E242: Gen Z, Dopamine, and the New Investing Playbook
Timestamps are as accurate as they can be but may be slightly off. We encourage you to listen to the full context.
Podcast Summary
This episode features Steven Wang, the 23-year-old Harvard dropout who founded and leads Dubb, a regulated copy trading platform that has raised over $47 million. Wang discusses his journey from trading in his Harvard dorm during COVID to building a platform where users can automatically copy the investment strategies of proven traders, including politicians like Nancy Pelosi. (00:00)
• The conversation explores the democratization of investing, the rise of retail trading, and how social media is reshaping financial markets through meme stocks and influencer-driven investment strategies.Speakers
Steven Wang
Steven Wang is the Founder and CEO of Dubb, a groundbreaking AI-powered copy trading platform that has raised over $47 million from leading investors including Notable Capital, Tusk Venture Partners, and Neo. Wang dropped out of Harvard at 18 to build his first company and later started Dubb after experiencing the retail trading boom during COVID-19. He previously founded a virtual reality ed-tech company called Realism, which was successfully sold despite not achieving product-market fit.
Key Takeaways
Channel Individual Strengths While Covering Weaknesses
Wang emphasized the importance of recognizing your limitations early and hiring to cover them. (07:03) When he started Dubb, he realized he lacked crucial knowledge about compliance and regulatory regimes, so he hired a chief compliance officer with extensive experience. This allowed him to focus on his superpowers - product development and vision - while ensuring the business had the necessary expertise to operate legally. The key insight is that trying to do everything yourself as a founder can be a fatal mistake, especially in heavily regulated industries like finance.
Motivation Through Inspiration Beats Fear-Based Management
Wang learned that his initial management style, modeled after his strict Asian upbringing, was counterproductive. (07:32) He initially micromanaged his team and demanded long hours through fear-based motivation. However, he discovered that leading through inspiration, opportunity, and clear expectations of greatness was far more effective. This shift helped him build a culture where employees were intrinsically motivated to work hard because they believed in the mission, not because they were afraid of disappointing their boss.
Anti-Sell During Interviews to Filter for Cultural Fit
Wang developed a practice of "anti-selling" during interviews to ensure candidates truly aligned with Dubb's high-intensity culture. (11:02) Instead of just selling the company, he explicitly tells candidates about the demanding nature of the work environment and asks them to rank their own grittiness. This approach helps filter out people who wouldn't thrive in their culture and prevents setting up employees for failure. The result is a more committed team where everyone knows what they're signing up for.
React Rationally, Not Emotionally, in Crisis Moments
Wang's most important lesson from difficult periods was learning to pause before reacting when feeling strong emotions. (38:43) He realized that his worst decisions came from immediate gut reactions during stressful situations. Now, when he feels intense emotions, he forces himself to wait at least 20 minutes before responding. This cooling-off period allows him to approach problems with rational thinking rather than emotional reactivity, leading to much better decision-making during critical moments.
Focus on Fulfillment Over Daily Happiness
Wang distinguishes between daily happiness and long-term fulfillment, arguing that the latter is more important for sustained success. (32:33) He acknowledges that he's not happy every day - dealing with administrative work, difficult conversations, and other unglamorous tasks - but he feels deeply fulfilled by the long-term mission. This perspective, influenced by Albert Camus' philosophy about finding joy in the struggle itself, helps him persist through difficult periods and maintain motivation for the long-term journey of building a generational company.
Statistics & Facts
- 20-25% of all trading in the market today is retail trading, which has doubled over the past 10-15 years and can go as high as 35% on some days. (01:08) This massive increase is attributed to the accessibility revolution started by Robinhood and the cultural shift that brought 30 million new retail investors online during 2020-2021.
- 80% of people who invested in GameStop actually lost money in totality, despite the narrative focusing only on the successful run-up. (03:32) This statistic highlights Dubb's mission to help people not just invest, but invest better.
- 40-50% of Americans do not even own a single stock today, meaning they're not participating in what Wang calls "the greatest wealth creation engine of capitalism." (17:24) This exclusion from the ownership economy is concerning given the potential for AI and innovation to create unprecedented market value.
