Based16z is rethinking how he treats his portfolio, describing his holdings almost always as bullets rather than just assets. The strategy involves keeping 70% of the portfolio in short-term treasuries to preserve capital, leaving only the remaining 30% available for high-conviction bets that might fail completely. This setup ensures that even if the entire big bets book blows up, there is still a massive chunk left to try again. He literally just keeps all short-term treasuries like 70% of his portfolio and then takes big bets on things where he has really strong conviction with everything else. Beyond the current allocation, Based16z is considering allocating funds to real estate soon just because he has had so many annoyances renting.