What happened when David and Daniil Liberman presented their anti-corruption ideas to Russian Parliament?

At 18-19, they proposed a transparent, decentralized data storage solution for government expenses to eradicate corruption. Officials shut down their presentation, and a deputy later warned them that pursuing such ideas could get them killed, as it threatened those making vast sums from corruption.

How did the Liberman brothers fund their first ISP business?

They went door-to-door in their dense Moscow neighborhood, pre-selling internet contracts to hundreds of neighbors. With these pre-sold contracts, they secured a consumer loan to buy equipment and fiber optic cable, which they paid off quickly.

How did they establish their internet infrastructure without official access?

Due to competition bribing local officials, they were denied roof access. They resorted to sneaking onto 20-story building roofs at night and using crossbows to shoot fiber optic cables from one building to another to connect households.

What enabled their animation studio to produce half-hour 3D animated shows in one week?

They reinvented the animation process by disassembling it into smaller pieces and parallelizing them. This approach was greatly aided by acquiring a million dollars worth of IBM servers, which were loaned to them by a friendly IBM Russia president who was also a DJ.

Why did the Liberman brothers choose the United States over Europe for their ventures?

They found Europe's animation industry to be heavily subsidized by governments, requiring extensive bureaucracy, which made it difficult for immigrants. Hollywood, despite its challenges, offered opportunities in a more private-sector-driven environment, and California's unenforced non-compete laws facilitated talent flow.

How do the Liberman brothers manage to detach from failing business ideas so readily?

They rely heavily on data. Their experience with the game studio bankruptcy taught them the importance of knowing when to stop. If a startup isn't doubling its growth (KPIs) over a 14-month period, statistics suggest it's likely to fail, making it wise to quit and pivot to new attempts.

What is the 'one life' concept for David and Daniil Liberman?

Growing up sharing a single room, they developed an extraordinary bond, sharing everything from an email address to social media accounts. This allowed them to act as a superhuman entity, covering each other's weaknesses and presenting a united front in business and life.

How did the Dalai Lama indirectly connect the Liberman brothers to Evan Spiegel and Snap?

After a meditation retreat, a Rinpoche monk invited them to India where they briefly met the Dalai Lama. Later, they received an email from Jerry Murdock (founder of Insight Partners), who was told by the Dalai Lama to contact them, ultimately leading to an introduction to Evan Spiegel.

What did the Liberman brothers discover was the real reason for Snapchat's user decline in 2018?

Through data analysis, they found that the Android version of Snapchat became extremely slow after an update, with some users experiencing 40-second load times. This performance degradation, rather than celebrity tweets or competition, caused users to abandon the app.

How do they apply data-driven growth principles to their personal lives?

They use a principle of increasing quantifiable KPIs by 1.6 to 2.4 times per year. For example, in a romantic relationship, they would track 'quality time spent' and aim for a consistent, sustainable increase rather than an overly ambitious initial surge that could lead to burnout or breakage.

What is their parents' most exciting scientific discovery?

Their father discovered that color is encoded in patterns of spikes (like Morse code) in eye nerves, not just frequency. Building on this, their most exciting idea is that individual neurons function as quantum state machines, and consciousness arises from quantum computation within cells, offering clues for designing room-temperature quantum computers.

How do David and Daniil Liberman suggest teaching coding differently?

They propose teaching code as a language, not mathematics. Their method starts with writing descriptions in natural language and then translating them into code, focusing on grammar and punctuation, making it accessible to those not strong in math, like 'moms of two' or 'housewives.'

What is the core problem they identify with the US financial system regarding generations?

Regulatory decisions, often influenced by powerful public pension funds, have created a system that favors equity (capital gains) over individual income. This has led to a declining share of national wealth for younger generations and an artificial 'student debt' burden that discourages entrepreneurial risk-taking.

What is the 'Libermans Company' solution to address economic inequality and foster growth?

They propose converting individual income into securities, allowing people (especially entrepreneurs) to raise capital from investors in exchange for a share of their future income, similar to how companies raise equity. This injects capital into human potential, accelerating growth and potentially solving problems like student debt.

