DERIVATIVE INSTRUMENT LIABILITIES

12 Months Ended

Dec. 31, 2018

Notes to Financial Statements

NOTE 7. DERIVATIVE INSTRUMENT LIABILITIES

The fair market value of the derivative instruments liabilities at December 31, 2018, was determined to be $3,714,980 with the following assumptions: (1) risk free interest rate of 2.44%, (2) remaining contractual life of 0.01, (3) expected stock price volatility of 136%, and (4) expected dividend yield of zero. Based upon the change in fair value, the Company has recorded a loss on derivative instruments for the year ended December 31, 2018, of $24,349,064 and a corresponding decrease in the derivative instruments liability.

	Derivative Liability as of		Derivative Liability as of		Gain for the year ended
	December 31, 2018		December 31, 2017		December 31, 2018
Notes	$	3,714,980	$	28,070,530	$	24,355,550
Amount allocated to note discounts at inception						-
Gain for year ended December 31, 2018					$	24,355,550