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tv   This Is Life With Lisa Ling  CNN  October 30, 2016 7:00pm-8:01pm PDT

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bumping that boly woolywood. this is jackson. >> i don't have any clean shirts. >> she 19 years old and lives in this tiny room. with simon who is 21. >> we woke up to tons of bugs that people found. >> and stephan, also 21. today is a big day for them. they hope to raise $1 million. around here, that's not so far-fetched. >> i'm coding right now.
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>> he is 19 and created a million dollar company. >> the new cold rush. >> silicon valley is teaming with investor money. brilliant young people from all over the country are flocking here, hoping to become the next mark zuckerberg or steve jobs. >> do you have regrets about not having a high school diploma. >> can we see you control this car with your mind? >> changing the world. >> what happened in san francisco in 2015 is going to be the subject of history books.
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>> if you are wondering what college students are up to these days, you don't have to look much further than a football stadium on an october weekend. >> it's 8:00 and hundreds of kids converged here on the campus for a huge event. don't be fooled. these kits are not here to tailgate and watch the game. they are here to hack. >> hi, everyone. how many are you are beginner hackers. this is the first hack-a-thon? hell yeah!
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this is the hack-a-thon. more than 2,000 collegieates will tent the next hours racing to the cutting edge projects from scratch. >> i just love to give a shout out to all of our sponsors who made this hack-a-thon possible. >> don't clap until you hear what i have to say. i have bad news for you all. >> for every smart person listen right now, there are 100,000 who are just as good as you. what will make you stand out? that is creativity. i'm getting warm. software is the posable thumb of the human mind.
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>> it becomes clear that hack-a-thons are gold mines for recruiters. are if you show it to us, we give you a job. >> they give access to the most up to date technologies. >>. >> hackers can win serious prizes. >> if you are an entrepreneur, you want to win that. >> a representative said they find more desirable talent here than among computer science grads. >> can you hire people from here? >> definitely. we recruited quite a few folks. you can can learn something six months ago and that's now longer fresh. this is a way for kids to stay
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fresh. they are building the next robot. >> some students come here to be recruited. for other lgs it is a way of life. >> james flew here from new jersey and this will be his 22nd hack-a-thon. if they let him through the door. >> what university? >> i'm from a high school. >> we are told no high school students allowed. >> do you mind waiting outside? >> yes. >> james is the overachiever. eagle scout, honors student, varsity debate team, model congress. >> it happens all the time. >> the same thing happened last year. >> he won prizes at two hack ark thons. and even though he is too young to vote, he did software
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development for hillary clinton's presidential campaign. >> whts yoat's your name? >> james. >> james's trip was not for nothing. >> i won't be a high school student next year. thank you very much. >> he's in. when james first discovered h k hack-a-thons, he found a world of people like himself. >> is this being used? the 62 type is we stay in our basement and eat pizza. the chance that you will kk friends with people here is extremely high. >> that's how he found two teammates for the picture's
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event. >> it only took me an hour. >> this is a former ballerina and future biomedical engineer. and this is a third year security science major. >> i never worked with him before, but you never tend to work with the same team. i met so many great people from all over the united states and people i think will be the next mark zuckerberg and bill gates. you get to meet those people now. >> we are just starting to come up with that. >> it is 11:00 p.m. and the hackers are getting down to business. some come prepared, but most come up with hacks on the fly. no one is allowed to start
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working until they arrive. >> ever after a few hours i check in to see how it's going. >> do you know what you are making? >> how people use mobile phones in african kounchtryes. what if we can use text messaging for smiubmitting vote for elections. >> we need that in america. that's an ambition project. when i was your age i was partying and going to raves. is it fun? >> there is nothing like it. >> it's like a party for me. you get so much out of it and you have so much fun. >> it's 2:00 in the morning. can i catch up with you tomorrow? >> of course. >> while james is dabbling in the tech world, across the bay
