Digatrade Financial (DIGAF) 6-K 27 Aug 18 2018 Q2 Unaudited Interim Consolidated Financial Statements Financial data

Document and Entity Information

Document and Entity Information	6 Months Ended
	Jun. 30, 2018shares
Document And Entity Information
Entity Registrant Name	Digatrade Financial Corp
Entity Central Index Key	1,369,128
Document Type	6-K
Document Period End Date	Jun. 30, 2018
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Is Entity a Well-known Seasoned Issuer?	No
Is Entity a Voluntary Filer?	No
Is Entity's Reporting Status Current?	Yes
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding	44,421,004
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2,018

Interim Consolidated Balance Sh

Interim Consolidated Balance Sheets - CAD ($)	Jun. 30, 2018	Dec. 31, 2017
CURRENT
Cash	$ 445,133	$ 494,443
Accounts receivable	143,932	297,309
GST recoverable	13,558	9,044
Prepaid expenses	138,675	159,312
Total current assets	741,298	960,108
CURRENT
Trade and other payables	198,970	150,213
Liabilities to customers	106,747	297,309
Convertible promissory notes - current portion	1,353,319	1,294,693
Total current liabilities	1,659,036	1,742,215
Convertible promissory notes	6,452	287,802
Total liabilities	1,665,488	2,030,017
SHAREHOLDERS' DEFICIENCY
Share Capital	4,817,126	4,106,207
Deficit	(5,741,316)	(5,176,116)
Total shareholders' deficiency	(924,190)	(1,069,909)
Total liabilities and shareholders' deficiency	$ 741,298	$ 960,108

Interim Consolidated Statement

Interim Consolidated Statement of Changes in Shareholders’ Equity - CAD ($)	Common Shares	Class "B" Common Shares	Share Capital	Share Subscriptions Received	Deficit	Total
Beginning balance, shares at Dec. 31, 2016	42,909,650	0
Beginning balance, amount at Dec. 31, 2016			$ 3,645,457	$ 334,975	$ (4,501,596)	$ (521,164)
Shares issued in settlement of debt, shares	2,000,000	0
Shares issued in settlement of debt, amount			32,409			32,409
Net loss for the period					(100,401)	(100,401)
Ending balance, shares at Jun. 30, 2017	44,909,650	0
Ending balance, amount at Jun. 30, 2017			3,677,866	334,975	(4,601,997)	(589,156)
Beginning balance, shares at Dec. 31, 2017	49,661,150	100,000
Beginning balance, amount at Dec. 31, 2017			4,106,207	0	(5,176,116)	(1,069,909)
Shares issued pursuant to conversion of convertible promissory notes, shares	9,913,271	0
Shares issued pursuant to conversion of convertible promissory notes, amount			703,546			703,546
Shares issued pursuant to consulting contracts, shares	600,000	0
Shares issued pursuant to consulting contracts, amount			7,373			7,373
Net loss for the period					(565,100)	(565,100)
Ending balance, shares at Jun. 30, 2018	53,422,921	100,000
Ending balance, amount at Jun. 30, 2018			$ 4,817,126	$ 0	$ (5,741,216)	$ (924,190)

Interim Consolidated Statements

Interim Consolidated Statements of Operations, Comprehensive Loss and Deficit - CAD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
EXPENSES
Accounting, audit and legal	$ 13,595	$ 9,800	$ 45,258	$ 19,600
Consulting expense	135,899	30,000	173,272	45,000
Investor relations expense	0	0	0	613
Finder's fees	10,939	0	59,816	0
Filing and transfer agent fees	1,486	1,212	6,062	7,866
Management fees	30,000	30,000	60,000	45,000
Administration expenses	0	16	0	16
Bank charges and interest	28,164	416	63,552	525
Project development costs	27,230	4,074	102,683	4,074
Total expenses	247,313	75,518	510,643	122,712
PROFIT (LOSS) BEFORE OTHER ITEMS	(247,313)	(75,518)	(510,643)	(122,712)
Foreign exchange (loss) gain	(24,944)	20,146	(58,937)	21,798
Gain on settlement of debt	0	514	0	514
NET PROFIT (LOSS) FOR THE PERIOD	(267,777)	(54,859)	(565,100)	(100,401)
Other comprehensive income	0	0	0	0
NET COMPREHENSIVE LOSS FOR THE PERIOD	$ (267,777)	$ (54,859)	$ (565,100)	$ (100,401)
POST-SHARE CONSOLIDATION
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING	44,421,004	43,108,545	44,421,004	43,108,545
BASIC AND DILUTED (LOSS) PROFIT PER SHARE	$ (0.006)	$ (0.001)	$ (0.01)	$ (0.002)

