Global Digital Solutions (GDSI) 10-K 19 Apr 21 2020 FY Annual report Financial data

Cover

Cover - USD ($)	12 Months Ended
	Dec. 31, 2020	Apr. 15, 2021	Jun. 30, 2020
Cover [Abstract]
Document Type	10-K
Amendment Flag	false
Document Annual Report	true
Document Period End Date	Dec. 31, 2020
Document Fiscal Period Focus	FY
Document Fiscal Year Focus	2020
Current Fiscal Year End Date	--12-31
Entity File Number	000-26361
Entity Registrant Name	GLOBAL DIGITAL SOLUTIONS INC
Entity Central Index Key	0001011662
Entity Incorporation, State or Country Code	NJ
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Public Float			$ 7,770,670
Entity Common Stock, Shares Outstanding		668,338,264

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($)	Dec. 31, 2020	Dec. 31, 2019
Current assets
Cash	$ 264	$ 493,402
Prepaid expenses		6,000
Total current assets	264	499,402
Other Assets
Prepaid Expense	520,000
Due from related entity	70,710
Equipment net of accumulated depreciation of $5,078 and $6,573, respectively	45,704	26,282
Software Development Cost	64,547
Total other assets	700,961	26,282
Total assets	701,225	525,684
Current liabilities
Accounts payable	486,594	539,614
Accrued expenses	1,343,880	714,244
Due to Officer	253,291
Financed insurance policy	11,187	11,187
Derivative liability	9,367,159	1,158,008
Convertible notes payable, net of discount of $195,434 and $218,484 respectively	1,429,450	577,138
Notes Payable	4,512,000	3,683,000
Total current liabilities	17,403,561	6,683,191
Long term liabilities
Notes payable	103,125
Liabilities	17,506,686	6,683,191
Stockholders' deficit
Preferred stock, $0.001 par value, 35,000,000 shares authorized, 1,000,000 shares issued and outstanding at December 31, 2019 and 2018, respectively	1,000	1,000
Common stock, $0.001 par value, 2,000,000,000 shares authorized, 668,338,264 and 643,121,923 shares issued and outstanding at December 31, 2020 and 2019, respectively	668,338	643,122
Additional paid-in capital	34,086,086	32,152,715
Accumulated deficit	(51,560,884)	(38,954,344)
Total stockholders' deficit	(16,805,461)	(6,157,507)
Total liabilities and stockholders' deficit	$ 701,225	$ 525,684

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($)	Dec. 31, 2020	Dec. 31, 2019
Statement of Financial Position [Abstract]
Accumulated depreciation	$ 5,078	$ 6,573
Convertible notes, unamortized discount	$ 195,434	$ 218,484
Preferred Stock, par value	$ 0.001	$ 0.001
Preferred Stock, Shares Authorized	35,000,000	35,000,000
Preferred Stock, Shares Issued	1,000,000	1,000,000
Preferred Stock, Shares Outstanding	1,000,000	1,000,000
Common Stock, par value	$ 0.001	$ 0.001
Common Stock, Shares Authorized	2,000,000,000	2,000,000,000
Common Stock, Shares Issued	668,338,264	643,121,923
Common Stock, Shares Outstanding	668,338,264	643,121,923

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($)	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019
Income Statement [Abstract]
Revenues
Cost of revenues
Gross profit
Operating expenses
Selling, general and administrative expenses	1,085,417	1,363,800
Total operating expenses	1,085,417	1,363,800
Loss from operations	(1,085,417)	(1,363,800)
Other (income) expense
Change in fair value of derivative liability	7,132,131	(461,275)
Financing costs	92,271
Interest expense	3,225,701	1,582,819
Amortization of Original issue discount	1,066,300	672,841
Impairment Loss		62,000
Loss (Gain) on conversion of liabilities		72,337
Loss on sale of Truck	4,720
Total other (income) expense	11,521,123	1,928,722
Net Income (Loss)	$ (12,606,540)	$ (3,292,522)
Net loss per common share, basic and diluted	$ (0.02)	$ (0.005)
Weighted average common shares outstanding, basic and diluted	634,290,506	615,339,126

CONSOLIDATED STATEMENTS OF STOC

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' DEFICIT - USD ($)	Common Stock	Preferred Stock	Additional Paid-In Capital	Accumulated Deficit	Total
Beginning Balance at Dec. 31, 2018	$ 579,901	$ 1,000	$ 30,785,442	$ (35,661,822)	$ (4,295,479)
Beginning Balance, Shares at Dec. 31, 2018	579,900,814	1,000,000
Shares Sold	$ 28,614		257,524		286,138
Shares Sold, in shares	28,613,888
Warrants Issued for conversion of debt			113,545		113,545
Shares issued for financing fees	$ 8,049		91,762		99,811
Shares issued for financing fees, in Shares	8,049,266
Shares issued for Acquisition	$ 5,000		57,000		62,000
Shares issued for Acquisition, in shares	5,000,000
Shares issued for services	$ 18,500		210,900		229,400
Shares issued for services, in shares	18,500,000
Reduction in derivative liability			639,600		639,600
Option exercise
Warrant exercise	$ 3,058		(3,058)
Warrant exercise, in shares	3,057,955
Net Loss				(3,292,522)	(3,292,522)
Ending Balance at Dec. 31, 2019	$ 643,122	$ 1,000	32,152,715	(38,954,344)	(6,157,507)
Ending Balance, Shares at Dec. 31, 2019	643,121,923	1,000,000
Shares Issued for conversion of debt	$ 14,088		104,162		118,250
Shares Issued for conversion of debt, in shares	14,088,333
Shares issued for financing fees	$ 4,096		21,259		25,355
Shares issued for financing fees, in Shares	4,096,053
Shares issued for services	$ 282		4,793		5,075
Shares issued for services, in shares	281,955
Reduction in derivative liability			1,743,907		17,439,074
Option exercise	$ 750		5,250		6,000
Option Exercise, in shares	750,000
Warrant exercise	$ 6,000		54,000		60,000
Warrant exercise, in shares	6,000,000
Net Loss				(12,606,540)	(12,606,540)
Ending Balance at Dec. 31, 2020	$ 668,338	$ 1,000	$ 34,080,835	$ (51,560,884)	$ (16,805,461)
Ending Balance, Shares at Dec. 31, 2020	668,338,264	1,000,000

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW (Unaudited) - USD ($)	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019
Cash flows from operating activities:
Net loss	$ (12,606,540)	$ (3,292,522)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation	5,078
Amortization of debt discount	1,066,300	672,841
Change in fair value of derivative liability	7,132,131	(461,275)
Stock-based compensation	5,075	229,400
Consulting fees added to note payable principal	240,000
Shares issued for financing costs	25,355	99,811
Impairment expense		62,000
Loss (Gain) on Settlement		72,337
Interest expense from derivative liability	1,724,378	1,156,778
Extension Fees		69,748
Loss on sale of asset	4,720
Extension fees added to principal balance	304,012
Changes in operating assets and liabilities:
Prepaid expenses	6,000	(6,000)
Accounts payable	34,978	(132,669)
Accrued expenses	586,516	10,273
Due to officer		47,000
Net cash used in operating activities	(1,471,997)	(1,472,279)
Cash flows from investing activities:
Purchase of Equipment		(26,282)
Software Development Cost	(64,547)
Purchase of Truck	(48,500)
Sale of truck	19,280
Advances to related party	(70,710)
Net cash (used in) investing activities	(164,477)	(26,282)
Cash flows from financing activities:
Proceeds from notes payable	803,125	1,550,000
Payments of notes payable		(382,000)
Proceeds from convertible notes payable	1,152,000	871,975
Payments of convertible notes payable	(424,000)	(342,250)
Payments to related party	(447,789)
Proceeds from exercise of warrants	60,000
Proceeds from sale of common shares		286,138
Proceeds from issuance of stock for equity incentive plan	6,000
Net cash provided by (used in) financing activities	1,143,336	1,983,863
Net (decrease) increase in cash and cash equivalents	(493,138)	485,302
Cash and cash equivalents at beginning of period	493,402	8,100
Cash and cash equivalents at end of period	264	493,402
Supplementary disclosure of non-cash investing and financing activities
Discount on notes payable	27,300	66,775
Debt repaid by officer	383,250
Accounts payable settled through stock issuance	88,000	539,930
Discount from derivative on convertible notes payable	976,500
Convertible debt settled through issuance of common shares	30,250
Reduction in derivative liability from payments on convertible notes	1,743,908
Discount from warrants issued with convertible notes payable		113,545
Payments to officer from proceeds of notes payable		113,545
Write off of fully depreciated assets		113,545
Shares issued for acquisition		113,545
Cashless warrant exercise		$ 113,545