Key Moments

The Brothers Who Live One Life — The Incredible Adventures of David and Daniil Liberman

Tim Ferriss

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Aug 25, 2023|119,339 views|764|78

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TL;DR

The Liberman brothers, shaped by a chaotic Soviet-era childhood, pioneered decentralized tech and human-based investment for a better future.

Key Insights

Growing up in post-Soviet Moscow as one of six children to neuroscientist parents instilled in David and Daniil Liberman a unique blend of curiosity, resourcefulness, and a data-driven, skeptical approach to challenging the status quo.

Their early entrepreneurial ventures, from an ISP built with crossbows to a game studio and an animation company, taught them the importance of rapid iteration, parallel processing, and knowing when to pivot based on data, often amidst severe financial and political challenges.

The brothers' 'one life' approach, characterized by shared identities and intertwined professional and personal lives, has provided a synergistic advantage, allowing them to operate as a 'superhuman' team.

Their experience at Snap revealed critical insights into the impact of engineering performance (specifically Android app speed) on user retention, highlighting the need for data-backed problem-solving over accepted narratives.

A deep dive into economic data, particularly regarding pension funds and student debt, led them to conclude that current financial systems disproportionately disadvantage younger generations and that a shift towards investing in individual human capital as 'equity' is essential for future economic growth and social stability.

They propose a new model of 'human capital as equity,' allowing individuals, especially entrepreneurs and students, to raise capital against their future earning potential like companies, aiming to unlock economic growth, reduce social inequality, and encourage risk-taking and innovation.

CHAOTIC CHILDHOOD AND INTELLECTUAL ROOTS

David and Daniil Liberman's formative years in post-Soviet Moscow were marked by both intellectual stimulation and severe financial hardship. Born to renowned neuroscientist parents, they grew up in a household of six children, fostering an environment of self-reliance and shared responsibility. Their parents, who challenged scientific dogmas and meticulously analyzed data, instilled in them a passion for rigorous inquiry and a skeptical view of established norms. This upbringing, surrounded by scientific equipment and early access to PCs, laid the groundwork for their future as data-obsessed innovators and entrepreneurs.

EARLY ENTREPRENEURIAL ADVENTURES AND POLITICAL DISILLUSIONMENT

The brothers' entrepreneurial journey began by building an ISP for their neighborhood, literally using crossbows to string fiber optic cables between buildings to circumvent corrupt officials. This early venture, quickly acquired, showcased their ingenuity and determination. Their initial attempt to combat Russian corruption by proposing a transparent government spending platform to Parliament was met with threats. This disillusionment with top-down change solidified their belief in grassroots innovation and building their own resources, leading them to a series of business ventures and reinforcing their 'Libermans against the world' mentality.

THE REVOLUTIONARY ANIMATION STUDIO AND HOLLYWOOD SHIFT

After a challenging period including a failed gaming studio during the 2008 crisis and facing threats from investors, the Libermans pivoted to animation. They revolutionized the 3D animation production process, enabling them to create a half-hour political satire show in just one week – a feat unheard of at the time. This was achieved by disassembling and parallelizing the workflow, leveraging borrowed IBM servers (thanks to a DJ-turned-IBM-president friend). While in Hollywood, they realized the challenges of an industry focused on connections over technology, leading them to ultimately pivot towards Silicon Valley and their deeper technological aspirations.

FACING CYPRUS BANKING CRISIS AND PURSUING SOCIAL IMPACT

Just as their Hollywood animation venture gained traction, the 2013 Cyprus banking crisis nationalized their savings, wiping out $6 million. This abrupt financial setback forced another pivot. Moving to Silicon Valley, they initially sought to apply their transparency ideals to non-profits, aiming to track how donations were spent. While this initiative revealed a generational divide in donor expectations, it further honed their data-driven approach and highlighted fundamental economic imbalances not just in Russia, but globally, including in the United States.

'LIVING ONE LIFE': THE POWER OF SYNERGY

The brothers' unique 'living one life' philosophy, a deeply intertwined personal and professional existence, evolved from their close-knit childhood. Sharing everything from bunk beds to email addresses, they developed a synergistic bond that allows them to function as a unified entity. David, with his exceptional data recall and analytical intuition, complements Daniil's intuitive understanding of people and situations. This dynamic enables faster decision-making and a 'superhuman' presence in negotiations, though they have recently begun making adjustments in their personal lives, such as separate bedrooms, to accommodate romantic relationships and future family dynamics while maintaining their core bond.

