– Straight from Silicon
Valley, three generations
of venture capitalists
and one guest judge, equals,
– Meet the Drapers!
– Imagine that, they
wanted another season.
– Entrepreneurs pitch
– Billion dollars lost every year.
– We were both wandering aimlessly.
– The judges ask the questions.
– So what’s special about you guys?
– Why will this stay on your platform?
– But here’s the twist:
you the viewers get to invest for equity.
This is your chance to own a
piece of the next big idea.
To invest in a company,
go to meetthedrapers.com.
Find them in this week’s Entrepreneurs.
And you can invest.
You can share in their future success.
At the end of the season,
the entrepreneurs with
the most funds raised are brought back
for the season finale
where Tim Draper invests
in his favorite company.
– Become an entrepreneur
because it’s easy to get money
and that didn’t happen at Wall Street.
– Let the games begin.
(applause)
– Welcome to Meet the Drapers!
Today we have a special guest.
Another Draper!
We have Adam Draper,
my son who runs Boost.
It’s an accelerator for
BitCoin and blockchain
and VR and AR and sci-fi.
And my father Bill Draper,
one of the great pioneers
of venture capital.
– Who are you?
– And I’m Tim Draper.
And this is the last episode
before our big finale
where I fund some of these
or one or many of these companies.
Stay tuned for that.
But this episode’s going to be something
quite extraordinary.
So tell us little bit about what it’s like
to be in a family of venture capitalist.
– You know, it’s a little
like being the second guy
who walked on the moon.
(laughing)
– Who was that guy?
– Buzz Aldrin.
– Oh, there you go!
– I looked it up because of this.
(laughing)
– But each generation has
taken such a different
tactic at it that we’ve sort of created
our own special categories.
– We just kept not
competing with one another.
– I know, but we’ve done deals together.
You were the first investor in Coinbase,
and then I came in later
at a much higher price.
And he was the first investor in Skype
and I came in late.
I’m the later guy.
(laughing)
– You were the first
– What I wonder is, how
he got to be the first
investor in BitCoin.
– Ever
– Amazing!
– Tell us a little bit
about your excitement
and passion around exoskeletons.
– I took a company called Rome Robotics.
The first use case is going
to be knee braces for skiing.
So you could ski all day and never feel
any weight on your knees.
– Oh Dad, for your knee!
– Perfect.
– Yeah, I got a bad knee.
– I have an exoskeleton company for you!
– When was the last time you went skiing?
You were 82.
– I think I went up in
the ski lift for the view.
– Triple black diamond.
– I know, I went on the ski lift with him
and he said, pops be
careful when you get off
that you don’t fall.
And I said, God, come on Adam.
I’ve been skiing so much
longer than you’ve been alive
and so I get off, and
the next thing I know
I’m on my ass.
(laughing)
And somebody’s there taking a picture.
– That was me.
– Yeah we got a good picture of it.
– Took a picture of me!
– I think I took the
picture before I asked
are you okay?
– It was a good picture, totally worth it.
– That’s right.
– VR, tell us what the big
application of VR’s going to be.
And when am I going to be able to do VR
without the tether?
– I mean, I was a top 300
player on Space Pirate Trainer
but that isn’t the best.
Games aren’t the best use.
The best use case–
I work out in VR now, with
a product called FitXR.
And then I take pitches.
I could do this, we could
have this whole thing
in virtual realty in a
product called Arthur
or Dimension10.
The killer app of virtual
reality is being with people.
And this allows us to do
that without geographical
borders mattering.
– So here, we’re going to ask Dad and you,
okay if I’m buying your
house, would you rather
take dollars or BitCoin?
I’m asking Dad first.
– Because of the uncertainty in my mind
of what the value of
BitCoin will be next year,
I would like to get dollars.
– And Adam, which would you rather?
– I’m mean, I’d rather have BitCoin.
– Yeah, and this is really the case.
There’s sort of a point,
at sort of an age of about
35 years old, where
anybody younger than that
would rather take BitCoin.
And anybody older than that
would rather take dollars.
Okay, so, with that, now
you know who are judges are.
Let’s bring on the entrepreneurs.
But first, let’s see what’s
going on behind the scenes.
– I’m Zane Witherspoon, CTO of Dispatch.
– And I’m Matt McGraw,
the CEO of Dispatch.
We decided to build a
distributed content marketplace.
Fans could buy art directly from artists.
Music, albums, photography,
without a middle man.
Fans pay less, artists earn
more, everybody’s happy.
– As we started building this
out, we realized we couldn’t.
The technology just wasn’t
available at the time.
My partner and I needed to
find a technical co-founder.
So we went to the San
Francisco Ethereum developers
meetup where kind of
the largest mind share
in the technical area of blockchain is
and we walked into his event.
– We ended up ideating on how
we could use this new tech
to actually impact the world.
In the industry there’s a lot of talk
and a lot of ideation and
a lot of really big vision.
And there’s not a lot of execution.