Interim Consolidated Statement5

Interim Consolidated Statements of Cash Flows - CAD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
OPERATING ACTIVITIES
Net Profit (Loss) for the Period	$ (267,777)	$ (54,859)	$ (565,100)	$ (100,401)
Non-Cash Items
Unrealized foreign exchange (gains) losses	(20,118)	(19,103)	21,179	(21,312)
Gain on settlement of debt	0	514	0	514
Amortization of prepaid expenses	(4,010)	0	(2,088)	3,999
Common stock issued for consulting services	0	0	7,373	0
Interest accrued on convertible promissory notes	59,465	0	87,080	0
Accounts receivable	181,826	343	153,377	(945)
Prepaid expenses	23,211	(31,893)	22,725	(35,892)
GST payable (recoverable)	(1,748)	1,143	(4,514)	(1,238)
Liabilities to customers	(219,011)	0	(190,562)	0
Accounts payable and accrued liabilities	31,858	(82,243)	48,757	(122,777)
Cash flows provided by (used in) operating activities	(216,304)	(186,098)	(421,773)	(278,052)
FINANCING ACTIVITIES
Promissory notes repaid	0	(130,498)	0	(130,498)
Proceeds received on issuance of promissory notes	172,328	297,943	372,463	297,943
Cash flows provided by (used in) financing activities	172,328	167,445	372,463	167,445
NET (DECREASE) INCREASE IN CASH	(43,976)	(18,653)	(49,310)	(110,607)
Cash (bank indebtedness), beginning of the period	489,109	22,535	494,443	114,489
CASH, END OF THE PERIOD	$ 445,133	$ 3,882	$ 445,133	$ 3,882

NATURE AND CONTINUANCE OF OPERA

NATURE AND CONTINUANCE OF OPERATIONS	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
NATURE AND CONTINUANCE OF OPERATIONS	The Company was incorporated on December 28, 2000, under the Company Act of the Province of British Columbia, Canada. On February 19, 2015, the Company changed its name from Rainchief Energy Inc. to Bit-X Financial Corporation. On October 27, 2015, the Company changed its name from Bit-X Financial Corporation to Digatrade Financial Corp. The Company is focused on increasing scale, further development and branding a digital asset (decentralized blockchain based crypto-currency) exchange platform. In March 2015, the Company entered into an agreement with Mega Ideas Holdings Limited, dba ANX (“ANX”), a company incorporated and existing under the laws of Hong Kong. ANX owns and operates a technology platform and provides operational and technology support specializing in blockchain applications and crypto-currency exchange services. In addition, they provide transaction and settlement services, debit card solutions along with blockchain development services. This services agreement is in line with the Company’s business model restructuring which is to focus on licensing, developing, and branding a digital exchange trading platform and peer-to-peer electronic payment processing network. The head office, principal address, and records office of the Company are located at 1500 West Georgia Street, Suite 1300, Vancouver, British Columbia, Canada, V6C 2Z6. These consolidated financial statements have been prepared in accordance with International Financial Reporting Standards on the basis that the Company is a going concern and will be able to meet its obligations and continue its operations for its next fiscal year. Several conditions as set out below cast uncertainties on the Company’s ability to continue as a going concern. The Company’s ability to continue as a going concern is dependent upon the financial support from its creditors, shareholders, and related parties, its ability to obtain financing for its development projects, and upon the attainment of future profitable operations. The Company has not yet achieved profitable operations and has accumulated losses of $5,741,216 since inception and working capital deficiency of $ 917,738 as at June 30, 2018; accordingly, the Company will need to raise additional funds through future issuance of securities or debt financing. Although the Company has raised funds in the past, there can be no assurance the Company will be able to raise sufficient funds in the future, in which case the Company may be unable to meet its obligations as they come due in the normal course of business. It is not possible to predict whether financing efforts will be successful or if the Company will attain a profitable level of operations. The current cash resources are not adequate to pay the Company’s accounts payable and to meet its minimum commitments at the date of these consolidated financial statements, including planned corporate and administrative expenses, and other project implementation costs, accordingly, there is significant doubt about the Company’s ability to continue as a going concern. These consolidated financial statements do not give effect to adjustments that would be necessary to the carrying amounts and classifications of assets and liabilities should the Company be unable to continue as a going concern.