DATA-DRIVEN DECISION-MAKING AND THE 14-MONTH GROWTH HEURISTIC

A core tenet of the Libermans' methodology is data-driven decision-making, even in personal life. They advocate for a 'light grasp' on ideas, readily pivoting when data indicates a lack of traction. Their key heuristic for startups is the '14-month doubling rule': if a venture isn't doubling its key performance indicators (KPIs) every 14 months, it’s often time to consider a pivot. This pragmatic approach, born from past failures, emphasizes taking multiple 'shots on goal' and recognizing that success often stems from persistence across various attempts, not necessarily a single, immediate breakthrough.

ACCIDENTAL INSIGHTS AT SNAPCHAT: THE ANDROID APP FIX

Their tenure at Snap saw them addressing a critical issue: Snapchat's declining user base in 2018. While popular belief attributed this to competition and public sentiment, their data analysis revealed a fundamental problem: the Android app's extreme slowness, taking up to 40 seconds to load for some users. As Android users themselves, they uniquely understood the performance degradation. By leveraging accidental bug data and their social capital with Evan Spiegel, they championed a massive engineering effort that fixed the app's performance, stopping the 'bleeding' of users and leading to renewed growth, even before a major update was released.

APPLYING COMPOUND GROWTH TO PERSONAL ENDEAVORS

The Libermans apply the principle of compound growth to all aspects of life, from business to personal development. They propose that consistent, incremental growth—specifically doubling results every year or improving by 1% a week—can lead to extraordinary long-term achievements. They emphasize establishing achievable initial targets and avoiding overambition that can lead to burnout or 'breaking' the system. This 'slow build' approach, they argue, is more sustainable and effective than trying to '10X' every outcome immediately, citing examples from physical training to skill acquisition.

FAMILY IN BUSINESS: TRUST FORGED IN ADVERSITY

Their experience extends to working with family, with two of their sisters joining them in running operations. While this might be unconventional for many, their bond, forged through shared adversity during their gaming studio's bankruptcy, instilled a deep sense of trust and long-term commitment. They believe going through such challenging experiences reveals true character, making family members reliable partners who prioritize collective, enduring success over individual project outcomes. This mirrors their parents' collaborative scientific work.

INNOVATING EDUCATION: CODING AS A LANGUAGE

The brothers advocate for a radical shift in how coding is taught, moving away from its traditional mathematical framing towards recognizing it as a language, akin to French or Japanese. They argue that the current approach alienates many potential coders who might excel in language but fear mathematics. They developed an interactive online course that focuses on natural language descriptions translated into code, aiming to demystify coding and make it accessible to a wider audience, including those who may not identify as 'math people' (e.g., mothers, housewives).

PARENTAL LEGACY: INTERDISCIPLINARY SCIENCE AND QUANTUM CONSCIOUSNESS

Their parents' scientific legacy profoundly influences their thinking. Their father, a physicist who transitioned to biophysics due to discrimination, championed an interdisciplinary approach, combining physics, optics, and mathematics to make groundbreaking discoveries, such as how the eye encodes color not by frequency but by signal patterns. A particularly exciting idea, which has seen increasing scientific discussion, is the concept of quantum computation within every neuron, potentially explaining consciousness and offering clues for building room-temperature quantum computers and superconductors, with profound implications for energy and technology.

CHALLENGING ECONOMIC STRUCTURES: PENSION FUNDS AND GENERATIONAL WEALTH

A key concern for the Libermans is the growing wealth gap between generations, partly driven by regulatory decisions designed to protect public pension funds. Their data analysis reveals that the vast financial power of these funds, often underfunded, leads to policies (e.g., reduced education subsidies, preferential capital gains taxation) that disproportionately burden younger generations with debt and limit their opportunities for wealth accumulation and entrepreneurship. They highlight a significant transfer of wealth and opportunity from the young to older, financially powerful demographics.