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another teenager left everything behind. jackson left his home and followed the tech boom gold rush to california. now at 19 years old, he may be poised to become the next big thing in silicon valley. ♪ i'm not hiding. i am. for people with hearing loss, visit sprintrelay.com
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heyyes, dear. you're washing that baked-on alfredo by hand, right? yes, dear. dish issues? cascade platinum powers through your toughest stuck-on food. so let your dishwasher be the dishwasher. this turned out great. cascade. real milk has eight times more protein than almond milk. real milk has naturally occurring calcium, but almond milk doesn't. oh, and now real milk's got as many almonds as almond milk. almond milk has only 2% almonds. what's in the other 98%? >> in california's bay area, 19-year-old jackson and his business partner stephan are getting ready to pitch their
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start up to a room full of wealthy venture capitalists. >> good. i think we have two. are . >> in a world of hoodies, jackson likes to stand out. you from the area? >> oklahoma city. i moved out here about a year and a half ago. >> what kind of start up do you guys have? >> have you heart of bit coin before? >> i haven't. >> it's a crazy online frenzy. no one owns it. it's like decentralized. there is no government or bank that backs it. they invest in stocks and bonds and portfolios with bit coin. >> that's a uniformed currency. >> exactly. it brings out the happy anarchist in everyone. people make more money.
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>> these days, start up companies are a dime a dozen. in 2014, they spent $48.3 billion investing in innovative technologies. >> thank you. >> they are pouring record breaking sums into start ups, hoping to strike gold on the next facebook, snap chat or uber. one mote is something called an accelerator, a program that nurtures start ups in exchange for a stake in their future business. jackson was collected into an accelerator called boost. it's an opportunity that could change the course of his life and he is showing me where it's all going down. >> this is the boost basement. >> here young innovators are honing ideas that could change the world and earn them
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millions. >> this is your humbleors? >> yeah. >> jackson's team consists of three guys. stephan is the chief technology officer and simon is the ceo. >> this is where this company that could change the face of financial transactions got started. >> basically, yeah. >> do you feel competitive with the other companies? >> we are all trying to raise money and trying to start our companies. there is so much of it, it's so abundant and flowing, there is no reason every company here can't raise a million dollars. >> it's amazing. >> jackson's team secured $375,000 in commitments from venture capitalists. their goal is to raise a million dollars to launch the start up. for now, they are sharing a 15
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by 20 foot room that reminds me a lot of a college dorm. >> this space is tiny. >> seriously. it's cozy. >> who are gets the mattress? >> i got shafted with the mattress. >> bunk beds are scary. we dropped out of university to come here together. my first roommate was this guy. >> what's the goal? let's be honest. what's the dream? >> i would love a tesla. we need an espresso machine for the office. the hover boards and a hard core pc. >> is the goal millionaire status or billionaire status? >> it's billionaire status, but you can't plan it. it's a gamble and a crapshoot sometimes, but if your heart is
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in the right place, that's what you can go off of it. >> jackson has always been this way. >> you are still a kid, but what were you like as a little kid? >> i really didn't think the same way as other kids. i always had my own version of reality. >> how old are you in. >> 13. >> when did you get started with blogging? >> november of last year i started to blog and then i started my podcast in march. >> did you know anything about the development or design? >> i have been doing graphic web design for about a year. >> when i was 12 i started a video podcast and free lance web design for local small businesses around oklahoma city.
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that escalated to a love for all things tech and design related. >> you are starting a business? >> i have a business. you making money? >> yes. >> what kind of a student were you? >> terrible. i failed all of my classes. i wouldn't do homework. i would leave school and work on free lance web design. >> how did your parents feel about it? >> terrible for the longest time. what do you do when your kid is failing out of school. my college counsellor called my mom and dad in together and she said i think your son is on drugs. >> jackson's mom gave him a choice. school or work, but not both. >> when i was faced with the opportunity, choose one, but just focus on one thing. i immediately took a step back and said wow, i could be doing this all the time. after that i dropped out.