SIGNIFICANT ACCOUNTING POLICIES

SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
SIGNIFICANT ACCOUNTING POLICIES	a) Basis of Presentation These consolidated financial statements have been prepared on a historical cost basis except for financial instruments classified as available-for-sale that have been measured at fair value. Cost is the fair value of the consideration given in exchange for net assets. b) Statement of Compliance These consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”). These consolidated financial statements were approved and authorized for issue by the Board of Directors on August 20, 2018. c) Basis of Consolidation These consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries (collectively, the “Company”). Intercompany balances and transactions are eliminated in preparing the consolidated financial statements. The following companies have been consolidated within these consolidated financial statements: Entity Country of Incorporation Holding Functional Currency Digatrade Financial Corp. Canada Parent Company Canadian Dollar Digatrade Limited Canada 100% Canadian Dollar Digatrade (UK) Limited United Kingdom 100% Pounds Sterling Digatrade Limited USA 100% US Dollar The Company’s former subsidiaries, Jaydoc Capital Corp. and Rainchief Renewable-1 S.R.L., were de-registered during the year ended December 31, 2015. d) Foreign Currency These consolidated financial statements are presented in Canadian dollars, which is also the functional currency of the parent company. Each subsidiary determines its own functional currency (Note 2(c)) and items included in the financial statements of each subsidiary are measured using that functional currency. i. Transactions and Balances in Foreign Currencies Foreign currency transactions are translated into the functional currency of the respective entity using the exchange rates prevailing at the dates of the transactions. Foreign exchange gains and losses resulting from the settlement of such transactions and from the re-measurement of monetary items at year-end exchange rates are recognized in profit or loss. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and are not retranslated. Non-monetary items measured at fair value are translated using the exchange rate at the date when fair value was determined. ii. Foreign Operations On consolidation, the assets and liabilities of foreign operations are translated into Canadian dollars at the exchange rate prevailing at the reporting date and their revenues and expenses are translated at exchange rates prevailing at the dates of the transactions. The exchange differences arising on the translation are recognized in other comprehensive income and accumulated in the currency translation reserve in equity. On disposal of a foreign operation, the component of other comprehensive income relating to that particular foreign operation is recognized in earnings and recognized as part of the gain or loss on disposal. e) Financing and Finder’s Fees Financing and finder’s fees relating to financial instruments with a term of one year or less are expensed in the period incurred. For financial instruments with a term of over one year, the fees are netted against the financial instruments and amortized over the term of the financial instruments. f) Share Capital The Company records proceeds from share issuances, net of commissions and issuance costs. Shares issued for other than cash consideration are valued at the quoted price on the Over-the-Counter Bulletin Board in the United States based on the earliest of: (i) the date the shares are issued, and (ii) the date the agreement to issue the shares is reached. g) Share-Based Payments The fair value method of accounting is used for share-based payment transactions. Under this method, the cost of stock options and other share-based payments is recorded based on the estimated fair value using the Black-Scholes option-pricing model at the grant date and charged to profit over the vesting period. The amount recognized as an expense is adjusted to reflect the number of equity instruments expected to vest. Upon the exercise of stock options and other share-based payments, consideration received on the exercise of these equity instruments is recorded as share capital and the related share-based payment reserve is transferred to share capital. The fair value of unexercised equity instruments are transferred from reserve to retained earnings upon expiry. h) Revenue Recognition Revenue is comprised of consulting fees and commissions earned on trades executed on the digital currency trading platform. Consulting fee income is recognized as the consulting services are provided. Commission is considered earned when a trade is completed by the Company’s customers. As the platform is not yet fully live, commissions and consulting fees earned have been accounted for as a recovery of development costs incurred. i) Loss per Share Basic loss per share is calculated by dividing net loss by the weighted average number of common shares issued and outstanding during the reporting period. Diluted loss per share is the same as basic loss per share, as the issuance of shares on the exercise of stock options and share purchase warrants is anti-dilutive. The loss per share in prior periods has been adjusted to take into account the consolidation of the Company’s common stock on June 8, 2016 (Note 10(b)(i)). j) Income Taxes Tax expense recognized in profit or loss comprises the sum of deferred tax and current tax not recognized in other