THE LIBERMANS COMPANY: INVESTING IN HUMAN CAPITAL AS EQUITY

To address these systemic imbalances, they founded 'The Libermans Company' to pioneer a model where individual future income is treated as 'equity' and made accessible for investment. By selling a percentage of their future earnings, individuals, especially entrepreneurs, can raise capital from investors (like venture capitalists investing in a regular company). This model aims to liberate capital from static, often overvalued assets, and direct it towards dynamic human potential, alleviating debt burdens (like student loans) and fostering innovation across a wider demographic, particularly younger generations.

DEMOCRATIZING INVESTMENT AND THE FUTURE OF WEALTH

They envision a future where pension funds and other large capital pools can directly invest in an indexed average of individual human capital across various professions and demographics, rather than solely in traditional companies. This would align incentives, drive investment into education and individual growth, and potentially create a market 10 times larger than current investment markets. They encourage individuals to explore this concept, communicate with their own pension funds, and consider investing in promising individuals within their own circles, fostering a more equitable and dynamic economy.

ALIGNING MORALITY AND FINANCIAL GAIN

The Libermans emphasize that 'doing right morally' can also be financially rewarding. Their personal experiment with 401K investments showed that allocating funds to sustainable companies yielded significantly higher returns than default allocations. They argue that as society naturally shifts towards more sustainable and equitable practices, investing in these areas, including human capital, will be inherently more profitable. They assert that the 'struggle' often romanticized in entrepreneurship is not always necessary, especially artificial struggles like student debt, and that removing such barriers can unleash greater societal and economic potential.

Mentioned in This Episode

●Software & Apps

●Companies

●Organizations

●Books

●People Referenced

Generational Wealth Trajectories in the US (at age 30)

Data extracted from this episode

Generation	Average National Wealth Owned (%)
Boomers (born ~1950s)	21-23%
Gen X	~7%
Millennials	Less than 3% (~2.8%)
Gen Z (projected)	In debt (on average)

Startup Growth Heuristics

Data extracted from this episode

Growth Rate (KPI increase per year)	Outcome
Less than 1.6x	Not successful (normal life)
1.6x	Successful
2.0x (doubling)	Greatness (equivalent to having all money/followers on Earth over time)
2.4x	Superhuman/Godlike (physical/mental limitation)
More than 2.4x	Unsustainable, likely to break

401K Investment Performance: Default vs. Sustainable Choices (Example)

Data extracted from this episode

Investment Strategy	Relative Growth
Default (Fidelity)	X
Sustainable Companies	X + $20,000 (30% higher)

Common Questions

Growing up in a neuroscientist family in post-Soviet poverty, the brothers were surrounded by data from a young age. Their parents' passion for interdisciplinary science and challenging the status quo, even facing resistance, instilled in them a data-driven, problem-solving mindset and a defiant spirit.

Topics

Mental Health & Psychology Technology & Innovation Business & Entrepreneurship Economic Models Data Science Venture Capital Social Justice Startup Funding Organizational Psychology Coding Education Quantum Biology

Mentioned in this video

People

Satoshi Nakamoto

Mentioned in the context of blockchain-like ideas developed by the Liberman brothers before Nakamoto's whitepaper release.

Vladimir Putin

The Russian president, mentioned as the ex-head of the KGB, whose return to power led to the immediate shutdown of the Liberman brothers' political satire show.

Jimmy Fallon

A TV host with whom the Liberman brothers collaborated on an animation show in Hollywood.

Kim Kardashian

A celebrity whose social media activity was linked to Snapchat's user decline, a commonly accepted narrative debunked by the Liberman brothers' data-driven insights.

Deputy Minister of Finance

An official position discussed during the Liberman brothers' encounter with a Russian deputy, with a 'price' of half a million dollars for the seat.

Minister of Ecology

A Russian ministerial position explicitly valued at $3 million in bribes, highlighting the depth of corruption the brothers encountered.

Dmitry Medvedev

The former 'puppet president' of Russia, whose term was seen by the Liberman brothers as the limited duration for their political satire show.

Jon Stewart

The former head writer of 'The Daily Show' who collaborated with the Liberman brothers on animation projects after being convinced by their production speed.

Collison brothers

Patrick and John Collison, co-founders of Stripe, mentioned as an example of powerful sibling collaboration, though with more delineated roles than the Liberman brothers.

Mark Zuckerberg

The co-founder of Facebook, whose story is often used to exemplify 'first attempt' success, which the Liberman brothers challenge as not being representative of most entrepreneurs.

