Common and Preferred Stock

The Company is authorized to issue 10,000,000,000 shares of common stock and 1,000,000 shares of preferred A (each share convertible on one for one base for common stock, no voting rights), 10,000 shares of preferred A-2 convertible into four times the sum of all shares of common stock issued and outstanding with the same voting rights), 1,000,000 shares of preferred B (each share converted into 10 shares of common stock and has 10 votes for any election) and 1,000 shares of preferred C class (each share is not convertible and has voting rights equal to four time the sum of total common stock shares issued and outstanding plus the total number of series B, A and A-2 that are issued and outstanding.)

During the six months ended June 30, 2020, the Company did not issue any shares for compensation. During the six months ended June 30, 2019, the Company issued an aggregate of 775,000,000 shares of common stock for compensation of $77,500 valued at the stock price on grant date.

During the six months ended June 30, 2020, the Company issued 105,163,333 shares of common stock for interest conversion. During the six months ended June 30, 2019, the Company issued 2,001,133,771 shares of common stock for note or interest conversion of $172,643.

There were no warrants exercised during the six months ended June 30, 2020 and 2019.

Warrants

The Company accounted for the issuance of Warrants in conjunction with the issuance of convertible notes as an equity instrument and recognized the warrants under the Black-Scholes valuation model based on the Company’s market share price on the grant date.

The below table summarizes warrant activity during the six months ended June 30, 2020:

	Number of Shares			Weighted- Average Exercise Price
Balances as of December 31, 2019		1,436		$	750
Granted		-			-
Exercised		-			-
Forfeited		(1,410	)		-
Balances as of June 30, 2020		26		$	750

The following table summarizes information relating to outstanding and exercisable warrants as of June 30, 2020:

Warrants Outstanding

Warrants Exercisable

Weighted Average

Number

Remaining Contractual

Weighted Average

Number

Weighted Average

of Shares

life (in years)

Exercise Price

of Shares

Exercise Price

0.23

750

As of June 30, 2020, the aggregate intrinsic value of warrants outstanding was $0.00 based on the closing market price of $0.0005 on June 30, 2020.