comprehensive income or directly in equity. i. Current Income Tax Current income tax assets and liabilities comprise those claims from, or obligations to, fiscal authorities relating to the current or prior reporting periods that are unpaid at the reporting date. Current tax is payable on taxable profit, which differs from profit or loss in the consolidated financial statements. Calculation of current tax is based on tax rates and tax laws that have been enacted or substantively enacted by the end of the reporting period. ii. Deferred Income Tax Deferred income taxes are calculated using the liability method on temporary differences between the carrying amounts of assets and liabilities and their tax bases. Deferred tax assets and liabilities are calculated, without discounting, at tax rates that are expected to apply to their respective period of realization, provided they are enacted or substantively enacted by the end of the reporting period. Deferred tax liabilities are always provided for in full. Deferred tax assets are recognized to the extent that it is probable that they will be able to be utilized against future taxable income. Deferred tax assets and liabilities are offset only when the Company has a right and intention to offset current tax assets and liabilities from the same taxation authority. Changes in deferred tax assets or liabilities are recognized as a component of tax income or expense in profit or loss, except where they relate to items that are recognized in other comprehensive income or directly in equity, in which case the related deferred tax is also recognized in other comprehensive income or equity, respectively. k) Financial Instruments Financial assets and financial liabilities are recognized when the Company becomes a party to the contractual provisions of the financial instrument. Financial assets and financial liabilities are initially measured at fair value. Transaction costs that are directly attributable to the acquisition or issue of financial assets and financial liabilities (other than financial assets and financial liabilities classified at fair value through profit or loss) are added to, or deducted from, the fair value of the financial assets or financial liabilities, as appropriate, on initial recognition. Transaction costs directly attributable to the acquisition of financial assets or financial liabilities classified at fair value through profit or loss are recognized immediately in profit or loss. Financial assets and financial liabilities are measured subsequently as described below. The Company does not have any derivative financial instruments. i) Financial Assets For the purpose of subsequent measurement, financial assets other than those designated and effective as hedging instruments are classified into the following categories upon initial recognition: ● Financial assets at fair value through profit or loss; ● Loans and receivables; ● Held-to-maturity investments; and ● Available-for-sale financial assets. The category determines subsequent measurement and whether any resulting income and expense is recognized in profit or loss or in other comprehensive income. All financial assets except for those at fair value through profit or loss are subject to review for impairment at least at each reporting date. Financial assets are impaired when there is any objective evidence that a financial asset or a group of financial assets is impaired. Different criteria to determine impairment are applied for each category of financial assets, which are described below. ● Financial assets at fair value through profit or loss ● Loans and receivables ● Held-to-maturity investments Held-to-maturity investments are measured subsequently at amortized cost using the effective interest method. If there is objective evidence that the investment is impaired as determined by reference to external credit ratings, then the financial asset is measured at the present value of estimated future cash flows. Any changes to the carrying amount of the investment, including impairment losses, are recognized in profit or loss. ● Available-for-sale financial assets For financial assets measured at amortized cost, if, in a subsequent period, the amount of the impairment loss decreases and the decrease can be related objectively to an event occurring after the impairment was recognized, then the previously recognized impairment loss is reversed through profit or loss to the extent that the carrying amount of the investment at the date the impairment is reversed does not exceed what the amortized cost would have been had the impairment not been recognized. In respect of available-for-sale financial assets, impairment losses previously recognized in profit or loss are not reversed through profit or loss. Any increase in fair value subsequent to an impairment loss is recognized in other comprehensive income and accumulated in the revaluation reserve. Financial assets are derecognized when the contractual rights to the cash flows from the financial asset expire, or when the financial asset and all substantial risks and rewards are transferred. ii) Financial Liabilities For the purpose of subsequent measurement, financial liabilities are classified as either financial liabilities at fair value through profit or loss, or other financial liabilities upon initial recognition. ● Financial liabilities at fair value through profit or loss ● Other financial liabilities A financial liability is derecognized when it is extinguished, discharged, cancelled or expired.

