DEBT

3 Months Ended

Mar. 31, 2022

Debt Disclosure [Abstract]

DEBT

NOTE 6 – DEBT

Our debt consisted of the following:

	March 31, 2022			December 31, 2021
Loan with the U.S. Small Business Administration dated 4/19/20 [1]	$	536,421		$	531,798
Long term notes for APEX lease buyback [2]		10,105,981			10,870,861
Total debt		10,642,402			11,402,659
Less: Current portion [12]		(2,909,513	)		(2,947,013	)
Debt, long term portion	$	7,732,889		$	8,455,646

[1]

In April 2020 we received proceeds of $500,000 from a loan entered into with the U.S. Small Business Administration. Under the terms of the loan interest is to accrue at a rate of 3.75% per annum and installment payments of $2,437 monthly will begin twelve months from the date of the loan, with all interest and principal due and payable thirty years from the date of the loan. During the three months ended March 31, 2022 we recorded $4,623 worth of interest on the loan.

[2]

During the year ended March 31, 2021 we entered into notes with third parties for $19,089,500 in exchange for the cancellation of APEX leases previously entered into, which resulted in our purchase of all rights and obligations under the leases. We agreed to settle a portion of the debt during the year ended March 31, 2021, at a discount to the original note terms offered, by making lump sum payments, issuing shares of our common stock, issuing shares of our preferred stock, and issuing cryptocurrency. The remaining notes are all due December 31, 2024 and have a fixed monthly payment that is equal to 75% of the face value of the note, divided by 48 months. The monthly payments began the last day of January 2021 and continue until December 31, 2024 when the last monthly payment will be made, along with a balloon payment equal to 25% of the face value of the note, to extinguish the debt. During the three months ended March 31, 2022 we repaid a portion of the debt with cash payments of $269,362 and issuances of cryptocurrency valued at $495,518.