My previous companies, we built platforms
for all the quickly scaling
startups that everybody
uses today: Facebook, Four
Square, Twitter, Airbnb, Uber
they were all my clients.
I know how to go from zero to a thousand.
– Welcome to Meet the Drapers.
Give us your pitch.
– So we’re sitting at a round table
in the middle of a packed Macau casino.
We were having a dialogue about business
with these Chinese business
men and their translators
when one of the bigger men at the table
leans forward and say in a
really low, grumbly voice
with his shirt unbuttoned
and chest hair popping out,
my boss’ name carries a
lot of weight in this town.
– That’s when we realized
we were sitting at a table
with the Macau Mafia.
(laughing)
– Once the pitch starts happening,
it turns out that they
are building a floating
casino hotel and they want
to raise 300 million dollars
in ICO, and they want us
to be investors, advisers,
blockchain experts, the whole nine yards.
So we’re like yeah, no, thank you.
But it taught us something.
– We realized that competency
was a strategic advantage
in the blockchain space.
That everybody was talking
a lot, but nobody was
doing anything practical,
real, and impactful
for real businesses with real
people, using real products.
– Myself being the technologist,
I was actually really
excited to see where sort
of the pain points lie
in this really nascent technology.
And we pretty quickly
decided on a protocol
that could help provide users
with data self sovereignty.
And mitigates the risk of
companies that use lots of data.
Thanks to HIPPA and GDPR
and the new California
data privacy act, data is becoming toxic.
So can I ask you guys,
out of your investments,
how many of them use data as
like a main value proposition?
– Lots of them.
I don’t know, maybe a third.
– It’s a lot, right?
– The largest and most valuable
tech companies in the world
are really data companies at this point.
And now the new kind of
regulations that are coming forward
means this is a massive problem for
almost every technology company.
– So what do you do?
– We are building the dispatch protocol
which is a network, and we
actually sell these tokens,
or software licenses to speak
more traditional enterprise
language, to companies that
want to create distributed
applications where they
don’t have the risk of
holding on to that data.
But they can still extract
that analytical value from it.
We started building it in
January, shipped our beta in April
and to date, we’ve sold almost
13 million dollars worth
of presale revenue.
– Presale revenue!
Who’s paying you for software that hasn’t
– We’ve got Fortune 1000,
Fortune 5000 customers already
and they’re building a
data layer that stands
between them and the actual data.
And what this guy invented
with some magical math
that I don’t understand.
I’m the software, enterprise, sales guy.
He’s the tech guy.
You can do what’s called
zero knowledge analytics.
So like, zero knowledge
proofs, you don’t have to
actually access that data
to analyze the dataset.
– It lets data researchers,
whether that’s businesses
or universities, actually
query data that’s stored
across tons of different
owners, and get back answers
that they know are true
without ever seeing the data themselves.
– What would be like an ideal customers?
– Apple.
Apple has a massive dataset.
We’ve all got iPhones–
half of us have iPhones
in our pockets, right?
So, our protocol could
allow them to actually
analyze their data and
drive that value without
actually having access to it.
– What about a smaller customer?
Right, because when
you’re starting a business
going to try to get Apple
as a customer will sink you.
– We actually have a
bunch of smaller Fortune,
say 5000 customers, and we’ve actually got
Fortune 500 customers too.
– When you fund raised, was it an ICO?
– No, we pre-sold the
software licenses, tokens.
– And they’re your tokens,
they’re not BitCoin
– That’s correct.
– They’re a native token.
– What’s it called?
– The Divvy.
– The Dispatch Divvy
– The Divvy?
And the Divvy token, is that the only way
I can use your software?
– Essentially, yeah.
We run off a rate limiting
system so that you have to
own some stake in the network,
buy the software licenses,
buy the Divvy token in
order to get some number
of transactions per day through.
– I think that there are a
lot of people who are going
after data as a distributed problem.
They’re saying everyone
should have data sovereignty,
data is the oil of today.
You should be able to
protect your own data.
– People have been saying
that for a long time, yep.
– What is different about
what you guys are doing?
– Right now our main value
proposition for businesses
is actually being able to
look at the distributed
data network and extract that
analytic value out of it.
– Tell us about your backgrounds.
– My background is in cyber security.
I found blockchain in early
2016 and immediately realized
that it was going to be something
that could revolutionize the world.
And I wanted to be on the forefront of it.
So I wrote articles about
Ethereum development.
I had an academic business
whitepaper published
by Cornell University library archive.
But most importantly I
started building community.
I started organizing the San
Francisco Ethereum meetup
and actually bringing
in all these projects
that at the time, were
just friends of mine
who’ve gone on to become
really big brand name
projects in the space.
– So my background, I
graduated from Cornell,
oddly enough, in 1994.
I moved out to the Bay Area in ’95.
I’ve been a serial
entrepreneur ever since then.
My biggest success came from one company
that I ran for 15 years.
It’s a company called Rocket Science.
We were an IT services provider for small
quickly scaling startups.
