Quarterly report pursuant to Section 13 or 15(d)

Consolidated Condensed Statements of Cash Flows (Unaudited)

v3.19.1
Consolidated Condensed Statements of Cash Flows (Unaudited) - USD ($)
3 Months Ended
Mar. 31, 2019
Mar. 31, 2018
CASH FLOWS FROM OPERATING ACTIVITIES    
Net loss $ (1,044,862) $ (2,402,820)
Adjustments to reconcile net loss to net cash (used in) operating activities:    
Depreciation 137,361 232,006
Amortization of patents and website 17,794 12,120
Realized loss on sale of digital currencies 608 11,067
Change in fair value of warrant liability 37,734 (1,453,257)
Stock based compensation 282,180 329,525
Amortization of debt discount 1,944,772
Amortization of right-of-use assets 21,795
Bad debt allowance 6,826
Changes in operating assets and liabilities:    
Digital currencies (230,694) (199,582)
Lease liability (21,441)
Litigation liability (2,150,000)
Prepaid expenses and other assets 55,364 (91,183)
Accounts payable and accrued expenses (66,975) 110,104
Net cash used in operating activities (811,136) (3,650,422)
CASH FLOWS FROM INVESTING ACTIVITIES    
Sale of digital currencies 224,449 120,470
Acquisition of patents (250,000)
Purchase of property and equipment (5,800,629)
Net cash provided by (used in) investing activities 224,449 (5,930,159)
Effect of foreign exchange rate changes   15
Net decrease in cash and cash equivalents (586,687) (9,580,566)
Cash and cash equivalents - beginning of period 2,551,171 14,948,529
Cash and cash equivalents - end of period 1,964,484 5,367,963
Supplemental schedule of non-cash investing and financing activities:    
Par value adjustment due to reverse split 1
Conversion of Series E Preferred Stock to common stock 357
Par value adjustment due to reverse split 960,000
Common stock issued for note conversion 2,095,588
Restricted stock issuance 39
Warrants exercised into common shares $ 55,791