The above scripture is a most inspiring verse! It says you're chosen, royal, and peculiar. You're not an ordinary person; you belong in a different class. Notice that it says, "Ye are a chosen generation"; not "Ye shall be." A promise would have been good enough, but this is a present-hour reality. I particularly like the Amplified rendering: "But you are a chosen race, a royal priesthood, a dedicated nation, \[God’s\] own purchased, special people...." We're a chosen breed!
In Christ Jesus, there's neither black nor white; what matters is a new creation: "For in Christ Jesus neither circumcision availeth any thing, nor uncircumcision, but a new creature" (Galatians 6:15). In Christ Jesus, there's only one race, the chosen race, and it includes every one of us. We're God's peculiar treasure, His royal and chosen breed, called to manifest His righteousness; called to express His beauty, excellence and wisdom.
We're more than conquerors (Romans 8:37); we're from the lineage of champions and victors. We're superior to Satan. That's what the Bible says about us. We're saints of God; and part of our calling is to execute judgment on Satan and the cohorts of darkness (Psalm 149:5-9). You can't know all these and not consider yourself specially blessed and privileged of God; you're very special. Never allow anyone make you think less of who you are in Christ, because you're God's dream come true.
In the Old Testament, He said to them, "If you obey my voice, I'll make you a peculiar treasure, a peculiar people, a Kingdom of priests, a holy nation..." (Exodus 19:5-6). Now, we're God's dream fulfilled, and we didn't have to qualify for it. We didn't beg for it or do anything by ourselves to earn it; the grace of the Lord Jesus Christ conferred it on us. We got it by inheritance! Blessed be God!