And I’m talking about Uber,
Airbnb, Twitter, Four Square.
They were all my clients
when they were small.
When they were 10, 15, 20 people.
And we helped them scale.
– Would you give us a clear
picture of what you do
for Uber, for example?
– I can tell you exactly what we do for
Facebook, Google, Uber, Airbnb.
They’re all gathering your data.
More and more, regulation
prevents them from doing that
or at lest holding it and doing
anything valuable with it.
We enable them to continue
running their business while
doing the same thing they’ve always done,
but provide data privacy for
you and you and you and us
and everybody here.
– You are limiting the use of that data.
They won’t be able to determine as much
as they were able to when
they knew who you were.
– Well that’s the level
of data sovereignty
that we want to provide people.
There’s a lot of people I know who
would love to use Facebook and Instagram
but actually don’t because they
don’t want to lose their data.
– We provide a platform
for people to disrupt them.
– We also provide a platform
for them to disrupt themselves.
– Great, thanks so much for
coming to meet the Drapers.
(applause)
– All right, great to meet you.
– What do I have there?
A Dispatch sticker.
– Great to meet you.
– I think it went pretty well.
I think they were a little
surprised at moments.
– Being a high tech Silicon Valley startup
doesn’t always translate to
the real world as easily.
But I think overall,
them asking for examples
really helped us display the
power of what we’re building.
– And they both, Tim and Adam,
in particular, get blockchain
they’ve invested a lot
in the blockchain space.
But I think they were surprised
that we A, have a product
B, have customers.
You know, a lot of things
that aren’t real in the space,
we have, and are real.
(laughing)
– So let’s see what the judges thought.
Dispatch, what’d you think?
– I really liked them.
One of them was very experienced.
One of them was definitely
experienced in the
cryptocurrency world.
What I didn’t get around
to asking was about
cryptocurrency’s gone down a
lot in the last six months.
So they raised 13 million
dollars whenever they raised it.
Do they still have it?
– Oh, do they still have that money?
– Or is it about a million dollars now?
It’s a big problem.
I mean, actually the data
thing’s really popular
but it is a very important thing that
will be solved by something in this
cryptocurrency ecosystem.
They have experience and they have talent,
I think they’re go to figure it out.
– I was astonished that
they raised so much money.
– We’re guessing that that
happened the end of 2017
when everybody was raising
tons of cryptocurrency.
– I guess that’s right.
– It’s easy.
– Now it’s a lot harder
to do what they’re doing.
– Times changed.
– What I like about it is
this is sort of exactly
what I think the vision for
the future of medicine is.
You’re going to put all
your data up in the cloud
but it’s going to be anonymous.
– Parsing the identity from the data.
– My feeling is, in one way
or another, they will succeed
because I did like both of them,
they’re really fine people
and knew they were up against
a lot of problems ahead,
but they looked like people
that would be able to
solve those problems.
Okay, so here’s what we do.
We go thumbs up, thumbs
down, thumbs all around,
and then we vote.
What’s up and down?
But before we do that, we have
to go to the crystal ball.
And the crystal ball will send us a vibe.
– Ooohm.
– Okay, is this thumbs up, thumbs down?
Dispatch.
Boom
– Okay, thumbs up, thumbs
down, thumbs all around
– Whoa, look at that!
Two up and one down.
– Yep, it doesn’t really
matter what we think
because you can vote up or down
or you can invest by going
to meetthedrapers.com.
Now let’s bring on the next entrepreneur.
But before we do, let’s see
what’s going on behind the scenes.
– My name’s Rick Bentley, CEO and
co-founder of Cloudastructure.
In 2000, I was CEO of a
venture backed company.
We had an access controlled
system, an alarm system,
a guy at the front desk.
Around lunchtime, someone
walked in dressed like us,
picked up a notebook and walked out.
That notebook had a lot of important code
and everything else on it.
Surely, the people would
be caught on camera.
I bought the best system on the market.
But there was no video.
That kind of ran in the back
of my head for a few years
and then around 2003, I
jumped in and started it.
When Google indexed the web, they made it
so you can search the web for things.
When you have video surveillance data,
if you have 100 cameras,
just to review one day’s
footage could take you a year.
Unless all the video is tagged, it’s lost.
It’s like the web before Google.
We get back an index of
everything in those videos
so that you can search your videos
for what you’re looking for.
– So welcome to Meet the Drapers.
Give us your pitch.
– Hi, I’m Rick Bentley, CEO and co-founder
of Cloudastructure.
We’re bringing artificial intelligence
to building security.
First thing we do is we get
all the video surveillance data
offsite, into our cloud, along with
all the access controlled data.
And when you swipe your
badge and the door opens.
Once it’s up there, we do
some pretty neat things.
When we take all the data,
we run it through an indexer.
Now you can search for a
person, vehicle, whatever.
Because we have your badge
data, when you badge in
we see your face.
Badge in see your face.
Badge in saw both your faces,
you went to lunch together.