SIGNIFICANT ACCOUNTING JUDGEMEN

SIGNIFICANT ACCOUNTING JUDGEMENTS, ESTIMATES AND ASSUMPTIONS	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
SIGNIFICANT ACCOUNTING JUDGEMENTS, ESTIMATES AND ASSUMPTIONS	In the application of the Company’s accounting policies which are described in Note 2, management is required to make judgments, estimates, and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods, if the revision affects both current and future periods. Significant judgments, estimates, and assumptions that have the most significant effect on the amounts recognized in the consolidated financial statements are described below. Deferred Tax Assets Deferred tax assets, including those arising from unutilized tax losses, require management to assess the likelihood that the Company will generate sufficient taxable earnings in future periods in order to utilize recognized deferred tax assets. Assumptions about the generation of future taxable profits depend on management’s estimates of future cash flows. In addition, future changes in tax laws could limit the ability of the Company to obtain tax deductions in future periods. To the extent that future cash flows and taxable income differ significantly from estimates, the ability of the Company to realize the net deferred tax assets recorded at the reporting date could be impacted.

ACCOUNTING STANDARDS ISSUED BUT

ACCOUNTING STANDARDS ISSUED BUT NOT YET EFFECTIVE	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
ACCOUNTING STANDARDS ISSUED BUT NOT YET EFFECTIVE	A number of new accounting standards, amendments to standards, and interpretations have been issued but not yet effective up to the date of issuance of the Company’s consolidated financial statements. The Company intends to adopt the following standards, if applicable, when they become effective. a) IFRS 9 – Financial Instruments IFRS 9 as issued reflects the first phase of the IASBs work on the replacement of IAS 39 and applies to classification and measurement of financial assets as defined in IAS 39. The standard was initially effective for annual period beginning on or after January 1, 2013, but amendments to IFRS 9 Mandatory Effective Date of IFRS 9 and Transition Disclosures, issued in December 2011, moved the mandatory effective date to January 1, 2018. The Company has determined that there is no material impact of this standard on its consolidated financial statements. b) IFRS 15 – Revenue from Contracts with Customers IFRS 15 clarifies the principles for recognizing revenue from contracts with customers. IFRS 15 will also result in enhanced disclosures about revenue, provide guidance for transactions that were not previously addressed comprehensively, and improve guidance for multiple-element arrangements. The standard is effective for annual period beginning on or after January 1, 2018 and is to be applied retrospectively. The Company has determined that there is no material impact of this standard on its consolidated financial statements. IFRS 16 provides a single lessee accounting model, requiring the recognition of assets and liabilities for all leases, unless the least term is 12 months or less or the underlying asset has a low value. Lessor accounting remains largely unchanged from IAS 17 and the distinction between operating and finance leases is retained. The standard is effective for annual period beginning on or after January 1, 2019.

ACCOUNTS RECEIVABLE

ACCOUNTS RECEIVABLE	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
ACCOUNTS RECEIVABLE	As at June 30, 2018 and December 31, 2017, the Company had the following amounts due from third parties: June 30, 2018 December 31, 2017 $ $ Due From Trading Platform (Note 7) 143,932 297,309 143,932 297,309

PREPAID EXPENSES

PREPAID EXPENSES	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
PREPAID EXPENSES	As at June 30, 2018 and December 31, 2017, the Company had the following prepaid expenses: June 30, 2018 December 31, 2017 $ $ Market Registration Fees 8,682 7,685 Deposit with ANX 13,187 70,029 Prepaid Consulting Fees 45,572 26,025 Prepaid Management Fees (Note 13(a)(i)) 71,234 55,573 138,675 159,312