DESCRIPTION OF BUSINESS

DESCRIPTION OF BUSINESS	12 Months Ended
	Dec. 31, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
DESCRIPTION OF BUSINESS	NOTE 1 – DESCRIPTION OF BUSINESS We were incorporated in New Jersey as Creative Beauty Supply, Inc. (“Creative”) in August 1995. In March 2004, Creative acquired Global Digital Solutions, Inc., a Delaware corporation (“Global”). The merger was treated as a recapitalization of Global, and Creative changed its name to Global Digital Solutions, Inc. (“the Company”, “we”), Global provided structured cabling design, installation and maintenance for leading information technology companies, federal, state and local government, major businesses, educational institutions, and telecommunication companies. On May 1, 2012, we made the decision to wind down our operations in the telecommunications area and to refocus our efforts in the area of cyber arms technology and complementary security and technology solutions. From August 2012 through November 2013, we were actively involved in managing Airtronic USA, Inc., and effective as of June 16, 2014 we acquired North American Custom Specialty Vehicles (“NACSV”). In July 2014, we announced the formation of GDSI International (f/k/a Global Digital Solutions, LLC) to spearhead our efforts overseas. The Company had limited operations from the NACSV subsidiary from December 31, 2015 until May 13, 2016. During the interim, the Company was pursuing acquisition opportunities and responding to the litigation with the Securities and Exchange Commission. Subsequent to May 13, 2016, the Company has been seeking acquisitions and additional financing. In March of 2019, the Company acquired HarmAlarm (“HA”). HA was formed in 2002 as a private Texas company to pursue Infrared commercial applications in the aviation services area. HA is developing an updated version of the system known as Pilot Assisted Landing Systems (PALS). We believe the precision and robustness of PALS has generated a host of new applications mainly through “landing trajectory” optimization which provides additional safety margin against weather related hazardous conditions, like wind shear, wake turbulence, icing, as well as low ceilings and fog.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Dec. 31, 2020
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Going Concern The accompanying financial statements have been prepared assuming we will continue as a going concern, which contemplates the realization of assets and the liquidation of liabilities in the normal course of business. We have sustained losses and experienced negative cash flows from operations since inception, and for the year ended December 31, 2020, incurred a net loss of $12,606,540 used net cash of $$1,471,997 to fund operating activities. At December 31, 2020, we had cash of $264, an accumulated deficit of $51,560,884 a working capital deficit of $17,403,295 and stockholders’ deficit of $16,805,459. We have funded our activities to date almost exclusively from equity and debt financings. Our cash position is critically deficient, and payments essential to our ability to operate are not being made in the ordinary course. Failure to raise capital in the coming days to fund our operations and failure to generate positive cash flow to fund such operations in the future will have a material adverse effect on our financial condition. These factors raise substantial doubt about our ability to continue as a going concern. We need to raise additional funds immediately and continue to raise funds until we begin to generate sufficient cash from operations, and we may not be able to obtain the necessary financing on acceptable terms, or at all. We will continue to require substantial funds to continue development of our core business. Management’s plans in order to meet our operating cash flow requirements include financing activities such as private placements of common stock, and issuances of debt and convertible debt instruments, and the establishment of strategic relationships which we expect will lead to the generation of additional revenue or acquisition opportunities. While we believe that we will be successful in obtaining the necessary financing to fund our operations, there are no assurances that such additional funding will be achieved or that we will succeed in our future operations. Our ability to achieve and maintain profitability and positive cash flow is dependent upon our ability to successfully execute the plans to pursue acquisitions and raise the funds necessary to complete such acquisitions. The outcome of these matters cannot be predicted at this time. The consolidated financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts or the amounts and classification of liabilities that might be necessary should we be unable to continue as a going concern. Principles of Consolidation The accompanying consolidated financial statements include the accounts of the Company and our wholly owned subsidiaries, NACSV, GDSI Florida, LLC, Global Digital Solutions, LLC and HarmAlarm. All intercompany accounts and transactions have been eliminated in consolidation. Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, equity-based transactions and disclosure of contingent liabilities at the date of the financial statements and revenues and expenses during the reporting period. Actual results could differ from those estimates. The Company believes the following critical accounting policies affect its more significant judgments and estimates used in the preparation of the financial statements. Significant estimates include the derivative liability valuation, deferred tax asset and valuation allowance, and assumptions used in Black-Scholes-Merton, or BSM, or other valuation methods, such as expected volatility, risk-free interest rate, and expected dividend rate. Income Taxes Income taxes are accounted for based upon an asset and liability approach. Accordingly, deferred tax assets and liabilities arise from the difference between the tax basis of an asset or liability and its reported amount in the financial statements. Deferred tax amounts are determined using the tax rates expected to be in effect when the taxes will actually be paid or refunds received, as provided under currently enacted tax law. Valuation allowances are established when necessary, to reduce deferred tax assets to the amount expected to be realized. Income tax expense or benefit is the tax payable or refundable, respectively, for the period plus or minus the change in deferred tax assets and liabilities during the period. Accounting guidance requires the recognition of a financial statement benefit of a tax position only after determining that the relevant tax authority would more likely than not sustain the position following an audit. For tax positions meeting the more-likely-than-not threshold, the amount recognized in the financial statements is the largest benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement with the relevant tax authority. The Company believes its income tax filing positions and deductions will be sustained upon examination and accordingly, no reserves, or related accruals for interest and penalties have been recorded at December 31, 2020 and 2019. The Company recognizes interest and penalties on unrecognized tax benefits as well as interest received from favorable tax settlements within income tax expense. On December 22, 2017, the President of the United States signed and enacted into law H.R. 1 (the “Tax Reform Law”). The Tax Reform Law, effective for tax years beginning on or after January 1, 2018, except for certain provisions, resulted in significant changes to existing United States tax law, including various provisions that are expected to impact the Company. The Tax Reform Law reduces the federal corporate tax rate from 34% to 21% effective January 1, 2018. The Company analyzed the provisions of the Tax Reform Law to assess the impact on the Company’s consolidated financial statements and determined it had no material impact. Cash and Cash Equivalents We consider all highly liquid investments with original maturities of three months or less to be cash equivalents. Prepaid expenses On December 31, 2020, the company has a Prepaid Expense account of $520,000. The prepaid expense is aircraft lease agreement with Valley Air Express a company controlled by William Delgado. The aircraft will be used for the testing of PALS system. The agreement is for one year and 200 hours of flight time at a cost of $2,600 per flight hour. See Note 1. Fair Value of Financial Instruments The carrying value of cash, accounts payable and accrued expenses approximate their fair values based on the short-term maturity of these instruments. The carrying amounts of debt were also estimated to approximate fair value. The Company utilizes market data or assumptions that market participants would use in pricing the asset or liability, including assumptions about risk and the risks inherent in the inputs to the valuation technique. These inputs can be readily observable, market corroborated, or generally unobservable. ASC 820 establishes a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (level 1 measurement) and the lowest priority to unobservable inputs (level 3 measurement). This fair value measurement framework applies at both initial and subsequent measurement. The three levels of the fair value hierarchy defined by ASC 820 are as follows: ● Level 1 – Quoted prices in active markets for identical assets or liabilities ● Level 2 –Quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, or other inputs that are observable, either directly or indirectly ● Level 3 – Significant unobservable inputs that cannot be corroborated by market data. Derivative Financial Instruments We account for conversion options embedded in convertible notes payable in accordance with the Financial Accounting Standards Board (“FASB”) Accounting Standard Codification (“ASC’) 815, “Derivatives and Hedging” Embedded Derivatives Derivative Liabilities Derivatives and Hedging – Contracts in Entity’s own Equity Change in fair value of derivative liability Earnings (Loss) Per Share (“EPS”) Basic EPS is computed by dividing net income (loss) by the weighted average number of shares of common stock outstanding. Diluted EPS includes the effect from potential issuance of common stock, such as stock issuable pursuant to the exercise of stock options and warrants and the assumed conversion of convertible notes. The following table summarizes the securities that were excluded from the diluted per share calculation because the effect of including these potential shares was antidilutive: Year Ended December 31, December 31, 2020 2019 Convertible notes and accrued interest 282,423,699 111,323,174 Preferred Stock 247,285,158 237,995,112 Stock options 13,650,002 13,650,002 Warrants 13,250,000 18,500,000 Potentially dilutive securities 556,608,859 381,428,288 Stock Based Compensation In accordance with ASC 718, “Compensation – Stock Compensation” the Company measures the cost of employee services received in exchange for share-based compensation measured at the grant date fair value of the award. The Company’s accounting policy for equity instruments issued to advisors, consultants, and vendors in exchange for goods and services follows the provisions of FASB ASC 505-50 . Convertible Instruments The Company evaluates and accounts for conversion options embedded in its convertible instruments in accordance with accounting standards for “Accounting for Derivative Instruments and Hedging Activities.” Accounting standards generally provides three criteria that, if met, require companies to bifurcate conversion options from their host instruments and account for them as free-standing derivative financial instruments. These three criteria include circumstances in which (a) the economic characteristics and risks of the embedded derivative instrument are not clearly and closely related to the economic characteristics and risks of the host contract, (b) the hybrid instrument that embodies both the embedded derivative instrument and the host contract is not re-measured at fair value under otherwise applicable generally accepted accounting principles with changes in fair value reported in earnings as they occur, and (c) a separate instrument with the same terms as the embedded derivative instrument would be considered a derivative instrument. Professional standards also provide an exception to this rule when the host instrument is deemed to be conventional as defined under professional standards as “The Meaning of Conventional Convertible Debt Instrument.” The Company accounts for convertible instruments (when it has determined that the embedded conversion options should not be bifurcated from their host instruments) in accordance with professional standards when “Accounting for Convertible Securities with Beneficial Conversion Features,” as those professional standards pertain to “Certain Convertible Instruments.” Accordingly, the Company records, when necessary, discounts to convertible notes for the intrinsic value of conversion options embedded in debt instruments based upon the differences between the fair value of the underlying common stock at the commitment date of the note transaction and the effective conversion price embedded in the note. Original issue discounts (“OID”) under these arrangements are amortized over the term of the related debt to their earliest date of redemption. The Company also records when necessary deemed dividends for the intrinsic value of conversion options embedded in preferred shares based upon the differences between the fair value of the underlying common stock at the commitment date of the note transaction and the effective conversion price embedded in the note. ASC 815-40 provides that, among other things, generally, if an event is not within the entity’s control could or require net cash settlement, then the contract shall be classified as an asset or a liability. Convertible Securities Based upon ASC 815-15, we have adopted a sequencing approach regarding the application of ASC 815-40 to convertible securities. We will evaluate our contracts based upon the earliest issuance date. In the event partial reclassification of contracts subject to ASC 815-40-25 is necessary, due to our inability to demonstrate we have sufficient shares authorized and unissued, shares will be allocated on the basis of issuance date, with the earliest issuance date receiving first allocation of shares. If a reclassification of an instrument were required, it would result in the instrument issued latest being reclassified first.

ACCRUED EXPENSES

ACCRUED EXPENSES	12 Months Ended
	Dec. 31, 2020
Payables and Accruals [Abstract]
ACCRUED EXPENSES	NOTE 3 – ACCRUED EXPENSES Accrued expenses consist of the following amounts: December 31, December 31, 2020 2019 Accrued compensation to executive officers 142,315 $ 262,984 Accrued professional fees and settlements 259,119 196,665 Accrued interest 942,446 254,595 Total accrued expenses $ 1,343,880 $ 714,244

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	12 Months Ended
	Dec. 31, 2020
Fair Value Disclosures [Abstract]
FAIR VALUE MEASUREMENTS	NOTE 4 – FAIR VALUE MEASUREMENTS We had no Level 1 or Level 2 assets and liabilities at December 31, 2020 and December 31, 2019. The Derivative liabilities are Level 3 fair value measurements. The following is a summary of activity of Level 3 liabilities during the years ended December 31, 2020 and 2019: Balance at beginning of period $ 1,158,008 $ 561,175 Additions 2,802,754 1,696,708 Settlements (1,743,734 ) (639,600 ) Change in fair value 7,132,131 (461,275 ) Balance at end of year $ 9,367,159 $ 1,158,008 Embedded Derivative Liabilities of Convertible Notes At December 31, 2020, the fair value of the bifurcated embedded derivative liabilities of convertible notes was estimated using the following weighted-average inputs: risk free interest rate – 0.08%; term – 0.31 years; volatility – 103.7%; dividend rate – 0%. At December 31, 2019, the fair value of the bifurcated embedded derivative liabilities of convertible notes was estimated using the following weighted-average inputs: risk free interest rate – 2.45%; term – .25 years; volatility – 193.28%; dividend rate – 0%.