Badge in see your face.
By end of the first week,
we know what you look like.
If I show up with up with your badge
that I found at a bar,
it can either flag it or not let me in
depending on your business rules.
– This isn’t for
everybody, it’s for people
who carry a badge.
– Yeah, it’s for enterprise.
– Why would an enterprise
be concerned with this?
– When I was at Google, we had
a guy called the tailgater.
He wore an alligator
outfit, he’d walk around,
when you badge in, he’d
try walking behind you
dressed as an alligator.
At the Friday all hands meeting,
they showed the video of everyone
who let in the alligator that week.
Businesses are under constant
penetration assessment
from competitors, foreign
governments, everything.
They have stuff that’s important
they need to keep secure.
Plus it’s safe for their
employees and everything else.
– So you’re solving the alligator problem.
– Solving the alligator problem, right.
No more alligators.
– Where’s the product today?
Do you have customers?
– Yeah, so we’re doing 10,000 a month
in recurring revenue.
A little more, actually.
We have the cloud level
working, we’re just now
rolling out the AI features.
– I see what the AI feature are,
but what’s the cloud piece
of this without the AI?
– Think of it this way.
Look at the IT server closet.
It’s gone.
There used to be an email server.
It’s now a Gmail or Outlook or Outlook 365
or whatever, right.
There used to be a file server.
It’s not Dropbox or box.
The first thing we had to do
was get the video surveillance
server and the access
control server into the cloud
where they belong also.
And once it’s there, you can
do this higher level stuff
that you couldn’t afford to
computationally on premise.
– And are they your cameras?
– No, we work with any camera.
The largest university in California has
hundreds of cameras that are in our cloud.
So if you have a hundred
cameras, how long does it
take you to review a day of video?
It’s like a man year.
But once it’s all indexed,
I’m looking for a backpack
– It’s actually a man third
of a year, 365 cameras.
– Right, but if it’s 24 hours
and you have eight hour days, right?
– Oh okay!
– Plus weekends.
You know, entrepreneurs
have to go to the bathroom
and eat sometimes.
Yeah, so it’s a lot, it’s overwhelming.
So once it’s indexed, whatever
I’m looking for, I can find.
That guy is spray painting the building
went to lunch with Adam a week ago.
Adam, who’s this guy?
– Right?
(laughing)
– Why are they so mad at you?
(laughing)
– Okay, who is interested in this?
Who wants to hire you to do this?
– We’re finding traction in three area:
education, utilities, and enterprise.
So software companies in the Bay Area
– Take the University of
California, why do they want it?
– In this particular case,
our large university customer
who I’m not naming,
jumped in and said, something happens,
there’s a slip and fall, there’s a fight,
there’s a car crash.
We go to get the video,
the thing’s been offline
for two weeks.
It can send us an email
if its disk gets full
it can’t send us an email if it crashes
or gets unplugged.
It’s just impossible to manage.
Once you pull into the
cloud, it’s a one stop shop.
Here’s my dashboard
how everything’s doing.
– How much do you get paid?
– So we charge 249 per year per camera.
And 199 per year per door.
It’s enterprise SAAS.
– What’s your experience?
– My background is physics
engineering from UC Berkeley.
I was at General Magic
– General Magic
– Yeah
– Just raised a ton of money
– Oh was that fun?
– I’ll bet you had fun
while you were there.
Why did you leave General Magic
and where’d you go from there?
– I started Televoke.
Televoke was connecting
people to things in 1998
before there was an internet of things.
– And what happened to that business?
– We pitched the Drapers back then,
it’s actually the second time we met.
(laughing)
– You did look familiar.
– Yeah, right?
– We decided not to do it?
– You decided not to invest.
– How did we make that?
So wait, how did–
– I wasn’t offered.
– Wait, wait let’s find out what happened.
Did the investors make money on that one?
– So some did, some didn’t.
Remember we closed our
financing January 2000.
We got offered to get bought
by Ford for 20 million
we only had three in the door.
We took the offer, and then the Ford CFO
shut down anything that
was not profitable.
And so he kind of pulled the rug out
from underneath our deal.
So then we merged with
another privately held company
and changed the name to deCarta.
deCarta got bought by Uber
after a long fuse for 2015.
– You had other outside investors?
– Yeah, so that was a
soft bank, WI Harper.
– And how much did they
make on their return?
– Depends which round.
So the last round was the money round.
The down round is the money
round, isn’t that the saying?
– Why are you excited about this?
– It has to happen.
Video needs to be indexed
or it’s not useful.
The guy at the front
desk, when you badge in,
he’s making sure your
face matches your badge.
Doesn’t matter if you’re
5′ 6″ or 6′ 4″, right?
Your picture comes up and
that’s it, he lets you through.
I can use your badge,
you can use my badge.
I can use your badge, you
can use my badge, right?
We could badge in and out all day.
– Oh no, he’s got big eyebrows.
– Eyebrows
(laughing)
– I could do a little pre-makeup.
