Crypto Investments: Shifting from Real Estate to Digital Assets

Entering the market with remaining volatility, the CEO diversified into real estate and crypto investments, regretting missed real estate opportunities.

### Investment Strategies and Insights Shared by a Successful Investor
* 🏦  The investor views crypto as a **tax-efficient, high-growth asset class** with the potential to **disrupt traditional finance, including banks**.
* 💰  Starting with a small seed capital of around 10 million won in 2021, the investor learned the importance of setting investment principles through experience. He initially incurred a **significant loss** by investing in Dogecoin, but refrained from **panic selling** and held onto his position.
* 📈  The investor, who has over 20 years of experience studying stocks, initially found it challenging to value cryptocurrencies. However, after learning from an **advanced crypto study group**, he began applying his existing investment principles to the crypto market and **found success**.
* 💡  Despite the high volatility of the crypto market, the investor notes that **predicting short-term price movements is nearly impossible**. However, he observes that **large-scale market trends and movements often follow relatively straightforward patterns**.
* 💪  Investing in crypto can help develop resilience due to the frequent and sometimes drastic **price fluctuations**. The investor emphasizes the importance of identifying **premium coins** and **holding onto them during market corrections**.
* 📉  The investor warns that altcoins, even well-known ones, can experience corrections of **60% to 70%** during bull markets. Therefore, it is crucial to have a strategy to **identify coins with strong potential** and **buy them at opportune times**.
* 🔄  An insightful strategy shared by the investor is to **avoid feeling the need to buy assets urgently**. Instead, he suggests identifying multiple candidates and **waiting for them to reach favorable price levels before making a purchase**.

If crypto develops like this, banks could disappear. I even had thoughts like that. I consider myself very lucky to have entered the market with some volatility remaining. A good market like now is too easy, isn't it? In fact, it's hard to have high volatility. Even if it's a little bit of a downside [music], it's difficult. Now, let's slightly change the topic and talk about something else. I would like to ask the CEO to introduce themselves first. Yes, it's a bit late, but I would like to ask our subscribers for a self-introduction. Yes, I graduated from the Department of Mathematics at Seoul National University. And I work in the education industry, mainly in the academy sector. I was mainly in business, but in 2018, I retired from the academy sector, or should I say, I stopped going to work. I do manage the business, but I don't go to work.

I'm not doing anything at all and I have a lot of free time now. From then on, I mainly focus on real estate investment, and from 2021, I'm focusing on both coin and real estate investments. I'm continuing with education. In a way, this might be a model that many people are looking for. I do business, but anyway, I don't have to commute, so in a way, you've created time freedom and economic freedom. However, I also do startup lectures once a year, but it's really not a short-term thing. I've been teaching for about 25 years now, and I founded an academy on October 10, 2010, at 10 a.m. It's been almost 14 years already. Over such a long period of time doing business like this, I used to work almost 15 hours a day, 7 days a week in the early days giving lectures.

I lectured only, on the blackboard, for 13 hours a day. Yes, that's how it was. However, I am grateful because many people sought me out. So, at a relatively advanced age, I was able to earn money well. At that time, I had no idea about investments. The most regrettable thing for me now is that I had a negative view on real estate. I earned money well from 2010, but I didn't invest at all. Instead, I kept reinvesting in my business. Small business owners or those running a business would probably empathize a lot. When you are fully dedicated to your business, you have no time to consider investments. So, I had no knowledge of investments, and now that I have retired, I have a lot of free time. Then, I started to have more time to look into real estate. I think the turning point for me to seriously study was when I first started renting an apartment in Bundang.

I was living in a monthly rent of about 10 million won, and I was living in that house. There is a Park Town in Sunae-dong, Bundang, which is the best school district. I was living there in Bundang. The landlord offered to sell me the house for 470 million won, but at that time the loan was 80%. However, I had a security deposit of 100 million won for the jeonse or monthly rent deposit, and I had some cash in my personal bank account, so I could afford it. However, I was worried that the housing market would drop, so I didn't buy it. It would have been around 2016 or 2015 when I decided not to buy it. Recently, I checked the current market price, and it's now 1.5 billion won. It was 470 million won back then, but now it's 1.5 billion won. If I had bought it back then, it would have been worth 1.5 billion won around 2020.