NOTES PAYABLE

NOTES PAYABLE	12 Months Ended
	Dec. 31, 2020
Notes Payable [Abstract]
NOTES PAYABLE	NOTE 5 – NOTE PAYABLE Convertible Note Payable During January 2015, the Company entered into a one-year $78,750 convertible note payable with LG Capital Funding (LG). The note bears interest at 8% per annum and is convertible at any time at the option of LG into shares of our common stock at a conversion price equal to a 40% discount of the lowest closing bid price for 20 prior trading days including the notice of conversion date. The embedded derivative liability associated with the conversion option of the note was bifurcated from the note and recorded at its fair value on the date of issuance and at each reporting date. The note requires the Company to reserve four times the potential number of shares of common stock issuable upon conversion, or 157,974,360 and 82,557,576 at December 31, 2020 and 2019, respectively. The Company defaulted on the note in January 2016. Additionally, as a result of declines in the fair value of the Company’s common stock, from time to time the Company did not have sufficient authorized shares to maintain this required four times share reserve. Accordingly, the note holder had the right to accelerate the repayment of the note and unpaid interest. In addition, LG has the right to require that additional shares and/or monies be paid in connection with the defaults. During December 2017, in settlement of default, the Company and LG entered into a Convertible Note Redemption Agreement under which the Company was to repay $68,110, $39,921 in unpaid principal outstanding at December 31, 2017 and $28,189 in accrued interest, in five payments through April 2018. Through April 2018, the Company repaid $6,500 of principal under the Convertible Note Redemption Agreement. The Company defaulted on the Convertible Note Redemption Agreement in April 2018 and the $28,189 in accrued interest was converted to principal. As of December 31, 2020, and through the date of this report, the principal balance totaling $48,610 is outstanding and remains in default. During January 2015, the Company entered into a two-year convertible note payable for up to $250,000 with JMJ Financial (JMJ), of which $110,000 was funded between January and April 2015. The note was issued with an original issue discount of 10% of amounts funded, had a one-time 12% interest charge as it was not repaid within 90 days of the funding date, and is convertible at any time at the option of JMJ into shares of our common stock at the lesser of $0.075 per share or 60% of the average of the trading price in the 25 trading days prior to conversion. The embedded derivative liability associated with the conversion option of the note was bifurcated from the note and recorded at its fair value on the date of issuance and at each reporting date. The note requires the Company to reserve 26,650,000 shares of common stock. JMJ had the option to finance additional amounts up to the balance of the $250,000 during the term of the note. The Company defaulted on the note during January 2017. During December 2017, in settlement of default, the Company and JMJ entered into a Repayment Agreement under which the Company was to repay $84,514, $69,070 in unpaid principal outstanding at December 31, 2017 and $15,444 in accrued interest, in four payments through May 2018. Through May 2018, the Company repaid $25,000 of principal under the Repayment Agreement. The Company defaulted on the Repayment Agreement in May 2018 and the $15,444 in accrued interest was converted to principal. As of December 31, 2020, and through the date of this report, the principal balance totaling $59,514 is outstanding and remains in default. During November 2018, the Company entered into a nine-month 12% convertible note payable with Actus Fund, LLC totaling $90,000. The note is convertible into common stock at a conversion price equal to 50% of the lowest trading/closing price for the 25 trading days prior to conversion. The embedded derivative liability associated with the conversion option of the note was bifurcated from the note and recorded at its fair value on the date of issuance and is revalued at each reporting date. In connection with the convertible note, the Company issued 2,500,000 warrants exercisable at $0.0069 over 5 years. At issuance, the derivative liability and warrants were valued at $192,600 and $17,500, resulting in a $90,000 discount on the convertible note at origination. The warrants were valued using the Black Scholes Merton model and the key valuation assumptions used consist, in part, of the price of the Company’s common stock of $0.007 at issuance date; a risk-free interest rate of 3.07% and estimated volatility of the Company’s common stock of 255%. The derivative liability was valued using the Black Scholes Merton model and the key valuation assumptions used consist, in part, of the price of the Company’s common stock of $0.007 at issuance date; a risk-free interest rate of 2.33% and estimated volatility of the Company’s common stock of 190%. The note was paid off on May 15, 2019. On August 19, 2019, the Company entered into a convertible promissory note arrangement with Actus Fund, LLC in the principal amount of $142,750. The principal amount of the note with interest at 12% is due on May 19, 2020. The note is convertible into shares of The Company’s common stock. The conversion price shall equal the lessor of (i) Current Market price or (ii) Variable Market price as defined as Market Price less a 50% discount price. The note was paid off on February 28, 2020 by the company. On April 7, 2020, the Company entered into a convertible promissory note arrangement with Actus Fund, LLC in the principal amount of $197,000. The principal amount of the note with interest at 12% is due on February 7, 2021. The note is convertible into shares of The Company’s common stock. The conversion price shall equal the lessor of (i) Current Market price or (ii) Variable Market price as defined as Market Price less a 50% discount price. As of December 31, 2020, and through the date of this report, the principal balance totaling $197,000 is outstanding and remains in default. During December 2018, the Company entered into a Securities Purchase Agreement with Adar Alef, LLC containing up to four one-year 8% convertible notes payable with Adar Alef, LLC totaling $105,000. The notes include an original issue discount of 5% of all amounts funded such that the purchase price for each note shall be $25,000. The notes are convertible into common stock at a conversion price equal to 60% of the lowest trading price for the 20 trading days prior to conversion. The first $26,500 note was funded in December 2018 and principal and interest are due at maturity in December 2019. The embedded derivative liability associated with the conversion option of the note was bifurcated from the note and recorded at its fair value of on the date of issuance and is revalued at each reporting date. At issuance, the derivative liability was valued at $39,000, resulting in a $25,000 discount on the convertible note at origination. The derivative liability was valued using the Black Scholes Merton model and the key valuation assumptions used consist, in part, of the price of the Company’s common stock of $0.006 at issuance date; a risk-free interest rate of 2.62% and estimated volatility of the Company’s common stock of 188%. The note was paid off on June 24, 2019. On August 5, 2020, The Company and Adar Alef, LLC entered into a security purchase agreement in the aggregate principal of $ 150,000. The notes shall contain a 5% OID such that the purchase price shall be $142,500. On August 17, 2020, the Company and Harbor Gates entered into a security purchase agreement for a 10% Convertible Promissory Note in the aggregate principal of $165,000 due on May 17,2021. The note is convertible into shares of common stock of the Company. The note can be converted (180) days following the date of the note. The conversion price is equal to the Variable Conversion price which is defined as 60% of the Market Price for the lowest two trading dates during a fifteen-day trading period ending on the latest complete. outstanding. As of the issuance date of the financial statements the note remains outstanding. On April 15, 2020, the Company and Platinum Point Capital entered into a security purchase agreement for a 10% Convertible Note in the aggregate principal of $$82,500 due on April 15, 2021. The note is convertible into shares of common stock of the Company. The note can be converted at any time after the issue date. The conversion price is equal to the Variable Conversion price which is defined as 60% of the Market Price for the lowest trading date during twenty-day trading period ending on the latest complete trading date prior to the Conversion date. The note was paid off the CEO of the Company. See Note 9. On May 20, 2020, the Company and GS Capital Partners, LLC entered into a 10% Convertible Note in the aggregate principal of $165,000 due on February 20, 2021. The note can be converted into shares of common stock of the Company. at any time after the issue date. On April 3, 2020, the Company and First Fire Global Opportunity Fund LLC, entered into a security purchase agreement for a 8% Senior Convertible Promissory Note in the aggregate principal of $100,000 due on April 3, 2021. The note is convertible into shares of common stock of the Company. The note can be converted at any time after the issue date. The conversion price shall be equal to the lower of the Fixed Conversion of $0.01per share or the Alternative Conversion Price which is defined as 60% of the Market Price for the lowest trading date during a twenty-day trading period ending on the latest complete trading date prior to the Conversion date. The note was paid off by the ECO of the Company see Note 9. On April 6, 2020, the Company and Power Up Lending Group entered into a security purchase agreement for a 10% Convertible Promissory Note in the aggregate principal of $53,000 due on April 6, 2021. The note is convertible into shares of common stock of the Company. The note can be converted (180) days following the date of the note. The conversion price is equal to the Variable Conversion price which is defined as 61% of the Market Price for the lowest two trading dates during a fifteen-day trading period ending on the latest complete. outstanding. The note was paid off by the CEO of the Company see Note 9. On January 21, 2019, the Company entered into a Convertible Promissory Note with Crown Bridge Partners, LLC., in the principal amount of $75,000. The note carries original issue discount of $7,500 The Principal amount with interest at 12% will be due in twelve months from the advance. The Principal amount will be advanced in Tranches of $25,000 each. The note is convertible into shares of The Company’s common stock. The conversion price shall equal the lessor of (i) Current Market price or (ii) Variable Market price as defined as Market Price less a 45% discount price. In addition, the Company agreed to issue to Crown Bridge Partners 3,750,000 warrants to purchase common stock of the Company at an exercise price of $0.01 per share, exercisable for a period of five (5) years. As of December 31, 2020 $50,000 remains outstanding and is in default. On February 26, 2019, the Company entered into a 10% Convertible Promissory Note with Tangiers Global LLC. in the principal amount of $55,000 due on February 26, 2020. The note is convertible into shares of the Company’s common stock. The conversion price shall equal 55% of the lowest trading price of the Company’s common stock during the 20 consecutive trading days prior to the date on which the holder elects to convert part of all of the note. The note was paid off on September 19,2019. On March 7, 2019, the Company and Power Up Lending Group entered into a security purchase agreement for a 10% Convertible Note in the aggregate principal of $58,000 due on March 7, 2020. The note is convertible into shares of common stock of the Company. The conversion price is equal to the Variable Conversion price which is defined as 61% of the Market Price for the lowest two trading dates during a fifteen-day trading period ending on the latest complete trading date prior to the Conversion date. The note was paid off on September 19, 2019. On August 15, 2019, the Company and Power Up Lending Group entered into a security purchase agreement for a 10% Convertible Note in the aggregate principal of $53,000 due on August 15, 2020. The note is convertible into shares of common stock of the Company. The conversion price is equal to the Variable Conversion price which is defined as 61% of the Market Price for the lowest two trading dates during a fifteen-day trading period ending on the latest complete trading date prior to the Conversion date. The note was paid off on February 7, 2020. On September 24, 2019, the Company and Power Up Lending Group entered into a security purchase agreement for a 10% Convertible Note in the aggregate principal of $58,000 due on September 24, 2020. The note is convertible into shares of common stock of the Company. The conversion price is equal to the Variable Conversion price which is defined as 61% of the Market Price for the lowest two trading dates during a fifteen-day trading period ending on the latest complete trading date prior to the Conversion date. The note was paid off on April 15, 2020 by the Company’s CEO (Note 9). On May 10, 2019, the Company and GHS Investments LLC entered into a security agreement for a 10% Convertible Note in the aggregate principal of $335,000 due on February 10, 2020. The note carries original issue discount or $35,000. The note is convertible into shares of common stock of the Company. The “Conversion Price” shall mean 60% multiplied by the Market Price (as defined herein), representing a discount rate of 40%. “Market Price” means the lowest Traded Price for the Common Stock during the twenty (20) Trading Day period ending on the latest complete Trading Day prior to the Conversion Date. The Company is required to maintain a common share reserve of not less than three times the number of shares that is actually issuable upon full conversion of the note. The purchaser will also receive warrants to purchase 5,000,000 shares of GDSI common stock at $.01/share. Warrants will have a three-year term to exercise. The Convertible Note is personally guaranteed by William Delgado, CEO. As of the issuance date of these financial statements, the note remains outstanding. Notes Payable During August 2017, Dragon Acquisitions, a related entity owned by William Delgado, and an individual lender entered into a Promissory Note agreement for $20,000 as well as $2,000 in interest to accrue through maturity on August 31, 2018 for a total of $22,000 due on August 31, 2018. Dragon Acquisition assumed payment of a payable of the Company and the Company took on the note. The Company defaulted on the note at maturity in August 2018. The $20,000 note remained outstanding at December 31, 2020 and 2019 through the date of this report and is in default. On December 22, 2017, the Company entered into a financing agreement with Parabellum, an accredited investor, for $1.2 million, amended in 2019 and increased to $1,850,000. Under the terms of the agreement, the Company is to receive milestone payments based on the progress of the Company’s lawsuit (Note 6) for damages against Grupo Rontan Metalurgica, S.A (the “Lawsuit”). Such milestone payments consist of (i) an initial purchase price payment of $300,000, which the Company received on December 22, 2017, (ii) $150,000 within 30 days of the Lawsuit surviving a motion to dismiss on the primary claims, (iii) $100,000 within 30 days of the close of all discovery in the Lawsuit and (iv) $650,000 within 30 days of the Lawsuit surviving a motion for summary judgment and challenges on the primary claims. As part of the agreement, the Company shall pay the investor an investment return of 100% of the litigation proceeds to recoup all money invested, plus 27.5% of the total litigation proceeds received by the Company. $300,000 was received by the Company in December 2017. As of December 31, 2019 $1,850,000 was outstanding, as of December 31, 2020 and through the date of this report, the $2,550,000 note remains outstanding. On December 23, 2017 (the “effective date”), the Company entered into a $485,000, 7% interest rate, demand promissory note with Vox Business Trust, LLC (Vox). The note was in settlement of the amounts accrued under a consulting agreement (Note 6), consisting of $200,000 owed for retainer payments through December 2017, as well as $285,000 owed to Vox when the Resolution Progress Funding was met on December 22, 2017. As part of the agreement, Vox may not demand payment prior to the date of the Resolution Funding Date. The Company also agreed to grant 5,000,000 shares within 90 days of the Resolution Progress Funding Date and 10,000,000 shares within 90 days of the Resolution Funding Date. The 5,000,000 shares were issued on March 13, 2018. The Company shall make mandatory prepayment in the following amounts and at the following times – ● $1,000 on the effective date. ● $50,000 on the date on which