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>> do you have regrets about not having a high school diploma? >> not even. our current system doesn't encourage students to succeed. they all meet the same stand aurds. >> that are is very controversial. >> i realize that, but it's something that everyone will realize sooner or later. >> jackson might have a point. some of the most celebrated billionaires are college dropouts. are lies like that the exemption to the rule? for every risk taker, how many fail and never bounce back? >> you have a major pitch tomorrow. this will determine a lot. >> this will show what we have put our blood sweat and tears into. >> they will pitch the idea to
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the world's top venture capitalists. >> these guys are clearly bright and seem to have a good head on their shoulders and i hope they are prepared for the highs and the possible lows that could come with all of it.
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we will have snacks in 25 minutes. >> milk tea with boba. >> now it's the hack-a-thon at uc berkeley. >> the communication with the website. >> that are can access from java script. >> james and his team are making headway with their app that allow people to use their phones to vote in political elections. >> it's 11:30 p.m. saturday night. >> we are trying to get authentication. they don't submit multiple votes on multiple phones. the horrors are being awake for third hours straight. >> the hast time i was here was
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2:00 a.m. you sleep after that. >> i took a nap for 30 minutes this afternoon. >> you only slept 30 minutes. >> come on. >> i slept in the stair well. >> oh, my got. >> it was fine. >> i generally don't sleep during hack-a-thons. >> if you are not getting through a certain problem, you will feel more pressure and like the world is closing in. >> these kids have been staring at security screens for 24-hours and they are starting to develop interesting projects. >> you just came up with this idea here? >> yeah. >> seriously? i'm blown away and i can't believe at all hours of the day and night these kit kids are working. >> when you are in a room and
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you see people building stuff, of course you can do it. >> the 22-year-old is one of the founders of the student hack-a-thon movement. >> when did this culture evolve? >> about 3.5 years ago, i heard about it and there was about 50 people and it was awesome. we felt the need to start our. people would come to the big hack-a-thons and say we need to throw this. it has gotten much more popular. you have 10,000 kids applying for cal hacks. >> it is helping to address the gender gap. >> when i started to go to hack-a-thons, i was in the minority. park are how does it feel to be one. few women. >> kind of confused on why you are there and they are a little insensitive. >> have you noticed more and
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more young women becoming part of hack-a-thons? >> i have seen more outreaches towards women and we are only getting stronger and i'm very excited to see what the future holds, i guess. >> i haven't had a churo since i was at disneyland. >> james told me what his future holds. >> how important is going to college? >> you still need a college degree to advance in your career. i'm still very interested in going to college. >> do you know what you want to be? >> yes. i want to be the administrator of the united states digital service. a group of computer systems that work for the government. >> sounds like you don't care about being a billionaire. that is not in the cards if you work for the government. >> i'm more centered on having fun and making an impact that than being the next mark
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zuckerberg. jackson and his team are striving to change the world. they would like to make a billion dollars while they are at it. this is a transformational new form of money. >> they are reversing a pitch and they will prnd it to hundreds of powerful investors. >> despite technological breakthroughs. >> let's break it down further. >> every time you said that, i still don't know what you are saying. >> the user flow. >> it sounds like you are saying use the flow. >> the way it, woes for a user, they sign up and pick.