From then until now, the price is similar to 2020, right? So, if I had just bought it, it would have been my decision, right? I had the money, and if that had happened, I would have made about 1 billion won. Most of it is tax-exempt, so even if I sell it, I would still have about 1 billion won left. I think I would make about 1 billion won in profit over 10 years if I did business like crazy. It makes me feel regretful and frustrated. I was really stupid. After that, I studied and invested like crazy. I studied a lot about real estate. In the case of houses, there are a lot of regulations, and after paying taxes, there isn't much left, right? I was more interested in land, buildings, and depreciation. If you buy it as a corporation, you only have to pay about 20% corporate tax on transfer tax, so even if you include that in the cost, what you actually pay is minimal.

I usually only pay about 10% in taxes. If you think about it that way, excluding the single house in the tax-exempt zone, I was thinking that buildings or land might be better than apartments. Later, in 2021, I really got to know crypto. As I mentioned earlier, I felt that sending coins while doing import-export business was a revolution in finance. The finance we are currently engaged in is no different from that of the 11th century. There has been no development in finance. But this felt like a real revolution. When we started using the internet, life itself changed a lot. Many retail stores disappeared, everything is ordered online. Who goes to a hardware store and buys stuff anymore? They all disappeared. Now.

If cryptocurrencies develop like this, banks might disappear in the future. I even had thoughts like that. So, from then on, as I studied cryptocurrencies, I started to meet people who invest in cryptocurrencies around me. Actually, it's very rare to become a person with a real estate worth 10 billion. In fact, in the past, on YouTube, many people appeared to have a net worth of 10 billion, but due to high taxes, huge fluctuations, and high trading fees, if you have a net worth of 10 billion, after deducting everything from here and there, only 1 or 2 billion will remain. On the other hand, there are a lot of people with net worth of 100 billion in the cryptocurrency field. Right, 100 billion is a lot, isn't it? So, I thought, Wow, this is a real opportunity. From then on, as I delved into cryptocurrencies, real estate became less interesting. You know what I mean, right? Even better, cryptocurrencies are tax-free, which is really fun.

That's right. I haven't talked much about crypto on my channel because the views weren't coming in. So, I only talked about it once. Real estate, of course, has its charm. It's stable and gives a sense of satisfaction in owning a home. But with crypto, there's no physical presence, you can't see it. Well, there's Bitcoin, they say. It's kind of ambiguous to show off. But if I own a building in Gangnam, it's like saying, This is my building, it's luxurious. In fact, it's a luxury item. So, there are advantages that can be used as luxury items. Actually, when it comes to real estate, I think of the apartments along the Han River in Gangnam as luxury items. So, I consider them taxable. But on the other hand, with crypto, I'm really into materialism. I wore this T-shirt even during the interview last time. It's a Nike T-shirt that I bought for 24,000 won.

I usually cover up to the point where I buy a lot. Anyway, I value practicality a lot when it comes to investments. I don't see anything practical in cryptocurrencies. It's too comfortable and good, not even taxed. Right? At this point in time, there is nothing more efficient, with higher potential for growth as an asset. In fact, that's why I feel lucky to enter a market that still has some volatility. Also, when I was in my 20s, I didn't have much money, right? I mean, if I made a real effort, like crazy, from a few hundred thousand won to ten million won, it wouldn't be possible to dream of a life-changing event. If I were in my 60s or 70s and failed, it would be over. I can't just jump into such a risky thing recklessly. I'm in my 40s now.

Yes, that's right. While engaging in economic activities and running a business, I also think that having a place to invest cash flow is the greatest blessing. It's really so relatable and heartwarming to hear those words. In a way, at each age, there are different opportunities and ways to create opportunities. People in their 40s, or even in their early 50s, or in their late 30s, who have encountered crypto, seem to have relatively more opportunities. This is because, through economic activities, they can continuously generate cash flow. This is also an aspect of investment for our channel subscribers. In fact, continuously generating cash flow is essential. So, for those who don't have cash flow, how can they now...

