Annual report pursuant to Section 13 and 15(d)

Consolidated Statements of Cash Flows

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Consolidated Statements of Cash Flows - USD ($)
 12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
CASH FLOWS FROM OPERATING ACTIVITIES:    
Net loss $ (12,343,858) $ (9,100,686)
Adjustments to reconcile net loss to net cash used in operating activities:    
Depreciation and amortization expense 804,763 219,833
Amortization of debt discount and non-cash interest expense 2,760,515 89,787
Change in fair market value of derivative liabilities (1,573,792)
Goodwill impairment 913,184
Gain on forgiveness of paycheck protection loan (112,338)
Gain on settlement of lease (1,660)
Loss on disposal of assets 71,872
Fair value of stock options vested 3,568,461 2,943,499
Common stock issued for services 280,174
Gain on settlement of debt (201,097)
Amortization of long-term assets 20,000  
Changes in operating assets and liabilities:    
Accounts receivable 15,975 (1,570)
Inventory (3,468) (99,372)
Advances to officers 16,941 (9,399)
Prepaid expenses and other current assets (243,325) (95,920)
Other long-term assets   (95,000)
Accounts payable and accrued expenses (365,903) 112,504
Accrued interest 697,961
Operating lease liabilities, net 233 (70,176)
NET CASH USED IN OPERATING ACTIVITIES (5,935,070) (5,866,792)
CASH FLOWS FROM INVESTING ACTIVITIES:    
Purchase of property and equipment (33,293) (58,647)
NET CASH USED IN INVESTING ACTIVITIES (33,293) (58,647)
CASH FLOWS FROM FINANCING ACTIVITIES:    
Proceeds from convertible notes payable 3,750,000
Proceeds from convertible notes payable, net of issuance costs 6,421,610
Proceeds from note payable 3,469,982
Repayment of related party loans (140,989)
Repayment of convertible notes payable (30,000)
Repayment of notes payable and interest (320,000)
Repayment of promissory note (574,133)
NET CASH PROVIDED BY FINANCING ACTIVITIES 5,930,621 6,645,849
Effect of exchange rate changes on cash 93 (3,990)
NET CHANGE IN CASH (37,649) 716,420
CASH AT BEGINNING OF THE YEAR 785,363 68,943
CASH AT END OF THE YEAR 747,714 785,363
Supplemental Disclosure of Cash Flow Information    
Cash paid for interest 148,169 72,000
Cash paid for taxes
Supplemental Disclosure of Non-Cash Investing and Financing Activities    
Intangible assets recorded at acquisition 11,113,000
Goodwill recognized at acquisition 913,184
Shares issued for acquisition 7,240,229
Net assets assumed in merger (1,193,499)
Accounts payable settled with share issuance 129,850
Convertible notes payable and accrued interest converted to common shares 13,921,427
Services received settled with derivative warrants 156,399
Convertible notes payable assumed at merger 2,451,641
Notes payable converted into convertible notes payable 4,119,982
Notes payable assumed in merger 320,000
Accrued interest converted into convertible notes payable $ 208,425