TRADE AND OTHER PAYABLES

TRADE AND OTHER PAYABLES	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
TRADE AND OTHER PAYABLES	As at June 30, 2018 and December 31, 2017, the Company had the following amounts due to creditors: June 30, 2018 December 31, 2017 $ $ Trade Payables 140,738 119,013 Accrued Liabilities 58,232 31,200 198,970 150,213

LIABILITY TO CUSTOMERS

LIABILITY TO CUSTOMERS	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
LIABILITY TO CUSTOMERS	As at June 30, 2018, the Company had a liability to customers trading on the Company’s currency platform in the amount of $106,747 (December 31, 2017 – $297,309). This amount is offset by an equal amount due to the Company from the trading platform. (Note 5)

CONVERTIBLE PROMISSORY NOTES PA

CONVERTIBLE PROMISSORY NOTES PAYABLE	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
CONVERTIBLE PROMISSORY NOTES PAYABLE	$ Balance, December 31, 2017 1,582,495 Issuances 372,463 Repayments - Conversions to Common Shares (681,350 ) Interest Accrued 64,984 Unrealized Foreign Exchange Adjustment 21,179 Balance, June 30, 2018 1,359,771 On January 18,2018 certain Convertible Promissory Notes totaling US$220,000 were converted to 2,500,000 common shares. On February 22 and 23, 2018 a Convertible Promissory Note totaling US$78,000 was converted to 858,611 common shares. On February 26, 2018 Convertible Promissory Note totaling US$30,000 was converted to 335,450 common shares On March 19, 2018 a portion of a Convertible Promissory Note in the amount of US$39,006 was converted to 614,855 common shares. On February 15, 2018 the Company issued a Convertible Promissory Note in the amount of $98,950 (US$78,000). During April and May 2018, a portion of a Convertible Promissory Note totaling US$73,840 was converted to 2,106,292 common shares. During May and June 2018, a portion of a Convertible Promissory Note totaling US$238,130 was converted to 2,135,034 common shares. During June 2018, a Convertible Promissory Note totaling US$55,000 was converted to 1,193,029 common shares. On March 5, 2018 the Company issued two Convertible Promissory Notes totaling $101,184 (US$80,000) On April 30, 2018 the Company issued a Convertible Promissory Note in the amount of $103,714 (US$82,000) The notes are unsecured, bear interest at 12% per annum from the date of issuance and mature between 6 months and one year after the date of issuance. Any amount of interest or principal that is not paid on the maturity date bears interest at 22% to 24% per annum from the maturity date to the date of payment. Any amount of principal and/or interest that is unpaid may be converted, at the option of the holder, in whole or in part into common share of the Company at a price equal to 61% of the lowest closing bid price for the Company’s stock as reported on the OTC during the fifteen trading days prior to a Notice of Conversion. The Company may prepay the principal and all accrued interest at any time between the date of issuance and the maturity date, together with a prepayment premium of between 15% and 40% of the amount prepaid, determined by reference to the date of repayment. On June 1, 2018 the Company issued a Convertible Promissory Note in the amount of $64,820 (US$50,000) pursuant to a consulting contact. The note is unsecured and matures on December 2, 2018. The note may be converted into common shares of the Company in whole or in part at the option of the holder upon terms to be determined by the Company either 10 days prior to repayment of the note or the maturity date, whichever shall occur first. The note becomes immediately payable should the Company complete financing in excess of US$5,000,000 prior to the maturity date, and bears interest at 3% per annum compounded annually should the Company default on the note (see Note 11).