the judge presiding over the lawsuit issues a ruling or decision in which the lawsuit survives a motion to dismiss. ● $50,000 on the date on which discovery closes with respect to the lawsuit. ● $100,000 on the date on which the judge presiding over the lawsuit issues a ruling or decision in which the lawsuit survives a motion for summary judgement on the claims. Under the terms of the Vox note consulting agreement (Note 6), any unpaid consulting fees subsequent to December 2017 causes a default on the note with unpaid consulting fees to be added to the principal of the note. During the year ended December 31, 2019, consulting fees totaling $120,000 were added to the note principal and are included in the note balance at December 31, 2019. The note had a balance of $686,500 and $584,000 as of December 31, 2019 and 2018, respectively. Through the date of this report, monthly consulting fees have not been repaid and continue to be added to the principal balance of the note. The note remains in default however Vox has voluntarily refrained from making demand prior to the Resolution Funding Date. On December 26, 2017 (the “effective date”), the Company entered into a $485,000, 7% interest rate, demand promissory note with RLT Consulting, Inc. (RLT), a related party. The note was in settlement of the amounts accrued under a consulting agreement (Note 6), consisting of $200,000 owed for retainer payments through December 2017, as well as $285,000 owed to RLT when the Resolution Progress Funding was met on December 22, 2017. As part of the agreement, RLT may not demand payment prior to the date of the Resolution Funding Date. The Company also agreed to grant 5,000,000 shares within 90 days of the Resolution Progress Funding Date and 10,000,000 shares within 90 days of the Resolution Funding Date. The 5,000,000 shares were issued on March 13, 2018. The Company shall make mandatory prepayment in the following amounts and at the following times – ● $1,000 on the effective date. ● $50,000 on the date on which the judge presiding over the lawsuit issues a ruling or decision in which the lawsuit survives a motion to dismiss. ● $50,000 on the date on which discovery closes with respect to the lawsuit. ● $100,000 on the date on which the judge presiding over the lawsuit issues a ruling or decision in which the lawsuit survives a motion for summary judgement on the claims. Under the terms of the RLT note consulting agreement (Note 6), any unpaid consulting fees subsequent to December 2017 causes a default on the note with unpaid consulting fees to be added to the principal of the note. During the year ended December 31, 2019, consulting fees totaling $120,000 were added to the note principal and are included in the note balance at December 31, 2019. The note had a balance of $679,500 and $584,000 as of December 31, 2019 and 2018, respectively. Through the date of this report, monthly consulting fees have not been repaid and continue to be added to the principal balance of the note. The note remains in default however RLT has voluntarily refrained from making demand prior to the Resolution Funding Date. RLT was granted a first priority security interest in the Litigation Proceeds and is pari passu to Parabellum and Vox. To that end, they share in the litigation in a priority position to proceed to repay the note. During April 2018, the Company entered into an Investment Return Purchase Agreement with an accredited investor (the “Purchaser”) for proceeds of $50,000 (the “Investment Agreement”). The $50,000 proceeds were paid directly to Bill Delgado to reimburse expenses incurred on behalf of the Company. Under the terms of the Investment Agreement, the Company agreed to pay the Purchaser the $50,000 proceeds plus a 50% return, or $25,000 (the “Investment Return”) within seven (7) months from the date of the Investment Agreement. In addition, the Company agreed to issue to the Purchaser 1,000,000 warrants to purchase common stock of the Company at an exercise price of $0.01 per share, exercisable for a period of five (5) years. The warrants were valued using the Black Scholes Merton model, resulting in a fair value of $9,000 which were recorded as a discount on the note. The key valuation assumptions used consist, in part, of the price of the Company’s common stock of $0.009 at issuance date; a risk-free interest rate of 2.60% and estimated volatility of the Company’s common stock of 235%. During November 2018, the Company defaulted on the Investment Agreement. Company and the Purchaser amended the Investment Agreement. On May 28, 2019, the Company amended the March 28, 2018 $50,000 note payable. The Company agreed to increase the holder’s return by $25,000 to $50,000 and repaid the original $50,000 principal in May 2019. Additionally, the holder is to receive 1,000,000 additional common stock warrants under the same terms as the original March 2018 warrants and the holder will receive $15,000 in common stock at a 20% discount to the closing price on the date the $50,000 holder’s return is paid. As of the issuance date of these financial statements, the outstanding balance was $0. During April 2018, the Company entered into a two-month $36,000 note payable with $31,000 in proceeds paid directly to a third-party vendor for expenses. The note did not bear interest and included a $5,000 original issue discount. During June 2018, the Company defaulted on the note. As of December 31, 2019, and through the date of this report, the $36,000 note remained outstanding and is in default. During May 2018, the Company entered into an Investment Return Purchase Agreement with an accredited investor (the “Purchaser”) for proceeds of $200,000 (the “Investment Agreement”). Under the terms of the Investment Agreement, the Company agreed to pay the Purchaser the $200,000 proceeds plus a 10% return, or $20,000 (the “Investment Return”) within three (3) months from the date of the Investment Agreement. Such Investment Return shall be paid earlier if the Company secures funding totaling $500,000 within 90 days from the date of the Investment Agreement. In addition, the Company agreed to issue to the Purchaser 2,000,000 warrants to purchase common stock of the Company at an exercise price of $0.01 per share, exercisable for a period of three (3) years. The warrants were valued using the Black Scholes Merton model, resulting in a fair value of $13,000 which were recorded as a discount on the note. The key valuation assumptions used consist, in part, of the price of the Company’s common stock of $0.007 at issuance date; a risk-free interest rate of 2.75% and estimated volatility of the Company’s common stock of 220%. As of December 31, and through the date of this report, the $200,000 principal and $20,000 Investment Return remained outstanding and is in default. During June 2018, the Company entered in to a one-year $300,000 non-convertible note with an accredited investor with $150,000 original issue discount (“OID”) for net proceeds of $150,000. As part of the note agreement, the Company also agreed to issue the investor 5,000,000 warrants at an exercise price of $0.01, exercisable for a period of three (3) years. The warrants were valued using the Black Scholes Merton model, resulting in a fair value of $35,000 of which $28,378 was recorded as a discount on the note. The key valuation assumptions used consist, in part, of the price of the Company’s common stock of $0.008 at issuance date; a risk-free interest rate of 2.62% and estimated volatility of the Company’s common stock of 218%. At December 31, 2019, the $300,000 note remained outstanding. The Company defaulted on the note at maturity in June 2019 and the note remained outstanding through the date of this report. The note contains a default interest rate of 10% plus a 5% penalty of the outstanding balance of the note. The note holder has voluntarily refrained from making demand for repayment under the default provisions of the note, which would require the Company to pay the holder 130% of the outstanding principal and interest accrued at the default rate. As of December 31, 2020 and 2019, the note remains outstanding and is in default. The June 2018 note bears a personal guarantee by William Delgado, the Chief Executive Officer of the Company. As further security for the note, Mr. Delgado has also pledged the 1,000,000 Convertible Preferred Shares of the Company that he owns, as well as 5,000,000 common shares of SHMP, another public company in which Mr. Delgado is a director and Chief Financial Officer. On May 12, 2020, the Company and BBVA USA entered into a 1% SBA PPP, Promissory Note, in the aggregate principal of $103,125. The note is payable in monthly payments of $5,805 beginning on December 12, 2020, ending on May 12, 2022.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	12 Months Ended
	Dec. 31, 2020
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	NOTE 6 – COMMITMENTS AND CONTINGENCIES Legal Proceedings We may be involved in legal proceedings in the ordinary course of our business, and our management cannot predict the ultimate outcome of these legal proceedings with certainty. The Company is plaintiff or defendant in the following actions: Share Purchase and Sale Agreement for Acquisition of Grupo Rontan Electro Metalurgica, S.A. Effective October 13, 2015, the Company (as “Purchaser”) entered into the SPSA dated October 8, 2015 with Joao Alberto Bolzan and Jose Carlos Bolzan, both Brazilian residents (collectively, the “Sellers”) and Grupo Rontan Electro Metalurgica, S.A., a limited liability company duly organized and existing under the laws of Federative Republic of Brazil (“Rontan”) (collectively, the “Parties”), pursuant to which the Sellers agreed to sell 100% of the issued and outstanding shares of Rontan to the Purchaser on the closing date. The purchase price shall consist of a cash amount, a stock amount and an earn-out amount as follows: (i) Brazilian Real (“R”) $100 million (approximately US$26 million) to be paid by the Purchaser in equal monthly installments over a period of forty eight (48) months following the closing date; (ii) an aggregate of R$100 million (approximately US$26 million) in shares of the Purchaser’s common stock, valued at US$1.00 per share; and (iii) an earn-out payable within ten business days following receipt by the Purchaser of Rontan’s audited financial statements for the 12-months ended December 31, 2017, 2018 and 2019. The earn-out shall be equal to the product of (i) Rontan’s earnings before interest, taxes, depreciation and amortization (“EBITDA”) for the last 12 months, and (ii) twenty percent and is contingent upon Rontan’s EBITDA results for any earn-out period being at least 125% of Rontan’s EBITDA for the 12-months ended December 31, 2015. It is the intention of the parties that the stock amount will be used by Rontan to repay institutional debt outstanding as of the closing date. Under the terms of a Finders Fees Agreement dated April 14, 2014, we have agreed to pay RLT Consulting Inc., a related party, a fee of 2% (two percent) of the Transaction Value, as defined in the agreement, of Rontan upon closing. The fee is payable one-half in cash and one-half in shares of our common stock. Specific conditions to closing consist of: a) Purchaser’s receipt of written limited assurance of an unqualified opinion with respect to Rontan’s audited financial statements for the years ended December 31, 2013 and 2014 (the “Opinion”); b) The commitment of sufficient investment by General American Capital Partners LLC (the “Institutional Investor”), in the Purchaser following receipt of the Opinion; c) The accuracy of each Parties’ representations and warranties contained in the SPSA; d) The continued operation of Rontan’s business in the ordinary course; e) The maintenance of all of Rontan’s bank credit lines in the maximum amount of R$200 million (approximately US$52 million) under the same terms and conditions originally agreed with any such financial institutions, and the maintenance of all other types of funding arrangements. As of the date of the SPSA, Rontan’s financial institution debt consists of not more than R$200 million (approximately US$52 million), trade debt of not more than R$50 million (approximately US$13 million) and other fiscal contingencies of not more that R$95 million (approximately US$24.7 million); f) Rontan shall enter into employment or consulting service agreements with key employees and advisors identified by the Purchaser, including Rontan’s Chief Executive Officer; and g) The Sellers continued guarantee of Rontan’s bank debt for a period of 90 days following issuance of the Opinion, among other items. The Institutional Investor has committed to invest sufficient capital to facilitate the transaction, subject to receipt of the Opinion, as well as the ability to acquire 100% of the outstanding stock of Rontan at a price of $200 million BR, and the Company can acquire 100% of all real estate held by Rontan. Subject to satisfaction or waiver of the conditions precedent provided for in the SPSA, the closing date of the transaction shall take place within 10 business days from the date of issuance of the Opinion. Rontan is engaged in the manufacture and distribution of specialty vehicles and acoustic/visual signaling equipment for the industrial and automotive markets. Subsequent to December 31, 2015, on April 1, 2016, we believed that we had satisfied or otherwise waived the conditions to closing (as disclosed under the SPSA, the closing was subject to specific conditions to closing, which were waivable by us,) and advised the Sellers of our intention to close the SPSA and demanded delivery of the Rontan Securities. The Sellers, however, notified us that they intend to terminate the SPSA. We believe that the Sellers had no right to terminate the SPSA and that notice of termination by the Sellers was not permitted under the terms of the SPSA. On January 31, 2018, we announced that we initiated a lawsuit for damages against Grupo Rontan Metalurgica, S. A, (“Rontan”) and that company’s controlling shareholders, Joao Alberto Bolzan and Jose Carlos Bolzan. The action has been filed in the United States District Court for the Southern District of Florida. The complaint alleges that Rontan is wholly owned by Joao Bolzan and Jose Bolzan. In the complaint, we further allege that Rontan and its shareholders improperly terminated a Share Purchase and Sale Agreement (the “SPA”) by which we were to acquire whole ownership of Rontan. On February 5, 2018, United States District Court Southern District of Florida filed a Pretrial Scheduling Order and Order Referring Case to Mediation dated February 5, 2018 for the Company’s lawsuit against Grupo Rontan Electro Metalurgica, S.A., et al. The Case No. is 18-80106-Civ-Middlebrooks/Brannon. The court has issued a schedule outlining various documents and responses that are to be delivered by the parties as part of the discovery plan. On April 25, 2018, the Note of Filing Proposed Summons was completed by the Company. On April 26, 2018, a summons was issued to Grupo Rontan Electro Metalurgica, S.A. Also, on May 15, 2018, the Company filed a motion for Issuance of Letters Rogatory. Consulting agreements The Company entered into two consulting agreements (See Note 5) in May 2016, for services to be provided in connection towards the resolution of the Rontan lawsuit (below). The consulting agreements includes a monthly retainer payment of $10,000 to each consultant. The agreement also includes consideration of 5,000,000 shares of restricted common stock of the Company, plus a 5% cash consideration of the Resolution Progress Funding, (defined as upon the retention of legal counsel and receipt of funding for the litigation), as of the Resolution Progress Funding date and 10,000,000 shares of restricted common stock of the Company and a 5% cash consideration of the Resolution Funding amount (defined as a settlement or judgement in favor of the Company by Rotan),at the Resolution Funding date. The Resolution Progress funding was met on December 22, 2017. On March 1, 2019, the Company entered into a consulting agreement with the former owner of HarmAlarm. The agreement commenced on March 1, 2019 and shall continue for a period of thirty-six (36) months. The agreement may only be terminated by either incapacitation or death of consultant or for cause with ten (10) days written notice. During the term of the agreement consultant will be paid at a rate of $5,000 per month. On March 1, 2019, the Company entered into a consulting agreement with a former key employee of HarmAlarm. The agreement commenced on March 1, 2019 and shall continue for a period of thirty-six (36) months. The agreement may only be terminated by either incapacitation or death of consultant or for cause with ten (10) days written notice. During the term of the agreement consultant will be paid an hourly rate of $50.00 per hour. On December 23, 2019, the Company entered into a consulting agreement with a company to assist development of the Company’s corporate and business plan. The agreement was effective on December 23, 2019 for a six - month period. The Company will pay the consultant a monthly retainer of $7,500 of which $3,750 will be in cash and the other 50% in common stock of the Company.

