're going to have to kick you out. I'm sorry that this is not the place for that. Um, so any, sorry to interrupt you there, but just, just a maintenance here. I want to keep everybody safe. I got a message from one of my co, both of us coaching members. She reached out to Barbara two days ago. She suffered a, uh, a phishing attack, and they took a million dollars of cryptocurrency from her. Just terrible. There's no recovery from that. So you guys have to be super safe, super, super careful. Be very, very careful what you're doing here. And I'm not going to approve anybody showing stuff in the comments here. So if we see that, we're just going to kick you out. Um, okay. Sorry, Caroline. Um, any, I just try to keep everybody safe because I've seen how affected. Um, Caroline, just before here, one thing. Any single points of value you identified? I mean, you have now, you have cash. That's good. Um, you said you want to buy cash flowing in business. So are you sort of like, you have some cash savings, but you're like income poor right now?

Um, yes. Uh, my income is to pay my fixed, uh, expenses. Um, this is the first time that I've had access to this kind of money. So, that's why I'm trying to, uh, distribute it into money-making activities. So, Bitcoin was my first, uh.

Yeah.

Okay. Well, that's, uh, that's good that you identified all that. Like I said, as we get through the next two models today, and really through tomorrow, most of those answers should be a lot more clear. What, again, after coaching, you know, all these people, what I've been found, and I have a couple coaching programs, and some of my real high-level coaching programs, uh, my highest level is in the $50 program. It's people that are very successful, make a lot of money, but even then, a lot of times they're just like, "Mark, what should I do?" They have like analysis paralysis. Like, "Should I buy this business or sell this business? Should I do this investment or not do this investment?" And, and they don't know, and they're looking for me to sort of tell them. And, and the reason why I found that they're not able to make these decisions is because they're not actually clear on where they're trying to go. Or do I'm gonna, I'm gonna use an example, and you guys can laugh if you're old enough. You remember the movie, the cartoon movie, Alice in Wonderland? And Alice in Wonderland is going to enchanted forest, whatever, and she's trying to get out. She's lost, whatever. She said to the Cheshire Cat, and she says, "Excuse me, um, could you tell me which way to go?" And the cat replied, "I don't know. Where are you trying to go?" And she said, "I don't know." And the cat said, "Well, then any path will do." So, should I buy a business? Should I sell a house? Should I invest in it? Sure. Any of those will work. Someone asked me earlier, like, which one's better? They're all good. I can make arguments for either. Where are you trying to go? I don't know. Well, then, then do any of them. Once I've identified what it is I'm trying to do, where I'm trying to go, once I see my options, then the path is very clear. So anyway, hope by tomorrow that's going to be, be much more clear for you. At least what your options are. I still don't know where you're trying to go, but we'll figure that out. Gabriel Brown up there at the top left. Can we get him going, Tanner? I see him. He's been sitting there. Looks like he's ready to go. What you got, Gabriel?

Hey, Mark. How's it going, man?

Good to see you.

Thank you for doing what you're doing, my friend. Um, what surprised me about where my assets are wasn't that much of a surprise, but it was great to really feel it, which is, you know, I've been doing the typical saving model and putting money into IRAs and 401ks for a while, and just realizing how illiquid that is from the standpoint of being able to do anything outside of those. So, that was definitely a big aha. Um, also a little bit of, I feel like I'm doing better than I might have thought I was. Like I've got a nice rental property generating some cash flow. I could theoretically take a pretty good chunk of change out of that as an equity line. Like there's options available to me, but I just still don't know where I want to go yet. And that's the big one.

Did you discover any dormant capital? Lazy, inefficient capital that's doing only one job or is not making very much?

