The equity incentive plan of the Company was established in February of 2017. The Board of Directors of the Company may from time to time, in its discretion grant to directors, officers, consultants and employees of the Company, non-transferable options to purchase common shares, provided that the number of options issued do not exceed 20,000,000. The options are exercisable for a period of up to 4 years from the date of the grant. The number of shares authorized to be issued under the equity incentive plan was increased from 10,000,000 to 20,000,000 through consent of stockholders to amend and restate the equity incentive plan.

The average fair value of stock options granted was estimated to be $0.14 and $0.07 per share for the period ended June 30, 2021 and June 30, 2020. This estimate was made using the Black-Scholes option pricing model and the following weighted average assumptions:

	2021		2020

Expected option life (years)	2-4		2 - 4
Expected stock price volatility	227 to 254%		227 to 230%
Expected dividend yield		-		—
Risk-free interest rate	0.44 to 0.54%		0.44 to 0.54%

A summary of option activity under the employee share option pan as of June 30, 2021 and changes during the year then ended is presented below.

	Shares			Weighted-Average Exercise Price		Weighted-Average Remaining Contractual Price		Aggregate Intrinsic Value

Options:
Outstanding at July 1, 2020		12,558,375		$	0.07
Granted		7,254,124		$	0.14
Exercised, converted		-		$	0.00
Forfeited / exchanged / modification		(6,218,240	)	$	0.07
Outstanding at June 30, 2021		13,594,259		$	0.11		2.5	$	155,693
Exercisable at June 30, 2021		5,509,213		$	0.08		3.0

Number of options available for grant at end of period		426,870

A summary of the status of the Company’s nonvested shares as of June 30, 2021, and changes during the year ended June 30, 2021, is presented below:

Options	Shares			Weighted-Average Grant-Date Fair Value
Nonvested at July 1, 2020		12,558,375		$	0.07
Granted		7,254,124		$	0.14
Vested		(1,464,080	)	$	0.07
Forfeited		(6,218,240	)	$	0.07
Nonvested at June 30, 2021		12,130,179		$	0.11

Stock-based compensation expense attributable to stock options was approximately $326,506 for the year ended June 30, 2021. As of June 30, 2021, there was approximately $2,415,541 of unrecognized compensation expense related to 12,130,179 nonvested stock options outstanding, and the weighted average vesting period for those options was 3 years.

Warrants

At June 30, 2021, the Company had outstanding warrants to purchase the Company’s common stock which were issued in connection with multiple financing arrangements. Information relating to these warrants is summarized as follows:

Warrants	Remaining Number Outstanding		Weighted Average Remaining Life (Years)		Weighted Average Exercise Price
Warrants - SEDA Financing		86,957		1.80	$	1.15
Warrants - Issued with Convertible Notes		600,000		2.23	$	0.75
Warrants - Securities Purchase Agreement		360,577		3.02	$	0.78
Warrants A - Securities Purchase Agreement		28,072,364		3.02	$	0.16
Total		29,119,898
Aggregate intrinsic value at June 30, 2021	$	0