Evan Spiegel

The CEO of Snap Inc. who met the Liberman brothers through Jerry Murdock and eventually acquired their company due to their expertise in 3D avatars and AR technology.

Dalai Lama

A spiritual leader who indirectly connected the Liberman brothers to investor Jerry Murdock, leading to their eventual meeting with Evan Spiegel.

Jerry Murdock

Founder of Insight Partners, a large New York VC firm, who was introduced to the Liberman brothers by the Dalai Lama's Rinpoche, eventually leading to their connection with Evan Spiegel.

Marc Andreessen

A prominent investor who also owns a 'tiny share' in the Libermans' individual income investment model.

Matt Mullenweg

Founder/CEO of Automattic and lead developer of WordPress, mentioned as a friend who wrote a book presenting code as poetry, aligning with the idea of code as a language.

LeBron James

A famous basketball player, used as an example of a highly successful athlete whose potential would be sought by funds investing in college athletes.

Kylie Jenner

A celebrity whose tweet about not using Snapchat anymore was widely cited as a reason for the platform's user decline, a narrative challenged by the Liberman brothers' data analysis.

Sam Altman

A general partner at Slow Ventures and an investor in Libermans, noted for his supportive and open relationship with the brothers, unlike past investors.

Chris Dixon

A prominent investor who also owns a 'tiny share' in the Libermans' individual income investment model.

Josh Kushner

A prominent investor who also owns a 'tiny share' in the Libermans' individual income investment model.

Media

Doom

A classic first-person shooter game, contrasted with the sandbox social games that the Liberman brothers were more interested in building.

The New Yorker

A magazine that published an article about the Liberman brothers, which mentioned their unusual living arrangements.

World of Warcraft

A massively multiplayer online role-playing game that proved the commercial viability of online games, providing a proof of concept for the Liberman brothers' game development aspirations.

South Park

An animated satirical series mentioned for its fast production cycle, which the Liberman brothers sought to surpass with their own animation studio.

Ultima Online

An online game that inspired the Liberman brothers' foray into game development, highlighting its sandbox nature and innovative social aspects.

The Simpsons

An animated TV series mentioned by the Liberman brothers' collaborator to showcase the typical long production cycles in traditional animation compared to their rapid process.

Wall Street Journal

A financial newspaper reported to have covered a court case involving an athlete challenging an income-sharing agreement.

Companies

Channel One Russia

The largest TV network in Russia (like NBC in the US) that commissioned the Liberman brothers' political satire animated show, providing them a cash infusion.

William Morris Endeavor

A major talent agency in Hollywood that signed the Liberman brothers' animation studio, giving them early traction in the US.

Netflix

Streaming service, mentioned in the context that Hollywood technology was not as valued before the rise of platforms like Netflix.

Insight Partners

One of the biggest VC firms in New York, founded by Jerry Murdock, who played a role in connecting the Liberman brothers to Evan Spiegel.

Slow Ventures

A venture capital firm whose general partner, Sam Altman, invested in the Libermans and is praised for fostering an open and supportive relationship.

Procter & Gamble

A consumer goods company, mentioned as a traditional, non-sustainable investment choice that David Liberman divested from in his 401K.

Fidelity

A financial services corporation, mentioned as the default provider for Daniil Liberman's 401K investments, which performed worse than David's sustainably invested funds.

Uber

A ride-sharing company used to illustrate how technological advancements (mobile phones, GPS) and widespread adoption enabled the success of ideas previously attempted and failed.

TikTok

A social media platform mentioned as a competitor that was incorrectly blamed for Snapchat's user decline, according to the Liberman brothers' analysis.

Automattic

The company founded by Matt Mullenweg, associated with WordPress and his 'Code Is Poetry' concept.

Apple

Used as an example of a large publicly traded company whose combined market value is still less than the total assets held by US pension funds.

Monsanto

An agrochemical and agricultural biotechnology corporation, mentioned as a traditional, non-sustainable investment choice that David Liberman divested from in his 401K.

Roblox

A gaming platform mentioned as a modern example of the sandbox game genre that inspired the Liberman brothers' early game development ideas.

Microsoft

A tech giant also recognized for building quantum computers, facing similar environmental challenges as Google.