– There’s a video on our homepage of me
breaking into Google,
Facebook and Palantir,
because I have a messenger
bag with a card reader in it.
And I can just walk past you,
just ’cause we were in
this meeting together
on the elevator, at the coffee shop,
in line at Starbucks.
I can read your badge.
I now have your badge’s unique ID.
I can put that in another
badge, I can badge in as you.
It is criminally insecure.
If you like, I’ll break in here tonight
and leave my business
card on your office door.
– Probably wouldn’t be too tough.
(laughing)
– That wouldn’t take any technology.
We got a lot of alligators.
– Did you write the software?
– No I didn’t write the software.
– That connects all the
– My background is technical,
but I am the fund raiser, the sales guy,
all the business
– So who’s written this?
– We have a team of
about half dozen of us.
– And they’re full-time with the company?
– Yes
– or doing other things, too?
– Well, I mine Ethereum as a hobby, right.
So we’re all doing something on the side,
like everyone around here, I think.
But this is a full-time team.
– Well great!
Well thank you so much for
coming to Meet the Drapers!
– Thanks, real pleasure.
– Terrific, yeah.
– Thank you so much.
– Nice to see you.
– Great to see you again.
(laughing)
– I have so much more to say.
I got more demos, I got
a product I can show.
I could’ve been there for two
hours having a great time.
We’re bringing AI to something
every enterprise has.
How many businesses have doors?
They all do.
They all need security.
We’re providing them the future.
What’s happening next is going to be
the building is smarter
and knows what’s going on.
I challenged that I’d break in tonight
and leave my card behind.
So maybe I’ll actually do it.
– So let’s see what our judges
thought of Cloudastructure.
– I think he wants to win.
He wants to hustle.
He’s had one reasonable small exit.
– He’s obviously an
entrepreneur in a lot of ways.
– Good salesman
– Good salesman
and I lose a lot of money
on good sales people.
– Enterprise though, he’s got it good
– That’s true.
– He’s got fewer deals
– That’s right.
If you are an enterprise,
the good sales people
are extraordinary valuable.
– It’s more than that.
I think he really was a
good overall entrepreneur.
He was upset that we didn’t back him,
but then we would’ve lost our money.
– Yeah!
– That is sad.
– We were early.
We weren’t the last investor.
So I was thinking, you know, you’re upset,
but we would’ve been really upset.
– That’s the only problem
that I’ve got with it.
I have a feeling that he may
not be as steady follow through
get this job done right and
make money for everybody.
– I’m concerned about the market too.
I think it is really interesting.
This is a great use of
artificial intelligence
and putting different things together.
But people don’t like
spending on security.
That is a real struggle because
people don’t even want to think about it.
And then they think about
it when something happens.
– Yeah, but think of institutions.
– Sure
– They have somebody that is
just in charge of security.
– Yeah the big institutions
move really slowly.
– But they also have
a huge bucket of money
that is geared towards security.
So he knows where that pot of money is
that he would be selling to.
– That’s right.
– He knows exactly
– He’ll find it.
– I would back him.
– Okay well let’s find out
what the crystal ball thinks.
(laughing)
– Eenie beanie, crystal ball,
tell us do we want Cloudastructure?
I got it.
Okay, thumbs up, thumbs
down, thumbs all around.
Two up, one down, this is our thing.
– Yeah
– We have two up
one down each time, it’s
just a different job.
– And we should never do the deal
if we all do a thumbs up.
– Yeah probably not.
(laughing)
Probably not.
But it’s not up to us,
it’s up to you the viewers.
Go to meetthedrapers.com
and you can vote and invest.
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that allows you to invest in the companies
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while on Meet the Drapers.
So this is awesome and
go ahead give a shot.
So let’s bring on the next entrepreneur.
But before we do, let’s
see what’s going on
behind the scenes.
And the eyebrows are genetic, apparently.
– Hi my name is Damian Pelliccone
– My name is Alia J. Daniels
– And we are the co-founders of Revry.
The idea for the company, for
Revry, actually started off
with Alia buying the brand new
fourth generation Apple TV.
We searched LGBTQ, lesbian,
gay, bi, trans, queer.
Zero apps popped up.
That’s when the light bulb
went off and pitched the idea
of creating a queer
global streaming network.
– It was really important
for us when were coming up
with the concept for
Revry to make sure that
we were having authentic representations
and ensuring that we
were creating a service
where everyone within the
community could find themselves
and see their stories and
see themselves being heard.
Because traditionally that’s
not what’s been the case.
– We’re 75 percent POC owned,
75 percent queer owned,
and two women of color.
So we really represent the true gamut
of what the rainbow flag
means for our community.
– Welcome to Meet the Drapers!
Give us your pitch.
– Hi my name is Damian Pelliccone
and I am the fabulous CEO.
– My name is Alia J.
Daniels and I’m the COO
– Of Revry, the world’s first LGBTQ global
streaming network.
You can kind of think
of us as Spotify or Hulu
for your young queer audiences.