Definitely have a bunch of like liquid cash that I've been sitting on as like feeling like I need it for, I don't know, my own sense of safety to be liquid, but realizing it's literally just sitting at zero, not, not earning anything right now. And it's after watching a lot of your programs, combined with other stuff I'm getting into lately, just realizing how the, the value of the dollar is going down so drastically. I'm just losing money. I'm not even keeping money at this point. So need to do something with that. I like what you just said. I want to reinforce this for everybody listening. This is why coach group is so important. Uh, what he said was he's been keeping a lot of cash because he feels like he needs the safety of the liquidity. But what we're discovering is that cash and liquidity are the same, but they're different. Liquidity is access to cash when I need it. It's not the same as having cash in the bank. Does that make sense? So what we want is how much liquidity do I need? How much liquidity do I feel comfortable having in a three, six month period over time frame? But it doesn't mean it has to be cash. So, for example, I could have a million dollars wired in my account tomorrow from my Bitcoin. I have a business line of credit that I don't use, but it's open. And right now, I could just have the money wired in my bank before the end of the business. So I don't have the cash there, but it's available to me in an instant. So there's a big difference between cash and liquidity. We want to learn the difference because that's a very, very, very powerful piece to building. What I also like about what you said, Gab, is that you're doing better than you thought you were. So a lot of us, we have more than we need or than we think. And if we could just learn how to maneuver a little bit better, like Sailor did, took us 500 million and turned it into 50 billion. And if we could just tweak it a little bit, we can do better with it. Um, that's great. Okay. Um, thanks so much for, well, one more question. Uh, did, did you think about it or did you identify a single point of failure?

You know, um, probably just me as the business owner of my own small business. You know, if, if I got sick or something, that could definitely be a challenge for my wife. There's nobody else that really can run the business but me. Um, I have a great operations person, but basically I am the business as it is right now. So, the point of failure is definitely the duplicating myself somehow or figuring out how to either, I don't know if selling the business is the right answer. I thought about that and just like putting that, putting the money that I might get into a more, um, you know, asset that generates income without me. So, my business is my single point of failure.

It's not your business, it's your income, right?