STOCKHOLDERS' EQUITY

STOCKHOLDERS' EQUITY	12 Months Ended
	Dec. 31, 2020
Stockholders' deficit
STOCKHOLDERS' EQUITY	NOTE 7 – STOCKHOLDERS’ EQUITY Preferred Stock We are authorized to issue 35,000,000 shares of noncumulative, non-voting, convertible preferred stock, $0.001 par value per share. At December 31, 2020 and 2019, 1,000,000 shares of preferred stock were outstanding. On August 15, 2016, William J. Delgado, our current Chief Executive Officer, agreed to convert $231,565 of indebtedness owed to him by the Company into 1,000,000 shares of convertible preferred stock (the “Preferred Stock”). The Preferred Stock has voting rights as to one (1) preferred share to four hundred (400) shares of the common stock of the Company. The Preferred Stock is convertible into common stock at any time after issuance into 37% of the outstanding common stock of the Company at the time of the conversion. The conversion to common can only take place when there are an adequate number of shares that are available and is subject to normal stock adjustments (i.e. stock splits etc.) that are executed by the Company in its normal course of business. Common Stock We are authorized to issue 2,000,000,000 shares of common stock, $0.001 par value per share. At December 31, 2020 and 2019 there were 668,338,264 and, 643,121,923 shares were issued, outstanding, or vested but unissued under stock compensation plans, respectively. Common Stock Warrant We have issued warrants, which are fully vested and available for exercise, as follows: Class of Warrant Issued in Number outstanding Exercise Price Date of Date Vest Date of A-6 Financing 2,000,000 $ 0.01 May 15, 2018 May 15, 2018 May 15, 2021 A-7 Financing 5,000,000 $ 0.01 May 10, 2019 May 10, 2019 May 10, 2022 A-10 Financing 3,750,000 $ 0.01 Jan. 21, 2019 Jan. 21, 2019 Jan. 10, 2024 A-11 Financing 12,000,000 $ 0.01 Dec. 31, 2020 Dec. 31, 2020 Dec. 31, 2023 A-12 Financing 2,500,000 $ 0.01 Aug 19, 2019 Aug 19, 2019 Aug 19, 2024 25,250,000 All warrants are exercisable at any time through the date of expiration. All agreements provide for the number of shares to be adjusted in the event of a stock split, a reverse stock split, a share exchange or other conversion or exchange event in which case the number of warrants and the exercise price of the warrants shall be adjusted on a proportional basis. The warrants expired unexercised on the dates of expiration, as shown above. The following is a summary of outstanding and exercisable warrants at December 31, 2020: Outstanding Exercisable Weighted Average Outstanding Weighted Weighted Range of Number Remaining Average Number Average Exercise Outstanding Contractual Exercise Exercisable Exercise Prices at 12/31/20 Life (in yrs.) Price at 12/31/20 Price $ 0.01 2,000,000 .5 $ 0.002 2,000,000 $ 0.01 $ 0.01 5,000,000 1.5 $ 0.004 5,000,000 $ 0.01 $ 0.01 3,750,000 3.0 $ 0.002 3,750,000 $ 0.01 $ 0.01 12,000,000 3.0 $ 0.01 12,000,000 $ 0.01 $ 0.01 2,500,000 3.8 $ 2,500,000 $ 25,250,000 $ 25,250,000 The following is a summary of outstanding and exercisable warrants at December 31, 2019: Outstanding Exercisable Weighted Outstanding Number Remaining Contractual Weighted Weighted Range of Exercise at 12/31/18 Life (in yrs.) Exercise Price Number Exercisable at 12/31/19 Exercise Price Average $ 0.01 1,000,000 326 $ 0.01 1,000,000 $ 0.01 $ 0.01 2,000,000 1.37 $ 0.01 2,000,000 $ 0.01 $ 0.01 5,000,000 1.40 $ 0.01 5,000,000 $ 0.01 $ 0.0069 2,500,000 385 $ 0.0069 2,500,000 $ 0.0069 0.0069 to 0.01 10,500,000 217 $ 0.0093 10,500,000 $ 0.0093 The intrinsic value of warrants outstanding at December 31, 2020 and 2019 was $0. Aggregate intrinsic value represents the value of the Company’s closing stock price on the last trading day of the fiscal period in excess of the exercise price of the warrant multiplied by the number of warrants outstanding or exercisable. Stock Incentive Plans 2014 Global Digital Solutions Equity Incentive Plan On May 9, 2014, our shareholders approved the 2014 Global Digital Solutions Equity Incentive Plan (“Plan”) and reserved 20,000,000 shares of our common stock for issuance pursuant to awards thereunder, including options, stock appreciation right, restricted stock, restricted stock units, performance awards, dividend equivalents, or other stock-based awards. The Plan is intended as an incentive, to retain in the employ of the Company, our directors, officers, employees, consultants, and advisors, and to attract new officers, employees, directors, consultants and advisors whose services are considered valuable, to encourage the sense of proprietorship and to stimulate the active interest of such persons in the development and financial success of the Company and its subsidiaries. In accordance with the ACS 718, Compensation – Stock Compensation Stock-based compensation expense for the years ended December 31, 2020 and 2019 was $5,075 and $229,400, respectively. Awards Issued Under Stock Incentive Plans Stock Option Activity At December 31, 2020 and 2019 we have outstanding 13,650,002 stock options - all of which are fully-vested stock options that were granted to directors, officers and consultants. The outstanding stock options are exercisable at prices ranging from $0.006 to $0.64 and expire between February 2024 and December 2025, for an average exercise price per share of $0.60 and an average remaining term of 7.5 years as of December 31, 2018. During the years ended December 31, 2020 and 2019 we did not recognize any stock-based compensation cost related to the outstanding stock options. The intrinsic value of options outstanding at December 31, 2020 and 2019 was $0. Aggregate intrinsic value represents the value of the Company’s closing stock price on the last trading day of the fiscal period in excess of the exercise price of the option multiplied by the number of options outstanding. Restricted Stock Units On October 10, 2014 we granted an employee 1 million RSU’s convertible into 1 million shares of the Company’s common stock, with a grant date fair market value of $100,000. The grant was made under our 2014 Equity Incentive Plan. 333,333 RSU’s will vest in respect of each calendar year (commencing January 1 and ending December 31) of the Company from 2015 through 2017 if the Company has achieved at least 90% of the total revenue and EBITDA midpoint targets set forth in the agreement. If less than 90% of the target is achieved in respect of any such fiscal year, then the number of RSU’s vesting for that fiscal year shall be 333,333 times the applicable percentage set forth in the agreement; provided that, Awards Not Issued Under Stock Incentive Plans Restricted Stock Grants Awarded to Advisors In order to align our senior advisors with the interest of the stakeholders of the Company, the Board of Directors of the Company has granted the advisors restricted stock awards valued at $0.17 to $0.364 per share which vest over a period of 12 – 24 months, subject to remaining an advisor for a minimum of twelve months, and which are forfeited if the advisor is terminated or is no longer an advisor on the anniversary of the advisory award, as follows: December 31, 2020 Name Date of Number of Vest from Vest To Vested Unvested Forfeited Mathew Kelley 4/17/13 1,250,000 4/30/13 3/31/14 1,250,000 — — 4/17/13 1,250,000 2/28/14 1/31/15 1,250,000 — — Richard J. Feldman 4/30/14 500,000 4/30/14 3/30/15 500,000 — — 500,000 4/30/15 3/30/16 375,000 — 125,000 Gary Gray 3/7/15 1,000,000 3/7/15 5/30/15 1,000,000 Ross Trevino 3/7/15 500,000 3/7/15 5/30/15 500,000 5,000,000 4,875,000 — 125,000 The aggregate intrinsic value of the restricted stock grant was $0 at December 31, 2020 and 2019.