Currently, we’re in 35 million
homes in over 100 countries
across the globe.
And we’re on track to
be in over 200 million
homes in just six short months.
– Revry has over 4000 hours
of global queer content
including licensed and a
growing collection of originals.
Revry is the home for queer
feature films, series,
music videos, and podcasts.
– The problems is that
big brands can’t target
young queer audiences.
They just don’t buy
broadcast television anymore.
The style, the length of the content,
doesn’t resonate with them.
– Revry gives young queer
audiences what they want.
Multiple ways to watch
amazing LGBTQ content
via subscription, ad supported, or rentals
on multiple devices.
This year alone, we’ve signed
multiple six figure deals
with brands like Lexus
and Dollar Shave Club.
– And the LGBTQ market is a
whopping 917 billion dollars
a year market here in the United States.
4.3 trillion globally and
our audience is growing.
52 percent of Gen-Z and 35
percent of millennials identify
somewhere in the queer spectrum.
– Revry’s diverse founding
team has over 30 years
of experience in the
entertainment industry.
From legal, to production, to
tech, we have what it takes
to solve this problem.
– So what’d you guys do before this?
– My background is I
actually used to teach
at YouTube Space LA.
I also worked in international biz dev
for a company called Made
TV and I was doing work
with AL Jazeera in Dubai,
media core in Singapore and
I’m a member of the producer’s guild.
– And my background is actually in legal.
So I’m an attorney, I
worked in entertainment
as well as the startup space.
So I was able to combine
both of those loves
when we created Revry.
– How long have you been building this?
– We actually launched consumer facing
here in San Francisco PRIDDE June of 2016.
– You said you had a hundred
million people watching this?
– 35 million currently, and in six months
we’ll be in 200 million.
– 35 million have, what,
downloaded the app?
– No we’re available in
over 35 million homes
just in North America.
– What do you mean we’re available?
What does that mean?
– You’re available? What does that mean?
– So just like broadcast
televisions is available
in so many homes, that’s
our reach essentially.
– So you’re on like Apple TVs?
– Apple TV, Chromecast, Roku, iOS,
Android, Amazon Fire, the web.
– How many hours of television
is consumed every month?
– Our average consumer
consumes 3.9 hours per week.
– They’re subscription
and there’s advertising.
– Mmhm.
– How many have actually
paid for subscription?
– We had quite a few people
pay us for subscription.
But we’ve not spent a
single dollar on marketing.
Our biggest revenue comes
from working with brands.
– How do you get the best content?
Or are you buying the content?
Are you making the content?
– We’re licensing and we have originals.
We commission them, we do co-productions,
we work with other studios.
We have a co-production deal
with Funny or Die currently.
As well, we did a
co-production for their show
Gay of Thrones, which was
Emmy nominated this year.
– Gay of Thrones
– Yes.
– For understanding
Game of Thrones finally.
Pee ew, I love it.
– You’re grabbing the content as you go
and you’re building this following.
You say you have 35
million reach or whatever,
but how many people are
actually watching your network?
– We have an average of 100
to 200 thousand impressions
organically since a couple months ago.
– How’s that impression measured?
– And impression is a view.
So you actually watch something
for more than a second,
then we’re actually qualifying
that as an impression
and our number two market is India,
with no spend, no marketing spend at all.
And if you don’t know this already,
they just decriminalized LGBTQ in India.
So Brazil’s in our top ten,
China’s in our top ten.
– What I’m wondering
about is, I mean Netflix
is spending hundreds
of millions of dollars
making movies.
So that content’s going
to be really top notch.
And they’re going to be
able to target the LGBT
community because they’re going to say,
hey, clearly they have an
interest in in this kind of thing.
So why would people say,
okay I want to go with Revry
when I can get all the
same stuff on Netflix?
– Our audience is Gen-z and millennial.
They can sniff out
inauthenticity in a second
and they don’t go for it.
If they feel like you’re
just doing it because
you want to capitalize off their community
they’re going to turn
their televisions off.
But authentically, our
business is the community.
– They are really specialized.
And everything they watch is
going to be down that alley.
So it’s quite different, I think.
– And the big thing too is,
Netflix, they’re not targeting
our community.
Right, if you think of Queer
Eye for the Straight Guy,
that is for a main stream
heterosexual cis gender audience.
It’s not for our community.
And they only have a
limited amount of content
that targets our community.
– What I love about it
is it’s got tightly knit
passionate community.
And that’s what I look for
in companies, is passion
because that’s where your
marketing ends up being.
The thing that I want you to focus on is
really get your top ten percent of users
using it just all the time.
Target them and everyone else will come.
Top ten percent.
You’re working in Netflix’s blind spot.
That’s what I’m thinking.
– Totally.
– Keep doing that just own it.
– Yeah.
– The numbers
– Yes.
– How much money have you raised?
– We have only raised
879,000 in two rounds
seed and a seed extension.
– What is the balance sheet look like now?
Not much right?