The income is the single point of failure. So, is there a way that I could diversify my income or get more liquidity to prevent a downturn in my income? And then we can talk about, right? So we want to identify the risk, the downturn income. Then we can start to identify ways to mitigate it. So, mitigating, finding someone, a better manager, or sell. Those are some ways, but ways to mitigate the income risk as well. So we want to be clear on the risk so we can understand what the risk mitigation is. Uh, so all right, good stuff, guys. Thanks so much. We're going to, we're going to move on. Sorry, all, you know, we're going to have a section on all these, all these. Um, I have a little bit more to go through, and then, uh, and we're going to take a lunch break, and then we're going to come back and talk about the other two pieces. Remember, each one builds on top of the next. So, uh, you don't, you don't want to miss a piece of this. I know it's going to be a long, uh, a long couple days. Well, two full days today. Friday, or Friday, we have a half day. Uh, but I'm really trying to pack in 12 months of coaching in three days. That's going to be worth it for you. Uh, that's my promise for you. But let's just kind of move on because we want to stay on track here. But some of the, some of the balance sheet principles that I think about. So, just kind of recap some of this. We talked about revenue is vanity. Balance sheet is destiny. So the revenue, whether I make 100 grand or 200 grand or 500 grand, sounds good, but if I learn how to leverage with my balance sheet, that is my future, which is what I want to sell. My future. I want to sell my future for consumption today. So what you mapped out today so far, the first two sessions, what you mapped out today is the truth, and it's not good or bad. It just is what it is. Like, uh, I'm really big on data in my business, and I tell my team, like, we're not a guessing business. We're a data business. So we start collecting data, and then we go, is this data good or bad? I don't know, but our goal is to make it better now, right? So it's the truth. What we mapped out today is the truth. Um, it's not the story that you tell yourself. It's not what your CPA sees. It's the truth, and it's a structure that we, that we can build that we have today, or that we can build it into, that determines what our optionality is for us. So you've heard through some of this, uh, some of this, this feedback, this debrief, you know, a lot of people are sort of at these crossroads where they're trying to make these decisions, but we want to create structure that gives us optionalities so we can make the best decision. Um, just like what's the other with strategy, his business improved when he got off of his income and went to the balance sheet. Our life can also improve when we start managing our balance sheet, not just trying to make more money, not just trying to work harder, not trying to start the next side hustle, start the third side, some two side hustles, about three side hustles, like, what if I work 12-hour days? That's not the point. And it's not even the point about a business owner, you earner. I'm giving you tail person. Both make the same money. They both spend the same amount of money. It's how they manage the money that's the difference. So now you know, you know where control is the difference of assets and control of the assets. And the control of the assets is really coming down to the collateral or the liquidity in those assets. You understand, uh, where, where you may have capital trapped. This is super important. Tomorrow, we get to the bolting on the supercharger, the nitrous oxide for the engine. We need to know these things. So we're taking today. So where's capital trapped? Where's it lazy? Where's it inefficient? We're going to get to that. We understand the single point fail. We need to know the risk so we can mitigate that. What has to change? What do we do to improve? And of course, uh, the good news is we're going to get to all that. We're going to get to all of it. And I know some of you are jumping, like, Mark's coming already, but we're building this sequentially. We're going to show you exactly how to optimize this. I'm going to show you how to activate all this capital. Literally take money and like multiply three times. You didn't know you could increase your control of it and multiply what you already have like Sailor did without having to work harder. I mean, sure, we have work on this now, but I don't mean like you don't have to work twice as many hours, right? You don't have to grind more hours or start a side hustle. The system that we're building is the same every level. So whether you're installing it today, or you get, you know, to a level, the system is the same. Now, obviously, we can't all this something. It's you constantly working on some homework. Complete the full asset inventory. I said, you know, the initial list was just everything that's worth more than $10,000. Maybe you drop it down to like everything more than $5,000. Um, two, identify three actions to increase control or activate during capital. So I talked about like an equity home is nice, but could I access it if I needed to? It might take me months to get it. And or business line of credit or credit cards. One of my, one of my friends I work with, Hills people get, um, credit card, get people $100,000 credit cards like 0% for 12 months. I need this business. It's like, I don't need to use it, but is it available to me? So just identify three actions that could increase the control or activate the more capital. Doesn't mean we have to use it. And then number three, because this is not for entertainment, it's for transformation. If you'd like, submit the balance sheet map by the end of the day. That way we can look to coach to it. We can help you with it, and we can figure out more ways to diversify lender relationships, to identify those single points of failure, you know, convert the trapped capital into collateral capacity, things like that. Um, and, and we're going to get to this in the next section, but I'm just going to give you a preview real quick because all collateral is not equal, right? You map your collateral assets. But what we're going to learn in session three is that not all collateral is equally liquid. So you could have $500,000 in a whole life cash value account, and you can borrow against it in 24 hours. I could have $2 million in commercial real estate, but I probably couldn't get access to that in six months. So, in session three, we're going to map the full liquidity hierarchy. And by the end of today, you're going to have all four artifacts done. They're going to, you're going to create your own personal treasury binder, your own treasury OS. And when we're done, you want to have a plan. You have this operating system that your wife could run without you, your kids could run without you, whatever. So, we're going to take a lunch break. Um, we're going to take one hour break. I'm going to take 30 minutes off, and then I'm going to jump into the VIP room. If you guys are VIPs, you can join me in there. If you're not VIP and you want to, you can still add that. You can join me there. Um, so, and then we'll be back to talk about the liquid stack. That I just showed you. All liquidity is not equal. We're going to figure out how to determine where it fits and then how we can move around and why we need it and what those rules are. So, we will be back here in the main room at 1:45 p.m., which is 1 hour or 60 minutes from now. 30 minutes, 60 minutes here. Is that good? Is that clear? You guys got that? Give me a thumbs up. I know some of you probably really, really early. So make a hot coffee. Go for a walk. Get your energy up. Like each one builds, it's only going to get better. So, don't give up on us right now. Make sure you come back. Um, and we'll see you.