Quarterly report pursuant to Section 13 or 15(d)

Consolidated Condensed Statements of Cash Flows (Unaudited)

v3.19.3
Consolidated Condensed Statements of Cash Flows (Unaudited) - USD ($)
9 Months Ended
Sep. 30, 2019
Sep. 30, 2018
CASH FLOWS FROM OPERATING ACTIVITIES    
Net loss $ (2,365,149) $ (8,419,922)
Adjustments to reconcile net loss to net cash (used in) operating activities:    
Depreciation 412,083 1,405,147
Amortization of patents and website 53,382 48,222
Realized (gain) loss on sale of digital currencies (13,208) 73,533
Change in fair value of warrant liability 7,753 (1,593,481)
Stock based compensation 620,030 496,435
Amortization of debt discount 2,290,028
Amortization of right-of-use assets 67,602
Bad debt allowance 6,826
Break-up fee - issuance of shares to GBV 2,850,000
Changes in operating assets and liabilities:    
Accounts receivables (102,098)
Digital currencies (908,175) (1,098,073)
Lease liability (66,707)
Litigation liability (2,150,000)
Prepaid expenses and other assets 154,930 (457,329)
Accounts payable and accrued expenses (163,822) (631,873)
Net cash used in operating activities (2,201,281) (7,282,585)
CASH FLOWS FROM INVESTING ACTIVITIES    
Sale of digital currencies 918,502 1,024,540
Acquisition of patents (250,000)
Purchase of property and equipment (5,224) (5,251,719)
Net cash provided by (used in) investing activities 913,278 (4,477,179)
CASH FLOWS FROM FINANCING ACTIVITIES    
Proceeds from issuance of common stock/At-the-market offering 83,453
Offering costs for the issuance of common stock/At-the-market offering (3,636)
Net cash provided by financing activities 79,817
Effect of foreign exchange rate changes 15
Net decrease in cash and cash equivalents (1,208,186) (11,759,749)
Cash and cash equivalents - beginning of period 2,551,171 14,948,529
Cash and cash equivalents - end of period 1,342,985 3,188,780
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 551
Common stock issued for acquisition of patents 960,000
Common stock issued for purchase of assets 2,233,773
Common stock issued for note conversion 3,055,588
Restricted stock issuance 44
Mining servers payable 1,852,477
Warrants exercised into common shares $ 55,791