– No, built the content,
focused on evangelizing
the brand and understanding the market.
– The number I’m trying to get to
is how many people are
actually watching this.
And then, how many people
have signed up on your site
and you actually have their email address
or their credit card.
– Over 20,000
– Yeah, that’s terrific.
– Good job.
– Thanks.
– Well thanks so much for
coming to Meet the Drapers.
– Yes, great to meet you.
– Nice meeting you.
– It was so exciting to be
able to explain everything
that we’re doing
and I think they really got it.
They understand the opportunity,
they understand the market,
they understand the vision.
And that this is such a
big, big, opportunity.
– You know, I think Bill Draper, the dad
was the most interested.
He understood the LGBTQ
community and he understood
the purchasing power and
the scale on a global level
of what we’re actually
creating with Revry.
I hope he invests.
And look, the world is changing.
Its views on our community
are ever expanding
thanks to marriage equality
here in the United States.
If you’re a queer person in
Saudi Arabia, in South Africa,
in India, in China, in Brazil,
you know, that if you
got a little extra change
in your pocket, investing
in something like Revry
and seeing an authentic
representation of your story
is important to media
and the further growth
and acceptance and equality for
LGBTQ people across the world.
– Anyway, let’s see what
the judges thought of Revry.
What’d you think?
– I think the CEO embodies
the brand which I love.
And it’s a big market, but
a very passionate group.
There’s a good shot that
they could slowly grow
and own Netflix’s blind spot.
They can’t think that they’re
competing with Netflix right now.
Everything is a big market now.
So I love focused markets.
– There is some brilliance to this because
that is a very positive community.
– Dad, what’d think?
– The focus of their
attention on a very clear
growing market is important.
And I think they just need to get a little
small piece of it, and
there’ll be a lot of interest
and advertisers will love it.
– I love the market and
I thought she was great
operations person.
He is so fast talking that
I got a little nervous
about where the money went.
– Not a money guy.
– No, true, he’s got the vision.
– He’s got the vision!
– And people are going
to love him because of that vision.
But he is– that money will just disappear
nobody’s going to know where it is
unless she runs that part of the business.
– They only raised a mill–
I mean it’s a lot of money,
but a million dollars
– That’s the other thing I didn’t like.
He said, well it’s only 970,000 dollars.
And I thought, whenever they
say, only, I think wait.
I like when they say, we’ve already raised
and it only took us, 950,000 dollars
to get to where we are,
which is fantastic.
– Right
– Took a while to get down
to, yes about 20,000 people
have actually signed on.
– We needed the program.
– It’s not 35 million homes
that they’re reaching,
it’s 25,000 people.
– Which is great!
– Which is something I
was thinking was great.
– I mean, 25,000 and
they’re making 300K a year.
Like, that’s a business.
– It’s a business.
I know, could be a good business.
Okay, well, let’s see
what the crystal ball
tells us about Revry.
– Revry
– Thumbs up, thumbs
down, thumbs all around!
– I’m at three quarters, maybe two thirds.
– You have to commit.
– No no, I’m good.
– You’re good?
– I’m good.
– I’m good.
– Now come to Crypto Corner
where I will interview
a crypto awesome person.
(upbeat jingle)
– Well I’m heart Crypto
Corner with Daniel De Silva.
VeriDoc is a security company
that uses the blockchain
to secure data.
So why don’t you fill us
in, tells us more about it.
– So VeriDoc Global started in March 2015.
That originated, got our currency
here when Lindsey Maloney
our CEO for Tanzania used
to work in the education
and the mining space.
And in Australia, people
were jumping behind
big mining trucks and they
were crashing these things
because they weren’t
qualified to drive them.
So what they did was they
designed a piece of software
that allowed an employer to scan a ticket
and they could very quickly see whether
they were actually qualified to drive
that piece of machinery.
A few years later, we ported
that piece of software
onto the blockchain, which
made it even more secure.
And today we’ve got our blockchain
leverage verification system.
– Is that your target audience?
– Our target audience is
federal governments, banks,
universities, basically document issuers.
So anyone that’s producing
an official piece of document
whether it’s an academic
qualification or a passport
or a drivers license, we’re
interested in helping them
secure that document so that
the end user, all of us,
could just pull out a
mobile phone, scan a QR code
on that document, and very
quickly see whether that
piece or document is authentic or a fake.
– So universities, that is
a big part of your market.
– Academic qualifications
get copied and produced
all the time by black markets.
So we had a doctor with
fake qualifications
doing operations on
people that were dying.
Fake gynecologists, fake paramedics.
– So as a patient, will
I be able to go up and
scan my doctor’s ID?
– Perhaps in the future.
Because we work with the document issuers,
it has to come from the government level.
It’s no good if a student
of Draper University
uploading their own
document onto the blockchain
because it could’ve been
a fake one to begin with.
– Are you somehow stopping identity fraud?
– Identity fraud is a big one.
There’s all sorts of fraud, and I think
being able to secure any sort of document
is going to prevent
fraudsters and scammers
from taking advantage of people like us.