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>> if they can impress even one venture capitalist, they could raise the money they need to launch their company. if not, it's back to square one. >> how long will you be working? >> i'm not sleeping tonight, but simon, you are pitching tomorrow early. >> how are you feeling? >> a little stressed out. very few moments this your life where there is that much concentrated wealth in one room. >> good luck. >> thanks so much. >> 20 other teams are prepping for the big day. >> the room could lead us into the future. is there enough money out there to finance them all? news reports suggest there is. >> silicon valley's economy is
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booming and not showing signs of a slow down. >> venture capitalist investment reaches record highs. silicon valley has not been this flush since the late 1990s. do you remember what happened then? >> welcome to painful reality.com. >> it didn't end so well. >> the simple answer is we ran out of money. >> the current tech boom is destined to go bust like what happened in 2000. >> at some point we are going into a tech recession. >> a stock market bubble. >> i'm curious to know what jackson thinks and if he has a plan b. >> we may be in a massive bubble right now. >> i love this question so much. >> that tomorrow the money may not be there. what's at sake here? >> i believe there is no way we
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can go wrong with this. we have a fantastic product and people love it. it solves a real problem. i have the best team in the world. there is no way that we can fail in what we are doing. when i started designing a bronx tale: the musical, i came up... ...with this idea of four towers that were fire escapes... ...essentially. i'll build a little model in photoshop and add these... ...details in with a pen. i could never do that with a mac. i feel like my job is... ...to put out there just enough detail to spur the audiences... ...imagination to fill in all the blanks. this windows pc is amazing, having all of my tools... ...right at my finger tips is incredible.
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>> if you are looking for young tech savants, you can check out the latest hack-a-thon and drop by an accelerator program or visit a controversial new learning institution in downtown san francisco. this is make school a radical alternative to college, a two-year program with 33 students. some of them have turned out of places like mitt and harvard to be here. who would create an institution like this? eye twa-year-old college dropout of course. >> they are passionate about building apps and we are giving them a shortened focused university experience that will let them pursue a career. >> he cofounded the make school. it differs from traditional school as a start up itself funded by venture capitalists. they only invest because they
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hope to see a return. >> how does make school work? do they pay tuition? >> they pay tuition from their earnings. we only make money if the students have good outcomes. >> it sounds like a good program, but the success is yet to be seen. this group of students will be the first to complete the two-year cycle. >> the talk is how i made my money. >> this 19-year-old is among the freshman class. >> me about your background. >> i grew up in a village in ethiopia. my mom had the only radio. my mom let me take apart the radio. i took apart the tv. anything i could get my hands on. it was interesting to me how things worked. >> his family moved to the states when he was 10 and he discovered computers.
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my dad told me to get a job. i grabbed books on programming and i thought i could make a living on this and i made $100 and that has gotten me here. >> at age 14, he launched his first start up. before long he had 15 employees and was pulling in serious profits. >> can i ask about how much money you were making in high school? >> my company was worth almost a million dollars. >> before you sold it. >> after high school he planned to study computer science and business at the new jersey institute of technology. then he discovered make school and his plans changed overnight. >> was there always an expectation that you would go to university? >> of course. my parents and all my friends thought this guy is crazy. i think times are changing. this is not going to change. it will only get bigger and bigger. >> since starting his education,
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he made strides in developing a new app. >> if you text and get a device, you text and you reach an agent right away. sweet. >> our stylists are available 24-7 for your fashion needs. take a picture of me and i will send it. >> perfect. awesome. now we will send it in to advisers. >> how are the people paying? >> we make a profit. you got a response. nice outfit, but i would at color to make it pop a bit more. she suggests i do something like that. it's like the u ter for advice. >> exactly. anyone can provide advice whenever and wherever they want to. >> good job, kid. >> no question that make school
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is providing aid, but is it more useful than a college education? >> why not major in computer science at mit? >> they think there is a skills gap with software emergencies and what they need to know how to do. >> they focus on theory without giving the practical skills they need to build real projects. >> the trend you can watch is the collegieate hack-a-thon where you have 1,000 students giving up weekend and sleep and it feels broken for them to do this on the weekend. here's two years of a hack-a-thon. build cool things. >> at uc berkeley, the sun is rising on the hack-a-thon weekend warriors.
