4 min read
Jul 24, 2020
July 24, 2020
Summarizing Naval Ravikant's tweet storm on wealth creation in the modern era
Naval Ravikant is an Indian American entrepreneur and investor. He is famous for being a philosopher CEO and a prolific investor in high profile startups. Naval is the co-founder, chairman and former CEO of AngelList. He has invested in over 100 companies including Uber, FourSquare, Twitter, SnapLogic, Yammer, and Clearview AI.
This article is a summary of his now famous tweetstorm on "How to Get Rich (without getting lucky)" read by millions of people on Twitter and republished in several languages. Naval provides a framework to follow your curiosity and passion to seek wealth.
Wealth is having assets that earn while you sleep. Money is how we transfer time and wealth. Status is your place in the social hierarchy. Understand that ethical wealth creation is possible. If you secretly despise wealth, it will elude you. Ignore people playing status games. They gain status by attacking people playing wealth creation games.
You must own equity - a piece of a business - to gain your financial freedom. You will get rich by giving society what it wants but does not yet know how to get. At scale. Pick an industry where you can play long term games with long term people. The Internet has massively broadened the possible space of careers. Most people haven't figured this out yet.
All the returns in life, whether in wealth, relationships, or knowledge, come from compound interest. Pick business partners with high intelligence, energy, and, above all, integrity. Don't partner with cynics and pessimists. Their beliefs are self-fulfilling.
Learn to sell. Learn to build. If you can do both, you will be unstoppable. Arm yourself with specific knowledge, accountability, and leverage.
Specific knowledge is knowledge that you cannot be trained for. If society can train you, it can train someone else, and replace you. Specific knowledge is found by pursuing your genuine curiosity and passion rather than whatever is hot right now. Building specific knowledge will feel like play to you but will look like work to others. When specific knowledge is taught, it’s through apprenticeships, not schools. Specific knowledge is often highly technical or creative. It cannot be outsourced or automated.
Embrace accountability, and take business risks under your own name. Society will reward you with responsibility, equity, and leverage. The most accountable people have singular, public, and risky brands: Oprah, Trump, Kanye, Elon.
Give me a lever long enough, and a place to stand, and I will move the earth. - Archimedes
Business leverage comes from capital, people, and products with no marginal cost of replication (code and media).
Judgement requires experience, but can be built faster by learning foundational skills. There is no skill called “business.” Avoid business magazines and business classes. Study microeconomics, game theory, psychology, persuasion, ethics, mathematics, and computers. Reading is faster than listening. Doing is faster than watching. You should be too busy to “do coffee," while still keeping an uncluttered calendar.
If fixing a problem will save less than your hourly rate, ignore it. If outsourcing a task will cost less than your hourly rate, outsource it. Work as hard as you can. Even though who you work with and what you work on are more important than how hard you work.
Keep redefining what you do until this is true. There are no get rich quick schemes. That's just someone else getting rich off you. Apply specific knowledge, with leverage, and eventually you will get what you deserve. When you're finally wealthy, you'll realize that it wasn't what you were seeking in the first place. But that's for another day.
Here is a collection of all his interviews on How to Get Rich, based on this tweetstorm. It also includes 10 minutes of unreleased material on finding time to invest in yourself—at the end. The individual interviews are here. The podcast is available on Apple, Breaker, Google, Overcast, Spotify and YouTube.
12.15% bonus rate is a promotional rate for our Priority Access users. The Priority access users get 2.15% bonus rate up to $50,000 in deposits. The bonus rate drops to 0.50% beyond $50,000. These bonus rates are fixed until April 30, 2021 and will be subjected to evaluation after.
21.65% bonus rate is a promotional rate for our Premium Access users. The Premium access users get 1.65% bonus rate up to $50,000 in deposits. The bonus rate drops to 0.50% beyond $50,000. These bonus rates are fixed until April 30, 2021 and will be subjected to evaluation after.
31.15% bonus rate is a promotional rate for our Basic Access users. The Basic access users get 1.15% bonus rate up to $50,000 in deposits. The bonus rate drops to 0.50% beyond $50,000. These bonus rates are fixed until April 30, 2021 and will be subjected to evaluation after.
The OnJuno Checking Account and Debit Card are part of an offering of CAPITALJ Inc ("OnJuno") and Evolve Bank and Trust, Member FDIC. Your deposits at each Bank are eligible for insurance by the Federal Deposit Insurance Corporation (FDIC) up to $250,000, subject to FDIC rules on aggregation of deposits held in the same insurable capacity. Please visit the FDIC website. Neither OnJuno by CAPITALJ Inc. nor any of its subsidiaries is a Bank.
Bonus interest rate comparisons are based on a comparison of OnJuno's Checking Account 2.15% bonus rate to the following checking & savings account APYs reported by Bankrate for 7/29/2020: Marcus Savings Account (0.8% APY), Wealthfront Cash Account (0.35% APY), BofA Adv. Relationship (0.02% APY) and Chase Premier+ (0.01% APY). Actual savings may vary based on rates that are available during the time of your deposit The Annual Percentage Yield (APY) for the Cash Account is as of a specific date and may change at any time, which could decrease or increase actual earnings. The national average is based on rates published at https://www.fdic.gov/regulations/resources/rates/, as of July 29, 2020.
Customers will earn cash back for purchases made at selected merchants. Cash back will be reflected in your OnJuno Account upon a transaction being posted. For example, if you make a purchase of $1000 from a select merchant using your OnJuno Debit card, then you would receive a total of $50 as cash back which would be reflected in your account immediately. In case of a refund or dispute resolution, the cash back would be deduced from the amount transferred. This cash back rewards program is subject to change by OnJuno at any time without notice.
OnJuno has curated the list of favorite brands as representative of the kinds of purchases that earn cash back from OnJuno. All third-party trademarks displayed on the Site and App, include these displayed brands, are for informational purposes and does not mean that they have a relationship with or sponsor or endorse OnJuno or are involved in the cash back program. All third-party trademarks displayed are owned by their respective owners.
This site and the account services offered are for U.S. persons only. This is not an offer or solicitation in any jurisdiction where CAPITALJ is not authorized to do business or where such offer or solicitation would be contrary to the local laws and regulations of that jurisdiction. System availability and account access times may vary due to a range of factors, including market conditions, trading volumes, system performance, and other factors.
© Copyright 2020 OnJuno by CAPITALJ, Inc