FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)

3 Months Ended

Mar. 31, 2019

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of fair value on a recurring basis

Financial liabilities as of March 31, 2019 measured at fair value on a recurring basis are summarized below:

	March 31, 2019		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Derivative liability	$	47,996	$	—	$	—	$	47,996
Warrant liability		1,062,411		—		—		1,062,411
Total	$	1,110,407	$	—	$	—	$	1,110,407

Financial liabilities as of December 31, 2018 measured at fair value on a recurring basis are summarized below:

	December 31, 2018		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Derivative liability	$	54,242	$	—	$	—	$	54,242
Warrant liability		925,806		—		—		925,806
Total	$	980,048	$	—	$	—	$	980,048

Schedule of fair value of the conversion/exercise options

The fair value of the conversion/exercise options were calculated using a binomial lattice formula with the following weighted average assumptions during the three months ended March 31, 2019 and the year ended December 31, 2018:

Conversion option:

	March 31,				December 31,
	2019				2018
Common Stock Closing Price		$	0.035		$	0.03
Conversion Price per Share		$	0.075 to 0.10		$	0.075 to 0.10
Conversion Shares			5,333,333			5,333,333
Call Option Value			0.011 to 0.0056			0.013 to 0.055
Dividend Yield			0.00	%		0.00	%
Volatility			222.77	%		221.92	%
Risk-free Interest Rate			2.40% to 2.44	%		2.46% to 2.51	%
Term			0.25 to 0.375 years			0.32 to 0.625 years

Exercise option:

	March 31,				December 31,
	2019				2018
Common Stock Closing Price		$	0.035		$	0.03
Conversion Price per Share		$	0.10 to 0.15		$	0.10 to 0.15
Conversion Shares			34,000,000			34,000,000
Call Option Value			0.029 to 0.033			0.026 to 0.028
Dividend Yield			0.00	%		0.00%
Volatility			222.77	%		221.92%
Risk-free Interest Rate			2.21 to 2.27	%		2.46 to 2.51	%
Term			2.07 to 3.85 years			2.62 to 4 years

Schedule of change in Company's Level 3 conversion note and warrant liability

The following tables set forth a summary of the changes in the fair value of the Company’s Level 3 financial liabilities that are measured at fair value on a recurring basis using significant unobservable input for the three months ended March 31, 2019 and 2018:

	Debt			Warrant
	Derivative			Liability
Balance, December 31, 2018	$	54,242		$	925,806
Aggregate amount of derivative instruments issued		—			—
Transferred in due to conversions		—			—
Change in fair value of derivative liabilities		(6,246	)		136,605
Balance, March 31, 2019	$	47,996		$	1,062,411

	Debt			Warrant
	Derivative			Liability
Balance, December 31, 2017	$	429,141		$	1,099,200
Aggregate amount of derivative instruments issued		—			226,833
Transferred in due to conversions		(273,080	)		—
Change in fair value of derivative liabilities		179,952			1,228,703
Balance, March 31, 2018	$	336,013		$	2,554,736