Do I have to ask you like this? That's because you have to make cash flow somehow, whether by doing a side job or in some other way. And if that doesn't work, you have to do trading, right? It's tough, especially in trading, particularly in the crypto area. Trading may have a higher winning rate this year and next year. After all, it will likely go through a bull market. There will definitely be a crypto winter. During the crypto winter, I kept trading in 2022 and 2023. I didn't trade futures with a large amount, just continuously with less than 10 million won. My wife always tells me to increase the seed amount, but if I increase it, it could be a disaster. I made only 4 million. Oh, it's good. And when I made 20 million won from 2 million won, I withdrew 4 million won. Sometimes, I reduce my position like this.

There are times, for example, when, oh, back then, it's similar, right? When it failed due to security issues, that's when it becomes a problem. So even if it fails because of the dead cap, you only take that. That's why I sold 20% and traded steadily like this, so the current good market is too easy. In fact, it's about securing that position. Giving too much space and satisfaction used to come with this much profit, but now, giving this much makes it relatively easy. So if you do trading full-time, you can make a living at times like now. If you have skills, but even if it's next year, I think it won't be easy, maybe by the end of next year. It's good to plan ahead and prepare. Yes, that's right. Today, on our channel, now.

I think you've talked a lot about real investment practice more than inviting guests, so I think our subscribers will find it very helpful. First of all, I think you might have some thoughts about setting principles for investments when you talk to the CEO. In the end, it's a matter of experience, but you have to experience it yourself to know if you can do well or not. And inevitably, beginners have to go through some stages where they might incur losses. These stages are usually referred to as tuition fees. By the way, in 2021, I decided to start investing my own money, starting with about ten million won as seed money. I didn't know what to buy at first, and probably many of you can relate to that, right? You know, not knowing what to do. At that time, Dogecoin was quite popular.

Elon Musk가 뭐 투도문에 엄청 뛰어 가지고, 그때 도지코인을 샀더니 이틀 만에 마이너스 46% 된 거예요. 아, 이틀만에네. 이틀만에. 이게 뭐지하고 어, 제가 블로그에도 올렸어요. 너무 충격 받아 가지고. 근데 천만 원만 투자해야 하고 했는데 400 몇십만 원이 날라간 거잖아요. 와이프한테 야, 나 이거 봐봐. 보이거든? 와이프가 엄청 뭐라 야, 너 미쳤냐? 막 이러는 거예. 그래서, 아, 이게 크립토 시장은 이런 건가 팔진 않고 가만히 냅뒀어요. 더 웃긴 건 일주일이 지났거든요. 오히려

The investment association is still very famous. Originally, so, you were interested in investing since you were young, right? Yes, I started studying stocks deeply from that time. People from there work as fund managers or analysts in Yeouido, South Korea. I studied stocks like that in the club, so I have about 20 years of experience in investment studies. But, I really didn't understand cryptocurrencies at all. It's like they have no foundation. Stocks can be valued based on performance, but how do you value coins like Bitcoin? It's too difficult, right? I was so confused. But I was very lucky. They have a start-up lecture once a year, right? Someone who attended my start-up lecture was an Apple employee. He was working at Apple and cryptocurrencies...

There is a study group that studies together like this. It's been about 4 to 5 years since they started studying there. In my opinion, they seem like a really advanced expert. I learned a lot from that person, so I realized that cryptocurrency is not outside the scope of investment I know. Until then, I thought they were too different, like stocks or real estate, and cryptocurrencies were considered crazy speculative assets, like gambling. I learned that it's not like that. From then on, I invested applying all the investment principles I had. It turned out that they were all correct. From then on, I started to gain some confidence in cryptocurrency investments. If you hear from people around you, you can hear that when you study, you will understand how it will be.

Predicting short-term events is actually impossible, but when you talk about such events and how they might turn out, it surprisingly often turns out to be true. Because the market's volatility is too high for us to predict accurately, it seems like it's going the wrong way, but in reality, it moves quite straightforwardly. Even when the sector moves, things that move together on a large scale seem to be quite straightforward in terms of money. As you look at things that come out quite a lot by going back and forth, when you first encounter cryptocurrencies, you may feel a lot of fear due to the high volatility. However, if you study a little and establish your own principles and patterns, you will find that you can adapt better than you think to such sectors or fields. Also, when you invest in crypto, it becomes quite difficult because of the high volatility, but you will develop resilience.