INCOME TAXES

INCOME TAXES	12 Months Ended
	Dec. 31, 2020
Income Tax Disclosure [Abstract]
INCOME TAXES	NOTE 8 – INCOME TAXES Reconciliations between the statutory rate and the effective tax rate for the year ended December 31, 2020 consist as follows: 2020 (rounded to nearest thousand) Amounts Rate Income tax (expense) benefit at statutory federal rate of 21% $ 2,644,000 -21 % Permanent differences (1,488,000 ) 12 % Increase (decrease) in valuation allowance (1,146,000 ) 9 % Income tax expense (benefit) at Company’s effective tax rate $ — 0 % TOTAL 2020 TOTAL 12/31/2019 Activity 12/31/2020 Net Operating Loss Carryforward $ 15,845,499 $ 5,459,309 $ 21,304,808 NOL tax benefit $ 3,782,838 $ 1,146,000 $ 4,750,945 Stock based compensation 2,908,000 2,908,000 Accrued expenses 26,000 26,000 Amortization and depreciation 19,000 19,000 Impairment of intangible assets 243,000 243,000 Total Deferred Tax Assets 6,978,838 1,146,000 7,946,945 Valuation allowance (6,978,838 ) (1,146,000 ) (7,946,945 ) $ — $ — $ — As of December 31, 2020, the Company had $21,000,000 of federal net operating loss carry forwards. These carry forwards, if not used, will begin to expire in 2028. Current or future ownership changes, including issuances of common stock under the terms of the Company’s convertible notes payable that were entered into during 2015 and the closing of the Rontan Transaction may severely limit the future realization of these net operating losses. The Company provides for a valuation allowance when it is more likely than not that they will not realize a portion of the deferred tax assets. The Company has established a valuation allowance against their net deferred tax asset due to the uncertainty that enough taxable income will be generated in those taxing jurisdictions to utilize the assets. Therefore, they have not reflected any benefit of such deferred tax assets in the accompanying financial statements. The Company’s net deferred tax asset and valuation allowance increased by $1,146,000 for the year ended December 31, 2020, related to the current year activity. The Company has reviewed all income tax positions taken or that are expected to be taken for all open years and determined that their income tax positions are appropriately stated and supported for all open years. The Company is subject to U.S. federal income tax examinations by tax authorities for years after 2011 due to unexpired net operating loss carryforwards originating in and subsequent to that year. The Company may be subject to income tax examinations for the various taxing authorities which vary by jurisdiction. The Company’s policy is to record interest and penalties associated with unrecognized tax benefits as additional income taxes in the consolidated statements of operations. As of December 31, 2020, there were no unrecognized tax benefits, or any tax related interest or penalties. The Company files income tax returns in the U.S. federal jurisdiction and the various states in which they operate. The former members of NACSV are required to file separate federal and state tax returns for NACSV for the periods prior to our acquisition of NACSV. The Company files consolidated tax returns for subsequent periods. The Company has not filed their U.S. federal and certain state tax returns since 2014 and currently do not have any examinations ongoing. Tax returns for the years 2012 onwards are subject to federal, state or local examinations.

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	12 Months Ended
	Dec. 31, 2020
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	NOTE 9 – RELATED PARTY TRANSACTIONS Due to officer During 2020 Mr. Delgado paid off approximately $312,000 of the debt. The Company paid Mr. Delgado approximately $692,000 which included repayment for amounts paid for the notes and compensation, during 2020 Mr. Delgado paid off approximately $312,000 of the debt. The Company paid Mr. Delgado approximately $692,000 which included repayment for amounts paid for the notes and compensation.. As of December 31, 2020, the Company owes Mr. Delgado approximately $64,000 in accrued compensation and approximately $253,000 which are included in ‘accrued expenses’ and ‘due to officer’, respectively. During the year ended December 31, 2019, approximately $170,000 of expenses incurred by the Company were paid by Dragon Acquisitions and Bronco Communications, entities controlled by William J. Delgado. The Company reimbursed approximately $242,000 to these entities for 2018 expenses and $72,000 in unreimbursed expenses as of December 31, 2018. Due from Related Party During the year ended December 31, 2020 the Company advanced Eco Growth Strategies, a related entity, $70,710 to cover administrative costs. Prepaid Expense At December 31, 2020 the Company had a lease rental agreement with an affiliate controlled by William Delgado. The airplane will be used to test the PALS software that is being developed by Global Aviation. The prepaid expense will be amortized using an hourly rate of flight time. RLT Consulting At December 31, 2020, the company had a note payable to RLT consulting and a consulting agreement see (Note 5). RLT Consulting is owned by Ross Trevino, a Vice President of GDSI Inc. As of December 31, 2020 and 2019 RLT was owed $799,500 and $679,500, respectively, which is included in ‘notes payable’. Dragon Acquisitions During 2017 the Company assumed a note payable from Dragon Acquisitions (see Note 5). Dragon Acquisitions is owned by William Delgado Chairman and CEO of GDSI Inc. Accounts Payable December 31, December 31, 2020 2019 RLT Consulting $ 21,591 $ 21,591 Jerry Gomolski 25,000 25,000 Charter 804CS 20,099 20,099 Gary Gray 12,000 12,000 $ 78,690 $ 78,690 Accrued Compensation At, December 31, 2020 and December 31, 2019, we had $64,481 and $192,646 payable to William J. Delgado and $77,834 and $70,338 to Jerome Gomolski, respectively. At, December 31, 2020 and December 31, 2019 we had the following: William Jerome Total Delgado Gomolski Balance 12/31/2019 $ 262,984 $ 192,646 $ 70,338 2020 Salary 300,000 240,000 60,000 Payments (420,669 ) (368,165 ) (52,504 ) Balance 12/31/2020 $ 142,315 $ 64,481 $ 77,834

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	12 Months Ended
	Dec. 31, 2020
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	NOTE 10 – SUBSEQUENT EVENTS On January 15, 2021, the Company and Power Up Lending Group entered into a security purchase agreement for a 10% Convertible Note in the aggregate principal of $90,000 due on February 15, 2022. The note is convertible into shares of common stock of the Company. The conversion price is equal to the Variable Conversion price which is defined as 61% of the Market Price for the lowest two trading dates during a fifteen-day trading period ending on the latest complete trading date prior to the Conversion date. As of the issuance date of these financial statements, the note remains outstanding and in default. On February ,2021, the Company and Leonite Capital LLC entered into a security purchase agreement for a Prime rate plus 8% Convertible Note in the aggregate principal of $2,285,714. The note shall be paid in one or more tranches. The maturity for each tranche shall be twelve - month period from advance date. The holder has the right at any time to convert all or any part of the outstanding principal into shares of common stock of the Company. The conversion price shall be $0.6 the Fixed conversion price. As of the issuance date of these financial statements, the note remains outstanding. On March 3, 2021 the Company paid the Securities and Exchange Commission $106,205.95 and $100,000 to a former legal firm for outstanding invoices. On March 10, 2021 the Company paid GS Capital Partners, LLC $247,263.00 in satisfaction of an outstanding note payable. The Company and GS Capital group have entered into a Security purchase agreement. The Company received a wire transfer of $995,000. On April 1, 2021.

