Subject: How to make money | lessons from Naval Ravikant

Location: Miami, Florida

What you will get out of this article: you will learn what wealth is and why desire it in the first place. How to not get rich. What does luck have to do with wealth creation. What is the greatest opportunity to make money right now. If you become rich does that mean someone else becomes poor?

Source:Naval Ravikant (worth 2.2+ billion). Find more of him on his twitter and podcast. Naval is a major inspiration for the creation of Daily Money Texts and helping in radically changing my personal relationship with money & wealth.

What is wealth and why desire it in the first place?

While enwrapped in our own thoughts we might think we are very different than the rest of the world. We think that the problems that we go through are unique to ourselves. The truth? They're not.

Most people in the world desire to know how to solve their money problems. 

• No one likes depriving themselves of a $2.00 coffee in order to have money to pay rent.
• No one likes to eat tuna from the can and potatoes every day just to get by financially. 
• No one likes to spend time worrying about money-related issues. 

People consciously or subconsciously would like to be wealthy.

Naval's definition of wealth: "Wealth is assets that earn while you sleep."

• Example: Having multiple properties that you rent out. You are making this money while you sleep.
• Example: Selling a video course, a book, meditation instruction that is pre-recorded. Setting up an affiliate network and advertisers that will promote and get you sales while you sleep.
• Example: Daily money texts. This is one of my machines to build my personal wealth. I am earning while I sleep with every person that signs up.

Why want wealth?

"The reason you want wealth is that it buys you freedom. So, you don't have to tie a collar around your neck. So, you don't have to wake up at 7:00 AM, and rush to work and sit in commute traffic. So, you don't have to waste away your entire life grinding all your productive hours away into a soulless job that doesn't fulfill you."

-Naval Ravikant

So, in short, you want to create multiple assets that allow you to earn without having your time invested.

If you have this wealth, then you have your freedom.

Freedom over everything. It is more important than the nice cars, apartments and all the other material items that you desire.

However, this lesson is to remind you to want freedom over everything else.

The more wealthy you become = the more you have freedom over a longer time period. In our journey to improving your relationship with money, we must always keep in mind that the goal is FREEDOM.

Cement this definition into your mind:

"Wealth is assets that earn while you sleep."

What type of asset/business/machine can you start or continue to work on so that you become wealthy?

You won't get rich renting out your time.

This point is so crucial. 

Do not ignore this article. This is absolutely essential, as there is nothing without this.

You are reading this because you are on the road to your inevitable wealth creation.

This insight of renting out your time might go against your current believes.

Reserve your judgment until the end. 

Imagine you are a doctor.

One of the best doctors in the entire world.

You charge 10,000 an hour for an appointment.

Even if you are making that type of money.

You are still a slave to your job.

You must show up for work.

When you sleep, you don't get paid.

If you go on vacation you don't get paid.

You must clock in and clock out...

You are selling your time.

"You want a career where your inputs don’t match your outputs."

- Naval Ravikant

There must be a separation.

There must be some type of assets or machine that you created that is earning money while you sleep.

You working x hours should not always equal y.

Would you rather:

• Work one hour on creating a sales page and running ads can yield 100,000.
• Work for one hour and get paid a finite amount of money. After that hour is done, you make zero. 

Option A, your input does not explain the output you can make.

Option B, your input always will equal your output.

Which one is true wealth?

True financial freedom?

A money-making machine that does not involve the time you spend.

This is true wealth. This is what we must pursue.

Remember this for the rest of your life.

You will not get rich by renting out your time.

Create a money-making machine that does not involve your time as this is true wealth. 

Are people that make money lucky?

"Making money isn't about luck. It's about becoming the kind of person who makes money."

- Naval Ravikant

You don't want to rely on luck to achieve any result in your life. 

Yes, you can win the lottery. Inherent millions from a distant relative.

But is that a goal? Absolutely not. 

In our road to financial success, you must delete the thought of winning a lottery and immediately solving all of your money problems.

It won't happen and you shouldn't desire it.

The objective from now on is to work on becoming the type of person that makes money.

So when you become a multi-millionaire and something happens and you lose everything.

You can make it right back.

You have all that is required, you and the skills that you developed in the process.

"I like to think that if I lost all my money and if you drop me on a random street in any English-speaking country, within 5, 10 years I’d be wealthy again. Because it’s a skill set that I’ve developed and I think anyone can develop." - Naval Ravikant

If there was 1 million universes, you would want to be rich in all of them.

To get rich, you must become the type of person that acts and thinks and has developed the SKILLS to become rich.

That's what we created DMT for.

There is opportunity everywhere thanks to the internet. There are billions of ways to make money.

There are more ways to become wealthy than you could ever have time for in 1 million lifetimes.

It's time to get to work and become that person. Starting right now. 

If I get rich does that mean other people become poor?

One of the most common beliefs that we see here at DMT is that 'money is the root of all evil'.

If you hold that up to any level of analysis it makes no sense once we understand what money is.

It's the currency.

Money is the new cow. The new coin. The new method to trade value. 

Naval explains here:

"Everyone can be rich. We can see that by seeing, that in the first world, everyone is basically richer than almost anyone who was alive 200 years ago. 200 years ago nobody had antibiotics. Nobody had cars. Nobody had electricity. Nobody had the iPhone. All of these are inventions that have made us wealthier as a species."

In your journey to improving the relationship to money & wealth, you must get rid of the idea of scarcity.

I create a business. This business delivers massive value to others. So much value that people, in exchange give me money. I eliminated my time from the business (wealth) and continued to earn while I slept. Eventually, I become a millionaire. 

Does that mean that there is less money for you to make?

Absolutely not in every way shape or form.

Money is being printed every day. Money flows and does not remain in one place.

Stop thinking of money as this weird thing. It's just a measure from a society of the value you have delivered.

Continue to deliver value and help others solve problems = receive money as a form of exchange.

If I become rich, it only further helps you become rich.

If I win, you win.

This is ethical wealth creation.

This is what we are about.

This is what YOU are about.

Eliminate this idea from your mind. If someone has made money, you can make money. This is a win/win in every way shape or form.

What is the greatest opportunity to make money?

The internet.

You are reading this because of it.

The internet provides us with an infinite amount of opportunities for you to make money.

Not only make money but to do it at scale.

Meaning you can reach millions of people that before you would never have access too.

"The fundamental property of the internet more than any other single thing is it connects every human to each other human on the planet. You can now reach everyone."

- Naval Ravikant

No matter what niche you decide to focus on, there is an audience for it.

With the internet you now can reach those people. Build a business and money making machine around them and become financially free.

The process will not be easy but it is simple. 

Since the internet will allow you to reach and create an audience.

How do you separate yourself from others?

"Escape competition through authenticity. The internet enables any niche interest, as long as you’re the best at it to scale out. And the great news is because every human is different, everyone is the best at something. Being themselves. Basically, when you’re competing with people it’s because you’re copying them. It’s because you’re trying to do the same thing. But every human is different. Don’t copy. Just do your own thing. No one can compete with you on being you. It’s that simple."

- Naval Ravikant

It cannot be said better than this.

Be the best you. Stay true to who you are and no one can compete with it. 

The internet has an opportunity for you to become rich just by being yourself.

It's time to create your own wealth making machine.