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5. Changes in Stockholders' Equity (Deficit)
3 Months Ended
Mar. 31, 2017
Equity [Abstract]  
Changes in Stockholders' Equity (Deficit)

In October 2012, the Company granted employees options to purchase 3,000,000 shares of common stock exercisable at $0.01 per share with a three year vesting schedule and expiration dates four years from the grant date. In August 2015, one of the employees resigned from the Company and forfeited his 1,000,000 stock options. As of December 31, 2016, the remaining 2,000,000 stock options expired.

 

In April 2014, the Company granted 10,000,000 stock options to purchase 10,000,000 shares of its common stock to the Company’s chief executive officer, exercisable at $0.025 per share with a three year vesting schedule and an expiration date of April 17, 2019. For the three month periods ended March 31, 2017 and 2016, the stock-based compensation related to these option grants was $8,500 and $8,500, respectively.

 

In September 2014, the Company granted employees options to purchase 1,500,000 shares of common stock each exercisable at $0.02 per share with a three year vesting schedule and an expiration date of September 1, 2018. In July 2015, one of the employees was terminated from the Company and forfeited his 750,000 stock options prior to the first vesting milestone. For the three month periods ended March 31, 2017 and 2016, the stock-based compensation related to these option grants was $625 and $625, respectively.

 

In May 2015, the Company granted 750,000 options to one employee to purchase 750,000 shares of common stock, exercisable at $0.02 per share with a three year vesting schedule and an expiration date of May 14, 2019. For the three month periods ended March 31, 2017 and 2016, the stock-based compensation related to these option grants was $1,000 and $1,000, respectively.

 

During the three months ending March 31, 2016, Wytec issued 311,250 shares of Wytec Series B Preferred Stock and 311,250 common stock purchase warrants for $933,750 in cash.

 

During the three months ended March 31, 2017 Wytec issued 40,000 shares of Wytec Series B Preferred Stock and 40,000 Wytec common stock purchase warrants for $120,000 in cash and 10,000 shares of Wytec Series B Preferred Stock and 10,000 Wytec common stock purchase warrants in exchange for one Registered Link.

  

During the three months ending March 31, 2016, Wytec refunded $37,500 that had been received for the purpose of issuing 12,500 shares of Wytec Series B Preferred Stock to one investor. The shares of Wytec Series B Preferred Stock were never issued to the investor, and the funds were returned.

 

During the three months ending March 31, 2017, Wytec issued 384,868 shares of Wytec common stock in exchange for $569,052 in cash and the exercise of 384,868 common stock purchase warrants, and Wytec received $60,000 in cash for the purpose of exercising additional common stock purchase warrants but the holder has not executed the required documents.