Walmart

Used as an example of a large publicly traded company whose combined market value is still less than the total assets held by US pension funds.

Blizzard Entertainment

The game development studio behind World of Warcraft, mentioned to illustrate the massive resources and time required to build such a game, which the Libermans underestimated.

IBM

The technology company that provided servers worth a million dollars to the Liberman brothers' animation studio through a friendly executive, enabling their fast production process.

Google

A tech giant building quantum computers. Mentioned in the context of the complex, low-temperature environments required for current quantum computers, contrasted with biological quantum processes.

Luxury

A Ukrainian company acquired by Snap for its 3D AR engine technology, which Evan Spiegel wanted to merge with Bitmoji.

Instagram

A social media platform that released 'stories' which were initially blamed for Snapchat's user decline, but the Liberman brothers' data analysis refuted this.

Snapchat

The social media application that acquired the Liberman brothers' company. They later helped identify and fix critical performance issues on its Android version, leading to audience growth.

Exxon

Used as an example of a large publicly traded company whose combined market value is still less than the total assets held by US pension funds.

Coca-Cola

A beverage company, mentioned as a traditional, non-sustainable investment choice that David Liberman divested from in his 401K.

Software & Apps

Bitmoji

2D avatars acquired by Snap, which Evan Spiegel wanted to combine with 3D AR technology. The Liberman brothers worked on creating the 3D version of Bitmojis.

ChatGPT

An AI model capable of coding by itself, discussed as a tool that will make coding skills even more valuable for guiding and understanding AI-generated code.

WordPress

A popular content management system, co-founded by Matt Mullenweg, mentioned in context of his work on 'Code Is Poetry.'

Python

A programming language mentioned as one example where the "coding as a language" teaching method can be applied effectively.

Swift

A programming language mentioned as one where the Liberman brothers' coding as language approach proves effective, showing interchangeability with other languages.

BitTorrent

A peer-to-peer file sharing protocol mentioned as an existing decentralized storage technology that inspired the Liberman brothers' early ideas.

Second Life

A virtual world platform mentioned as comparable to the sandbox feeling that excited the Liberman brothers about early online games.

Apple App Store

The digital distribution platform for iOS apps, mentioned as an example of a 'closed system' whose limitations the Libermans dislike, preferring Android for its openness.

C++

A programming language mentioned as one where the Liberman brothers' coding as language approach proves effective, showing interchangeability with other languages.

Locations

Moscow

The capital of Russia where Daniil and David Liberman were born and grew up during the collapse of the Soviet Union.

Israel

Mentioned as one of the countries where fundamental economic challenges observed by the Liberman brothers also exist, beyond Russia and Europe.

California

A state discussed as having guaranteed growth rates for public pension funds like CalPERS, leading to reduced education subsidies and other financial shifts.

Silicon Valley

The technology hub in California, chosen by the Liberman brothers after their Hollywood difficulties, for its non-compete laws and opportunities for technologists.

Soviet Union

The former geopolitical entity where the Liberman brothers were born, and whose collapse led to financial struggles for their family.

Cyprus

The country where the Liberman brothers' $6 million earnings were nationalized during a banking crisis, forcing them to pivot again.

Menlo Park

A city in Silicon Valley where David and Daniil Liberman moved after their Hollywood venture faced financial setbacks.

Organizations

United Russia

The dominant political party in Russia, mentioned in contrast to the multiple parties present during the Liberman brothers' presentation to Parliament.

Fox

A major TV network to which the Liberman brothers pitched their own animated show, customizing it based on data-driven artistic preferences.

Federal Security Service

The successor agency to the KGB in Russia, mentioned by Daniil Liberman as essentially the same entity running the country.

Russian Parliament

The legislative body to which the Liberman brothers presented their anti-corruption ideas for a transparent governmental expense system at 18-19 years old, which was met with resistance.

CIA

The US intelligence agency. The Liberman brothers joked about being perceived as CIA agents or pawns by the Russian government, which they used to their advantage.

Calpers

The California Public Employees' Retirement System, a large public pension fund mentioned as an example of a fund whose guaranteed growth rate has impacted state budgets and subsidies.

Books

Moneyball

A book/movie concept used to describe a statistical approach to predicting the success of college athletes for investment purposes.