Now, what is it? Mars 50%? Ah, what was that? Now, as we do this, another resistance is formed, that's correct. Even recently, after Bitcoin was approved, it rallied and then started to drop from mid-March. When altcoins once hit -40% to 50% like this, there are too many cases where even well-known ones drop by 60% to 70%. Well-known ones drop by 70% like the World, and in fact, although there was a situation, coins like Alex dropped without hesitation. Looking at these things, even in a bull market, altcoins can drop by 60% to 70%. Ultimately, even if we find altcoins that have skyrocketed, they don't drop. Um, yes, that's it. You can invest at that time, and when it comes to this point, you need to hold onto it. Instead, now, what needs to be self-verified is the fact that it is a premium coin. There are such strategies, and in a way, what the CEO has been saying so far, those strategies are very effective.

Oh, that's right. Yes, yes. The person who first made me realize this was the woman who works at Apple. She said that to me. I was talking like, Ah, I really wanted to buy this. For example, I wanted to buy it for about $7, but it became $10, so I couldn't buy it, and I felt so regretful. She said to me, If it goes back to $7 later, buy it. It really happened. She really said that. I realized from that, Oh, I don't need to buy things urgently. Also, there are too many coins. It's not necessary to buy them all. So, I should leave several candidates to buy when the price is right. If there are ten candidates, five of them will come back to that price. Actually, that's right. [Music]

상승수익 보장되는 알트코인 부자될 기회 '여기' 에 있다! [토크라운지]ㅣ성정길 대표 2부

박작가의 크립토연구소를 찾아주신 구독자, 시청자 여러분 환영합니다^^
저는 7권의 책을 쓴 작가이자, 칼럼니스트, 크리에이터, 사업가입니다.

코인 시장에 관한 가장 빠르고 정확하고 실용적이고 유용한 정보를 전해드리기 위해서 노력하겠습니다.

내용이 마음에 드셨다면 '구독'과 '좋아요',  '댓글', '알림설정' 부탁드립니다.

박작가 올림


박작가의 크립토연구소

The Journey of a Business Owner: From Education to Real Estate Investment

A business owner with a background in mathematics and education transitioned to real estate investment after retiring from the academy sector.

Despite initially focusing solely on business, the individual eventually turned to real estate, regretting not investing earlier.

The decision not to purchase a house in Bundang years ago, which is now valued significantly higher, marked a turning point in the business owner's investment journey.

Missed Real Estate Opportunities and the Rise of Cryptocurrencies

The speaker regrets not investing in real estate earlier, realizing its potential for significant profit.

They later shifted their focus to cryptocurrencies, recognizing the opportunity for higher returns and tax-free benefits.

The speaker views cryptocurrencies as a revolutionary development in finance and believes in the possibility of traditional banks disappearing in the future.

Comparing Real Estate and Crypto Investments

Real estate offers a physical presence and a sense of luxury, while crypto is more practical and tax-efficient.

Investing in crypto is seen as a way to achieve significant growth, especially for those with continuous cash flow from economic activities.

Different age groups have varying opportunities when it comes to real estate and crypto investments, with those in their 40s and 50s having the potential for more opportunities due to their ability to generate cash flow.

Tips for Successful Trading in the Crypto Market

Starting with a small seed amount can help avoid potential disasters when trading in the crypto market.

It's important to steadily reduce positions and secure profits, especially during a good market.

Full-time trading can be a viable source of income during favorable market conditions, but it's crucial to plan ahead and be prepared for a potential shift in market dynamics.

Elon Musk's public endorsement of Dogecoin led to a 46% drop in its value within two days, causing significant personal financial loss.

This experience led to a decision to stay away from the volatile crypto market.

Despite initial confusion about cryptocurrency, a chance encounter with a knowledgeable individual at an Apple start-up lecture provided valuable insight and ultimately increased confidence in cryptocurrency investments.

Navigating High Volatility in Cryptocurrency Investment

Predicting short-term cryptocurrency events is nearly impossible, despite the market's seemingly straightforward movements.

The high volatility may initially cause fear, but studying the sector and establishing principles can help with adaptation.

Altcoins can experience significant drops even in a bull market, but identifying premium coins and holding onto investment opportunities can be effective in navigating the market.