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Dec. 31, 2020
Accounting Policies [Abstract]
Going Concern	Going Concern The accompanying financial statements have been prepared assuming we will continue as a going concern, which contemplates the realization of assets and the liquidation of liabilities in the normal course of business. We have sustained losses and experienced negative cash flows from operations since inception, and for the year ended December 31, 2020, incurred a net loss of $12,606,540 used net cash of $$1,471,997 to fund operating activities. At December 31, 2020, we had cash of $264, an accumulated deficit of $51,560,884 a working capital deficit of $17,403,295 and stockholders’ deficit of $16,805,459. We have funded our activities to date almost exclusively from equity and debt financings. Our cash position is critically deficient, and payments essential to our ability to operate are not being made in the ordinary course. Failure to raise capital in the coming days to fund our operations and failure to generate positive cash flow to fund such operations in the future will have a material adverse effect on our financial condition. These factors raise substantial doubt about our ability to continue as a going concern. We need to raise additional funds immediately and continue to raise funds until we begin to generate sufficient cash from operations, and we may not be able to obtain the necessary financing on acceptable terms, or at all. We will continue to require substantial funds to continue development of our core business. Management’s plans in order to meet our operating cash flow requirements include financing activities such as private placements of common stock, and issuances of debt and convertible debt instruments, and the establishment of strategic relationships which we expect will lead to the generation of additional revenue or acquisition opportunities. While we believe that we will be successful in obtaining the necessary financing to fund our operations, there are no assurances that such additional funding will be achieved or that we will succeed in our future operations. Our ability to achieve and maintain profitability and positive cash flow is dependent upon our ability to successfully execute the plans to pursue acquisitions and raise the funds necessary to complete such acquisitions. The outcome of these matters cannot be predicted at this time. The consolidated financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts or the amounts and classification of liabilities that might be necessary should we be unable to continue as a going concern.
Principles of Consolidation	Principles of Consolidation The accompanying consolidated financial statements include the accounts of the Company and our wholly owned subsidiaries, NACSV, GDSI Florida, LLC, Global Digital Solutions, LLC and HarmAlarm. All intercompany accounts and transactions have been eliminated in consolidation.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, equity-based transactions and disclosure of contingent liabilities at the date of the financial statements and revenues and expenses during the reporting period. Actual results could differ from those estimates. The Company believes the following critical accounting policies affect its more significant judgments and estimates used in the preparation of the financial statements. Significant estimates include the derivative liability valuation, deferred tax asset and valuation allowance, and assumptions used in Black-Scholes-Merton, or BSM, or other valuation methods, such as expected volatility, risk-free interest rate, and expected dividend rate.
Income Taxes	Income Taxes Income taxes are accounted for based upon an asset and liability approach. Accordingly, deferred tax assets and liabilities arise from the difference between the tax basis of an asset or liability and its reported amount in the financial statements. Deferred tax amounts are determined using the tax rates expected to be in effect when the taxes will actually be paid or refunds received, as provided under currently enacted tax law. Valuation allowances are established when necessary, to reduce deferred tax assets to the amount expected to be realized. Income tax expense or benefit is the tax payable or refundable, respectively, for the period plus or minus the change in deferred tax assets and liabilities during the period. Accounting guidance requires the recognition of a financial statement benefit of a tax position only after determining that the relevant tax authority would more likely than not sustain the position following an audit. For tax positions meeting the more-likely-than-not threshold, the amount recognized in the financial statements is the largest benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement with the relevant tax authority. The Company believes its income tax filing positions and deductions will be sustained upon examination and accordingly, no reserves, or related accruals for interest and penalties have been recorded at December 31, 2020 and 2019. The Company recognizes interest and penalties on unrecognized tax benefits as well as interest received from favorable tax settlements within income tax expense. On December 22, 2017, the President of the United States signed and enacted into law H.R. 1 (the “Tax Reform Law”). The Tax Reform Law, effective for tax years beginning on or after January 1, 2018, except for certain provisions, resulted in significant changes to existing United States tax law, including various provisions that are expected to impact the Company. The Tax Reform Law reduces the federal corporate tax rate from 34% to 21% effective January 1, 2018. The Company analyzed the provisions of the Tax Reform Law to assess the impact on the Company’s consolidated financial statements and determined it had no material impact.
Cash and Cash Equivalents	Cash and Cash Equivalents We consider all highly liquid investments with original maturities of three months or less to be cash equivalents.
Prepaid expenses	Prepaid expenses On December 31, 2020, the company has a Prepaid Expense account of $520,000. The prepaid expense is aircraft lease agreement with Valley Air Express a company controlled by William Delgado. The aircraft will be used for the testing of PALS system. The agreement is for one year and 200 hours of flight time at a cost of $2,600 per flight hour. See Note 1.
Fair Value of Financial Instruments	Fair Value of Financial Instruments The carrying value of cash, accounts payable and accrued expenses approximate their fair values based on the short-term maturity of these instruments. The carrying amounts of debt were also estimated to approximate fair value. The Company utilizes market data or assumptions that market participants would use in pricing the asset or liability, including assumptions about risk and the risks inherent in the inputs to the valuation technique. These inputs can be readily observable, market corroborated, or generally unobservable. ASC 820 establishes a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (level 1 measurement) and the lowest priority to unobservable inputs (level 3 measurement). This fair value measurement framework applies at both initial and subsequent measurement. The three levels of the fair value hierarchy defined by ASC 820 are as follows: ● Level 1 – Quoted prices in active markets for identical assets or liabilities ● Level 2 –Quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, or other inputs that are observable, either directly or indirectly ● Level 3 – Significant unobservable inputs that cannot be corroborated by market data.
Derivative Financial Instruments	Derivative Financial Instruments We account for conversion options embedded in convertible notes payable in accordance with the Financial Accounting Standards Board (“FASB”) Accounting Standard Codification (“ASC’) 815, “Derivatives and Hedging” Embedded Derivatives Derivative Liabilities Derivatives and Hedging – Contracts in Entity’s own Equity Change in fair value of derivative liability
Earnings (Loss) Per Share ("EPS")	Earnings (Loss) Per Share (“EPS”) Basic EPS is computed by dividing net income (loss) by the weighted average number of shares of common stock outstanding. Diluted EPS includes the effect from potential issuance of common stock, such as stock issuable pursuant to the exercise of stock options and warrants and the assumed conversion of convertible notes. The following table summarizes the securities that were excluded from the diluted per share calculation because the effect of including these potential shares was antidilutive: Year Ended December 31, December 31, 2020 2019 Convertible notes and accrued interest 282,423,699 111,323,174 Preferred Stock 247,285,158 237,995,112 Stock options 13,650,002 13,650,002 Warrants 13,250,000 18,500,000 Potentially dilutive securities 556,608,859 381,428,288
Stock Based Compensation	Stock Based Compensation In accordance with ASC 718, “Compensation – Stock Compensation” the Company measures the cost of employee services received in exchange for share-based compensation measured at the grant date fair value of the award. The Company’s accounting policy for equity instruments issued to advisors, consultants, and vendors in exchange for goods and services follows the provisions of FASB ASC 505-50 .
Convertible Instruments	Convertible Instruments The Company evaluates and accounts for conversion options embedded in its convertible instruments in accordance with accounting standards for “Accounting for Derivative Instruments and Hedging Activities.” Accounting standards generally provides three criteria that, if met, require companies to bifurcate conversion options from their host instruments and account for them as free-standing derivative financial instruments. These three criteria include circumstances in which (a) the economic characteristics and risks of the embedded derivative instrument are not clearly and closely related to the economic characteristics and risks of the host contract, (b) the hybrid instrument that embodies both the embedded derivative instrument and the host contract is not re-measured at fair value under otherwise applicable generally accepted accounting principles with changes in fair value reported in earnings as they occur, and (c) a separate instrument with the same terms as the embedded derivative instrument would be considered a derivative instrument. Professional standards also provide an exception to this rule when the host instrument is deemed to be conventional as defined under professional standards as “The Meaning of Conventional Convertible Debt Instrument.” The Company accounts for convertible instruments (when it has determined that the embedded conversion options should not be bifurcated from their host instruments) in accordance with professional standards when “Accounting for Convertible Securities with Beneficial Conversion Features,” as those professional standards pertain to “Certain Convertible Instruments.” Accordingly, the Company records, when necessary, discounts to convertible notes for the intrinsic value of conversion options embedded in debt instruments based upon the differences between the fair value of the underlying common stock at the commitment date of the note transaction and the effective conversion price embedded in the note. Original issue discounts (“OID”) under these arrangements are amortized over the term of the related debt to their earliest date of redemption. The Company also records when necessary deemed dividends for the intrinsic value of conversion options embedded in preferred shares based upon the differences between the fair value of the underlying common stock at the commitment date of the note transaction and the effective conversion price embedded in the note. ASC 815-40 provides that, among other things, generally, if an event is not within the entity’s control could or require net cash settlement, then the contract shall be classified as an asset or a liability.
Convertible Securities	Convertible Securities Based upon ASC 815-15, we have adopted a sequencing approach regarding the application of ASC 815-40 to convertible securities. We will evaluate our contracts based upon the earliest issuance date. In the event partial reclassification of contracts subject to ASC 815-40-25 is necessary, due to our inability to demonstrate we have sufficient shares authorized and unissued, shares will be allocated on the basis of issuance date, with the earliest issuance date receiving first allocation of shares. If a reclassification of an instrument were required, it would result in the instrument issued latest being reclassified first.

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	12 Months Ended
	Dec. 31, 2020
Accounting Policies [Abstract]
Securities excluded from the diluted per share calculation	The following table summarizes the securities that were excluded from the diluted per share calculation because the effect of including these potential shares was antidilutive: Year Ended December 31, December 31, 2020 2019 Convertible notes and accrued interest 282,423,699 111,323,174 Preferred Stock 247,285,158 237,995,112 Stock options 13,650,002 13,650,002 Warrants 13,250,000 18,500,000 Potentially dilutive securities 556,608,859 381,428,288

ACCRUED EXPENSES (Tables)

ACCRUED EXPENSES (Tables)	12 Months Ended
	Dec. 31, 2020
Payables and Accruals [Abstract]
Accrued expenses	Accrued expenses consist of the following amounts: December 31, December 31, 2020 2019 Accrued compensation to executive officers 142,315 $ 262,984 Accrued professional fees and settlements 259,119 196,665 Accrued interest 942,446 254,595 Total accrued expenses $ 1,343,880 $ 714,244

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	12 Months Ended
	Dec. 31, 2020
Fair Value Measurements
Schedule of Derivative liabilities at Fair Value	The following is a summary of activity of Level 3 liabilities during the years ended December 31, 2020 and 2019: Balance at beginning of period $ 1,158,008 $ 561,175 Additions 2,802,754 1,696,708 Settlements (1,743,734 ) (639,600 ) Change in fair value 7,132,131 (461,275 ) Balance at end of year $ 9,367,159 $ 1,158,008

STOCKHOLDERS_ EQUITY (Tables)