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we are minutes away from the conclusion. a lot of teams finished their projects, but it doesn't look like james and his team have. they are on a mat scramble and they sought the advice of a mentor. >> still crashing. >> what are you looking for? >> do you have jobs? you kiting? >> i didn't know. >> neither of them has seen the third teammate in hours. >> minlly done. i need to save this and we can call it a day. >> got it. done. no problem. thanks so much. >> we fixed it and it all works. we finished. >> thank god. you guys, i was supposed to get
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woken up at 8:00. >> we didn't want to wake up. >> i wanted to submit. >> i would rather have you sleep. >> in a few minutes, judging will begin. each team will set up a booth to property their product. >> all hacks must be submit and you must be on the padio in five minutes. do so now.
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>> today could be huge for jackson and his teammates. >> did you shower? >> i probably won't. >> you don't want to be ratched. >> over the next few hours, they could raise the rest of the money they need to launch their company. >> it culminates in demo day when they get a chance to pitch to hundreds of wealthy investors.
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some of these companies are going to walk away with nothing and some with millions. while the guys get ready, i catch up with the potential investor, pierre wolf. >> you have probably seen a lot of companies succeed and more companies fail. >> even more. >> what's the secret sauce? >> there is a lot of them. i have seen companies that the teams come out and you say this is a winner and they fall on their face. >> do you have concerns about investing such huge amounts of capital with people who had such little experience. >> no, that's the nature of what we do. some are taking chances and the big things that happen. you have to bet on them. you don't know who is the next spark. >> collectively the investors in the room are worth billions of
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dollars. >> hello and welcome to demo day. >> the camera crew and i are only allowed in on the condition we keep a low profile. >> i'm the cofounder of pixel. >> i attended penn and studied a mix of business and it. >> we have 20 years of experience. >> i'm a bit taken back by how much experience they have. far more than jackson, stephan and simon. >> they won an oscar and developed software. >> from wall street. he has a math hd and he's a yeanuous. >> simon takes the stage. >> this is a new form of money. we set out for users to invest
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tr bit coin. >> thank you. >> we are not termed to film them, but i pull them aside for a quick catch up. i just skilled wine. a apologize. >> you have been shmoozing with investors and how do you think it went? >> awesome feedback all-around. they came out and said we have been awesome. >> is that your investor? >> that's how it happens. >> get out there. >> definitely the investor. they are asking for us and that's a good thing. >> simon comes back with news. he had the larnlest bit coin mining farm in the united states. >> what are did he want to talk
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about? >> he loved the app. >> things are looking up for the guys. they will find out for sure if any of the investors will back their company. >> where do you think you will be six months from now? >> in an actual office with employees and moving to new york city. big city, exciting, lots of finance. we will have a place to live and hopefully bigger than where we are staying now. >> separate rooms. >> at the hack-a-thon in berkeley, the goals are more short-term. only 4568 of the teams made it to the finish line and james's team is one of them. now the most difficult challenge yet. >> what are you looking for? >> creativity and completeness of vision and implementation.
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>> brian has been a software imagine for more than 25 years. >> do you consider yourself a tough judge? >> your goal is to find the best. >> i >> show me about your hack today. >> do you have a phone on you? >> sure. >> text this number. >> please enter your first name. >> it presents you with a list of the candidates to vote for. >> i voted for an illegal candidate. three and you had one through two and you accepted my vote. i will try voting again and see what happens. obviously there was no vote for when you voted for number 3. let's try voting a third time. >> okay. so i voted for three, two, one. it said thank you all the times. >> it's still a work in progress. >> how are you handling the external visibility? do you think building a voting system based on facebook is the right solution? >> look at the bitcoin system.
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>> not money but votes. the problem is buying votes, especially in central america. that's how the fraud is done. any other questions? good job. >> i got grilled. he knew what he was talking about. >> watching james and the team work with technology that's totally out of my league, it's been easy to forget that they are still young and have lots to learn. >> tell us about your hack. >> this is shazam for vision. >> can i take a picture of you? >> not to mention they have stiff competition. >> can we see you control this car with your mind? a mind controlled golf cart. >> hiyo silver. >> that usually works well. >> a bicycle video game. >> this could be good for lazy gamers. >> yes. >> to get off their butts. you really have to move. these kids are thinking big. >> the problem we are tackling is the european migrant crisis.
