STOCK OPTIONS, RESTRICTED STOCK AND WARRANTS (Tables)

3 Months Ended

Mar. 31, 2018

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Schedule of Weighted-average Assumptions Used to Estimate the Fair Values of Stock Options Granted

The following table presents the weighted-average assumptions used to estimate the fair value of the stock options granted during the three months ended March 31, 2018:


Risk Free Interest Rate		2.39	%
Expected Volatility		201.48	%
Expected Life (in years)		5.0
Dividend Yield		0	%
Weighted average estimated fair value of
options during the period	$	0.18

Schedule of Stock Option Activity

	Options Outstanding
						Weighted -
						Average
						Remaining		Aggregate
				Weighted-		Contractual		Intrinsic
	Number of			Average		Term		Value
	Shares			Exercise Price		(in years)		(1)

Balance as of December 31, 2017		22,013,529		$	0.11

Granted		1,000,000			0.21
Exercised		(5,000,000	)		0.07
Balance March 31, 2018		18,013,529		$	0.13

Exercisable at March 31, 2018		15,513,529		$	0.14		4.6	$	2,795,335

(1)

The aggregate intrinsic value is calculated as the difference between the exercise price of the underlying awards and the quoted price of the Company’s common stock for options that were in-the-money at each respective period. As of March 31, 2018, the aggregate intrinsic value of options exercised under the Company’s stock option plans was $2,795,335.

Summary of the Activities of Unvested Stock Options

The following table summarizes the activities for the Company’s unvested stock options for the three months ended March 31, 2018:

	Unvested Options
				Weighted -
				Average
				Grant
	Number of Unvested			Date Exercise Price
	Options
Balance December 31, 2017		2,666,666			$	0.06

Granted		1,000,000				0.21

Vested		(1,166,666	)			0.11

Balance March 31, 2018		2,500,000			$	0.10

Schedule of Warrant Activity

The following table summarizes the activities for the Company’s warrants for the three months ended March 31, 2018:

	Warrants Outstanding
	Number of Shares			Weighted- Average Exercise Price		Weighted - Average Remaining Contractual Term in years)			Aggregate Intrinsic Value (in 000's) (1)

Balance, December 31, 2017		32,292,580		$	0.30
Granted		18,262,994			0.15
Exercised		(14,712,459	)		0.10
Cancelled/Forfeited		(4,950,000	)		0.40

Balance, March 31, 2018		30,893,116		$	0.22		4.4

Exercisable at March 31, 2018		30,893,116		$	0.22		4.4	$	5,515

(1)	The aggregate intrinsic value is calculated as the difference between the exercise price of the underlying warrants and the closing stock price of $0.28 for our common stock on March 31, 2018.

- Definition

Tabular disclosure of warrants or rights issued. Warrants and rights outstanding are derivative securities that give the holder the right to purchase securities (usually equity) from the issuer at a specific price within a certain time frame. Warrants are often included in a new debt issue to entice investors by a higher return potential. The main difference between warrants and call options is that warrants are issued and guaranteed by the company, whereas options are exchange instruments and are not issued by the company. Also, the lifetime of a warrant is often measured in years, while the lifetime of a typical option is measured in months. Disclose the title of issue of securities called for by warrants and rights outstanding, the aggregate amount of securities called for by warrants and rights outstanding, the date from which the warrants or rights are exercisable, and the price at which the warrant or right is exercisable.

+ References + Details