STOCKHOLDERS’ EQUITY (Tables)	12 Months Ended
	Dec. 31, 2020
Stockholders Equity
Schedule of Warrants Issued	Class of Warrant Issued in Number outstanding Exercise Price Date of Date Vest Date of A-6 Financing 2,000,000 $ 0.01 May 15, 2018 May 15, 2018 May 15, 2021 A-7 Financing 5,000,000 $ 0.01 May 10, 2019 May 10, 2019 May 10, 2022 A-10 Financing 3,750,000 $ 0.01 Jan. 21, 2019 Jan. 21, 2019 Jan. 10, 2024 A-11 Financing 12,000,000 $ 0.01 Dec. 31, 2020 Dec. 31, 2020 Dec. 31, 2023 A-12 Financing 2,500,000 $ 0.01 Aug 19, 2019 Aug 19, 2019 Aug 19, 2024 25,250,000
Schedule of Summary of Outstanding and Exercisable Warrants	The following is a summary of outstanding and exercisable warrants at December 31, 2020: Outstanding Exercisable Weighted Average Outstanding Weighted Weighted Range of Number Remaining Average Number Average Exercise Outstanding Contractual Exercise Exercisable Exercise Prices at 12/31/20 Life (in yrs.) Price at 12/31/20 Price $ 0.01 2,000,000 .5 $ 0.002 2,000,000 $ 0.01 $ 0.01 5,000,000 1.5 $ 0.004 5,000,000 $ 0.01 $ 0.01 3,750,000 3.0 $ 0.002 3,750,000 $ 0.01 $ 0.01 12,000,000 3.0 $ 0.01 12,000,000 $ 0.01 $ 0.01 2,500,000 3.8 $ 2,500,000 $ 25,250,000 $ 25,250,000 The following is a summary of outstanding and exercisable warrants at December 31, 2019: Outstanding Exercisable Weighted Outstanding Number Remaining Contractual Weighted Weighted Range of Exercise at 12/31/18 Life (in yrs.) Exercise Price Number Exercisable at 12/31/19 Exercise Price Average $ 0.01 1,000,000 326 $ 0.01 1,000,000 $ 0.01 $ 0.01 2,000,000 1.37 $ 0.01 2,000,000 $ 0.01 $ 0.01 5,000,000 1.40 $ 0.01 5,000,000 $ 0.01 $ 0.0069 2,500,000 385 $ 0.0069 2,500,000 $ 0.0069 0.0069 to 0.01 10,500,000 217 $ 0.0093 10,500,000 $ 0.0093
Schedule of Restricted Stock Grants Awarded to Advisors	December 31, 2020 Name Date of Number of Vest from Vest To Vested Unvested Forfeited Mathew Kelley 4/17/13 1,250,000 4/30/13 3/31/14 1,250,000 — — 4/17/13 1,250,000 2/28/14 1/31/15 1,250,000 — — Richard J. Feldman 4/30/14 500,000 4/30/14 3/30/15 500,000 — — 500,000 4/30/15 3/30/16 375,000 — 125,000 Gary Gray 3/7/15 1,000,000 3/7/15 5/30/15 1,000,000 Ross Trevino 3/7/15 500,000 3/7/15 5/30/15 500,000 5,000,000 4,875,000 — 125,000

INCOME TAXES (Tables)

INCOME TAXES (Tables)	12 Months Ended
	Dec. 31, 2020
Disclosure Income Taxes Tables Abstract
Schedule of Income Tax Reconciliation	Reconciliations between the statutory rate and the effective tax rate for the year ended December 31, 2020 consist as follows: 2020 (rounded to nearest thousand) Amounts Rate Income tax (expense) benefit at statutory federal rate of 21% $ 2,644,000 -21 % Permanent differences (1,488,000 ) 12 % Increase (decrease) in valuation allowance (1,146,000 ) 9 % Income tax expense (benefit) at Company’s effective tax rate $ — 0 %
Schedule of Deferred Tax Assets	TOTAL 2020 TOTAL 12/31/2019 Activity 12/31/2020 Net Operating Loss Carryforward $ 15,845,499 $ 5,459,309 $ 21,304,808 NOL tax benefit $ 3,782,838 $ 1,146,000 $ 4,750,945 Stock based compensation 2,908,000 2,908,000 Accrued expenses 26,000 26,000 Amortization and depreciation 19,000 19,000 Impairment of intangible assets 243,000 243,000 Total Deferred Tax Assets 6,978,838 1,146,000 7,946,945 Valuation allowance (6,978,838 ) (1,146,000 ) (7,946,945 ) $ — $ — $ —

RELATED PARTY TRANSACTIONS (Tab

RELATED PARTY TRANSACTIONS (Tables)	12 Months Ended
	Dec. 31, 2020
Related Party Transactions [Abstract]
Accounts payable and accrued compensation	Accounts Payable December 31, December 31, 2020 2019 RLT Consulting $ 21,591 $ 21,591 Jerry Gomolski 25,000 25,000 Charter 804CS 20,099 20,099 Gary Gray 12,000 12,000 $ 78,690 $ 78,690 Accrued Compensation William Jerome Total Delgado Gomolski Balance 12/31/2019 $ 262,984 $ 192,646 $ 70,338 2020 Salary 300,000 240,000 60,000 Payments (420,669 ) (368,165 ) (52,504 ) Balance 12/31/2020 $ 142,315 $ 64,481 $ 77,834

SUMMARY OF SIGNIFICANT ACCOUN_4

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Summary Of Significant Accounting Policies
Net Income (Loss)	$ 12,606,540	$ 3,292,522
Net Cash to fund Operating activities	1,471,997	1,472,279
Cash	264	493,402	$ 8,100
Accumulated deficit	51,560,884	38,954,344
Working capital deficit	17,403,295
Stockholders' deficit	$ (16,805,461)	$ (6,157,507)	$ (4,295,479)

SUMMARY OF SIGNIFICANT ACCOUN_5

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - shares	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019
Potentially dilutive securities	556,608,859	381,428,288
Convertible Notes Payable [Member]
Potentially dilutive securities	282,423,699	111,323,174
Preferred Stock [Member]
Potentially dilutive securities	247,285,158	237,995,112
Stock Option [Member]
Potentially dilutive securities	13,650,002	13,650,002
Warrant [Member]
Potentially dilutive securities	13,250,000	18,500,000

ACCRUED EXPENSES (Details)

ACCRUED EXPENSES (Details) - USD ($)	Dec. 31, 2020	Dec. 31, 2019
Accrued Expenses
Accrued compensation to executive officers and employee	$ 142,315	$ 262,984
Accrued professional fees and settlements	259,119	196,665
Accrued interest	942,446	254,595
Total Accrued Expenses	$ 1,343,880	$ 714,244

FAIR VALUE MEASUREMENTS (Detail

FAIR VALUE MEASUREMENTS (Details) - USD ($)	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019
Balance at beginning of period	$ 1,158,008
Change in fair value	7,132,131	$ (461,275)
Balance at end of period	9,367,159	1,158,008
Derivative Liability | Fair Value, Inputs, Level 3 [Member]
Balance at beginning of period	1,158,008	561,175
Additions	2,802,754	1,696,708
Settlements	(1,743,734)	(639,600)
Change in fair value	7,132,131	(461,275)
Balance at end of period	$ 9,367,159	$ 1,158,008

FAIR VALUE MEASUREMENTS (Deta_2

FAIR VALUE MEASUREMENTS (Details Narrative)	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019
Disclosure Fair Value Measurements Details Narrative Abstract
Risk-Free Interest Rate	0.08%	2.45%
Term	3 months 21 days	3 months
Volatility	103.70%	193.28%
Dividend Rate	0.00%	0.00%

STOCKHOLDERS' EQUITY (Details N

STOCKHOLDERS' EQUITY (Details Narrative) - $ / shares	Dec. 31, 2020	Dec. 31, 2019
Disclosure Stockholders Equity Details Narrative Abstract
Stock Option Outstanding	13,650,002	13,650,002
Preferred Stock, par value	$ 0.001	$ 0.001
Preferred Stock, Shares Authorized	35,000,000	35,000,000
Preferred Stock, Shares Issued	1,000,000	1,000,000
Preferred Stock, Shares Outstanding	1,000,000	1,000,000
Common Stock, par value	$ 0.001	$ 0.001
Common Stock, Shares Authorized	2,000,000,000	2,000,000,000
Common Stock, Shares Issued	668,338,264	643,121,923
Common Stock, Shares Outstanding	668,338,264	643,121,923

INCOME TAXES (Details)

INCOME TAXES (Details)	12 Months Ended
	Dec. 31, 2020USD ($)
Effective Income Tax Reconciliations, Amount
Income tax (expense) benefit at statutory federal rate	$ 2,644,000
Permanent differences	(1,488,000)
Increase (decrease) in valuation allowance	(1,146,000)
Income tax expense (benefit) at Company's effective tax rate
Effective Income Tax Reconciliations, Rate
Income tax (expense) benefit at statutory federal rate	(21.00%)
Permanent differences	12.00%
Increase (decrease) in valuation allowance	9.00%
Income tax expense (benefit) at Company's effective tax rate	0.00%

INCOME TAXES (Details 2)

INCOME TAXES (Details 2) - USD ($)	Dec. 31, 2020	Dec. 31, 2019
Net Operating Loss Carryforward	$ 21,304,808	$ 15,845,499
NOL tax benefit	4,750,945	3,782,838
Stock based compensation	2,908,000	2,908,000
Accrued expenses	26,000	26,000
Amortization and depreciation	19,000	19,000
Impairment of intangible assets	243,000	243,000
Total Deferred Tax Assets	7,946,945	6,978,838
Valuation allowance	(7,946,945)	(6,978,838)
Total Deferred Tax Assets
Activity
Net Operating Loss Carryforward	5,459,309
NOL tax benefit	1,146,000
Stock based compensation
Accrued expenses
Amortization and depreciation
Impairment of intangible assets
Total Deferred Tax Assets	1,146,000
Valuation allowance	(1,146,000)
Total Deferred Tax Assets

INCOME TAXES (Details Narrative

INCOME TAXES (Details Narrative)	Dec. 31, 2020USD ($)
Disclosure Income Taxes Details Narrative Abstract
Operating Loss Carryforwards	$ 21,000,000

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details) - USD ($)	Dec. 31, 2020	Dec. 31, 2019
Compensation owed to related parties	$ 78,690	$ 78,690
RLT Consulting
Compensation owed to related parties	21,591	21,591
Jerry Gomolski
Compensation owed to related parties	25,000	25,000
Charter 804CS
Compensation owed to related parties	20,099	20,099
Gary Gray
Compensation owed to related parties	$ 12,000	$ 12,000

RELATED PARTY TRANSACTIONS (D_2

RELATED PARTY TRANSACTIONS (Details 2)	12 Months Ended
	Dec. 31, 2020USD ($)
Beginning Balance	$ 262,984
2020 Salary	300,000
Payments	(420,669)
Ending Balance	142,315
William Delgado
Beginning Balance	192,646
2020 Salary	240,000
Payments	(368,165)
Ending Balance	64,481
Jerome Gomolski
Beginning Balance	70,338
2020 Salary	60,000
Payments	(52,504)
Ending Balance	$ 77,834