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>> this connects refugees to volunteers to help with food, water and housing. >> what do you do with this after? this app could help people. >> yeah. i mean, really. do you have an idea where to take it? >> honestly, as college students we have to worry about school and stuff. >> it's crazy. this could be so useful right now. you created this in 36 hours and you will go back to school on monday. >> yeah. that's the hack-a-thon. >> i can't believe in just a couple of hours the kids will go back to school and their amazing ideas will just disappear. >> seriously? you built this? >> it's got me wondering if they are wasting creative potential. would the world benefit more if the young people were developing projects instead of sitting in college classrooms? >> brilliant, guys. >> thank you. >> really great. thank you.
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we need to be ready for my name's scott strenfel and r i'm a meteorologist at pg&e. we make sure that our crews as well as our customers are prepared to how weather may impact their energy. so every single day we're monitoring the weather, and when storm events arise our forecast get crews out ahead of the storm to minimize any outages. during storm season we want our customers to be ready and stay safe. learn how you can be prepared at pge.com/beprepared. together, we're building a better california. hey, hackers. how many of you built an awesome project this weekend? >> the hack-a-thon is coming to a close. >> everybody give it up for stockpile. [ applause ] >> robot recycle. up there. >> james's team didn't win
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prizes. >> come to the stage. >> he still wouldn't trade the experience for anything. >> i have learned a lot. it was exhausting but exhilarating as well. >> i find it incredible that you're here at this event where people are creating things that could potentially change the world. you have to go back to high school tomorrow. >> it's a little bit more of a reality check than i would like. right now applying to college and getting the grades is my priority. i will come up with ideas for what to work on in the future. it never ends past the weekend. it continues. >> in the months following the shoot, james completes college applications. he applied to 14 schools including george washington, stanford and, yes, uc berkeley. as for the wealth coin guys i reach out to jackson for an update. >> hey, lisa. it's december 9, 2015. about a month ago. >> what he has to say isn't what
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i expected. >> i left wealth coin when we all parted separate ways. >> what? >> i don't live in san francisco anymore. i have come back to oklahoma to start working on my own projects. >> jackson doesn't give many details. i learned that the team members had different ideas about the direction of the company. they are looking to develop wealth coin without him. >> not a lot of space for clothes and furniture. >> they haven't procured additional funding since leaving boost b.c. >> 10:17 a.m. and i need a coffee. >> from what i can see jackson has no regrets. >> i'm really happy right now working with a group of friends, none of whom have start-up experience whatsoever. >> jackson goes on and on about the new projects. let me summarize for you. he's creating a late night food delivery app with friends. he got $30,000 in funds to plan
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the first oklahoma hack-a-thon. and ironically he's been invited to teach at a local school. >> i'm excited to see where it goes. >> i finished making this video. >> jackson is nothing if not resilient. >> my dad's about to come get me. >> when you can think for yourself as a teenager you can be free to explore anything you want. >> are these the same as yours? >> i don't know. are they? >> you're 19 years old. where will we see jackson at 25? >> oh, my god. i don't know. i don't know where i will be tomorrow. i have so many things i want to do. i would love to be a millionaire before i'm 20. clock's ticking on that. well, it was a big day. >> this generation of millennials has been called lazy, entitled. but the kids i met are anything but.
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they're really creating extraordinary things. it makes me excited about the future. i also want to send my daughter to a coding class. she's only 2. why not start her early? hi. i can take you back here. i give the best blow job you ever had. >> thanks. >> do you want to pay with cash or card? >> on nearly every corner of america, soliciting sex is a crime. and through my work, i've seen why. >> this girl looks very, very young. >> she is like 12. >> i've witnessed countless women exploited and controlled

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