– What happens in ten years,
what happens to your business?
How does it evolve?
– I guess in ten years time,
we look at a possibility
of everything being digitized
and only having a digital copy.
I don’t think that’s going
to happen in the short term
because I can’t imagine at an airport
showing a passport on
their mobile phone device.
Everyone still needs a piece of paper.
– Think of all the
things we do around trust
to protect ourselves because of people
who can hack into different things.
What if identity were nailed,
beyond any shadow of a doubt
I know it’s you, once
there’s complete trust.
So what happens to your
business when that happens?
– We all win.
We’ve got a utility token
that allows the user to create
that transaction on the blockchain.
So as more and more
governments and our banks
start to use our solutions,
demand for our token will increase.
Governments will get the
benefit of less fraud.
– But do you think the people
who would buy those tokens
are going to be the academic
institution and the government
or are they going to be individuals?
– It’ll be both.
The institutions are by
far the ones that are
going through the most education.
And as they see the benefit,
they’re the ones that
are also buying the tokens
because they need the tokens
to secure their documents.
But the end user who gets
a benefit of verifying
a document for free, also
sees a benefit of the tokens.
So a lot of those end user
end up becoming investors.
– Terrific, is there anything
else you want to add?
– No.
– You’ve had enough!
Ha ha ha!
Well thanks for joining
me here on Crypto Corner.
– Thank you very much.
– This is terrific.
Great, all the best to you.
– Let’s wrap it up.
We had a great day!
– We sure did.
– This was terrific.
– Wonderful entrepreneurs,
every one of them.
I love them all.
– They were the heroes.
– And they’re the heroes.
– I think they were all pretty good.
– Which one was your
favorite of the three?
– So Dispatch, they’re a
victim of me knowing too much.
(laughing)
And Cloudastructure, he wants
to win, he’s a great salesman
he’s going to be selling
to the enterprise,
he needs to be a good salesman.
And then, Revry, they’re
just excited and happy
and I want them to win.
That’s my favorite.
– What was your favorite?
– Same.
– My favorite was Dispatch
because I’ve seen this data thing
and I know where it’s going.
I have good sense for what
is going to happen with data.
You’re going to have your own data,
and then you’re going to
give it up into the cloud
and these guys have somehow
solved anonymity of data.
– The bottom line, who
is the best entrepreneur?
– Venture capitalist, I agree.
(laughing)
– What really works, no joke,
is who the entrepreneurs are.
I don’t know who would be
the best, even in my mind,
but I think whoever it
is, they have the passion
they have the fortitude, the
willingness to break walls down
stick-to-it-iveness in
case things go wrong,
and they often do.
And I learned a lot
from just the questions
that you guys asked.
So I think being with you
is a good education for me.
– And it’s also a little
bit of a family gathering.
– That’s right.
– Kind of a fun thing.
– We’re all so busy.
– This is the only chance
we get to get together.
– Well we have a standing
breakfast every two weeks
where we’ve sort of
decided not to invite you.
(laughing)
– For good reason.
Well anyway, we met
some good entrepreneurs,
we had fun together.
This has been very good
– And we’ll see for breakfast on Thursday.
– See you there.
And in the mean time,
– Don’t invite Tim
(laughing)
– So great, let’s see.
Is there something we kind of
want to conclude with here?
We’re just before the finale.
– Okay, what’s the most common advice
that you give entrepreneurs?
– Actually a couple things.
One is, think bigger.
– Okay, think bigger.
– Are you uniquely qualified for this?
Do you really care about this?
And how are you going to make money?
Are you going to actually have customers
that are willing to pay you?
So those three things.
So if you’re an entrepreneur out there,
think about those three things.
– My advice, really funny,
his is think bigger, mine is focus.
That’s the one thing I just
drill into people’s heads
is like, execute
– Focus on one big thing
– Focus on the one thing.
– And what’s your big piece of advice?
– I like both of those and I also think
first of all, you have to have the passion
and the drive to be able to put up
with very difficult times.
And you have to recognize
without your energy
and drive and creativity, too, of course,
this company is going nowhere.
But, having said that, it’s very important
to round out your soft spots.
Areas where you’re not so good.
Find somebody as strong
as you are, or stronger
to cover that area.
Thank you all, and Adam
thank you for making time.
I know this is really
difficult because Boost
is really taking off.
– Boom!
– But it was good of you
to spend a day with us
interviewing these entrepreneurs.
For the rest of you, come back next week
for our finale at
Meet the Drapers!
– The biggest blockchain
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on the West Coast, welcome to Token Fest.
– Blockchain will impact every
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– My name is Nathan
Nichols, CEO of Tax Token.
– My name is Graham Goddard,
I’m with All Public Art,
monetizing art in a way
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– Has the potential to
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– Will be used in two days, to require the
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– We’re using blockchain–
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– Blockchain
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– Thank you for coming,
this is the beginning.
– Living long and blockchain.