SHARE CAPITAL

SHARE CAPITAL	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
SHARE CAPITAL	a) Authorized Capital Unlimited number of common shares, participating, voting (voting right of 1 vote per share), with no par value. 100,000 Class “B” common shares, non-participating, voting (voting right of 1,000 votes per share), with no par value. b) Issued and Outstanding Common Shares i. Effective June 8, 2016, the common shares of the Company were consolidated at the ratio of one new common share for every 50 old common shares. The Company issued 12,306 shares to round up fractional entitlements resulting from the consolidation. The number of common shares and basic profit or loss per share calculations disclosed in these financial statements have been adjusted to reflect the retroactive application of this share consolidation. ii. On October 10, 2017, the Company passed a resolution authorizing the creation of a new 100,000 Class “B” common shares with the following characteristics: non-participating, no par value, and with the voting right of 1,000 votes per share. On the same day, the Company issued 100,000 Class “B” common shares at $0.001 per share for total proceeds of $100 to a shareholder who is also a Director and Office of the Company. iii. On January 18,2018 the Company issued 2,500,000 common shares on the conversion of certain Convertible Promissory Notes totaling US$220,000 On February 22 and 23, 2018, the Company issued 858,611 common shares on the conversion of a Convertible Promissory Note in the amount of US$78,000. On February 26, 2018 the Company issued 335,450 common shares on the conversion of a Convertible Promissory Note in the amount of US$30,000. On March 19, 2018 the Company issued 614,885 Common Shares on the conversion of a portion of a Convertible Promissory Note in the amount of US$39,006. During April and May 2018, the Company issued 2,106,292 common shares on the conversion of a portion of a Convertible Promissory Note totaling US$73,840. During May and June 2018, Company issued 2,135,034 common shares on the conversion of a portion of a Convertible Promissory Note totaling US$238,130. During June 2018, the Company issued 1,193,029 common shares on the conversion of a Convertible Promissory Note totaling US$55,000 c) Share based Payments On February 1, 2018 the Company entered into two consulting agreements for the provision of business strategy and compliance services. The Company issued 600,000 common shares valued at $7,373. d) Share Purchase Warrants As at June 30, 2018 and December 31, 2017, the Company had no share purchase warrants outstanding e) Escrow Shares On September 19, 2014, the Company entered into an escrow agreement with a creditor. The Company agreed to pay the creditor $2,500 upon signing of the agreement and to issue 75,000 shares (1,500 post-consolidation shares) to be held in escrow. The Company was obligated to pay the creditor a further $7,334 (US$6,687) forty five days after the Company’s stock becomes DWAC-eligible. On December 22, 2016, the Company paid $5,374 (US$4,000) and the creditor agreed to release the shares from escrow. As of June 30, 2018, the 1,500 shares were held in trust by the corporate lawyer and have not been returned to the Company’s Treasury.

COMMITMENTS

COMMITMENTS	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
COMMITMENTS	a) Crypto Currency Deposit and Exchange Services On March 31, 2015, the Company entered into an agreement with Mega Idea Holdings Limited, dba ANX (“ANX”), to provide Crypto-currency deposit and exchange services. Pursuant to the terms of the agreement, the Company is required to pay monthly maintenance fees of US$10,000 for maintenance and support of the exchange platform. The agreement with ANX is for a term of three years. On April 7, 2017 (the “effective date”), the Company entered into a revised agreement with ANX. Pursuant to the terms of the agreement, the Company is required to pay monthly maintenance fees of US$1,500 for the first six months commencing the first month after the effective date, and US$5,000 thereafter. The revised agreement with ANX is for a term of two years. On June 1, 2018 the Company entered into a contract for consulting services. The Company agreed pay the Consultant US$10,000 per month and issued a Convertible Promissory Note in the amount of $64,820 (US$50,000) (See Note 9) b) Finder’s Fee Agreement The Company has entered into various finder’s fee agreements whereby the Company is required to pay cash finder’s fee of 10% of all monies raised through these parties. The terms of these agreements are for periods of one year.

RELATED PARTIES TRANSACTIONS

RELATED PARTIES TRANSACTIONS	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
RELATED PARTIES TRANSACTIONS	Balances and transactions between the Company and its subsidiaries, which are related parties of the Company, have been eliminated on consolidation and are not disclosed. Details of transactions between the Company and other related parties, in addition to those transactions disclosed elsewhere in these consolidated financial statements, are described below. All related party transactions were in the ordinary course of business and were measured at their exchange amounts. a) Related Party Balances i. Management Fees Paid in Advance to a Company Controlled by Director and Officer As at June 30, 2018, the Company had $28,848 (December 31, 2017 - $55,573) in prepaid management fees to a company controlled by a Director and Officer of the Company. b) Compensation of Key Management Personnel The Company incurred management fees for services provided by key management personnel for the three and six months ended June 30, 2018 and 2017 as described below. Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 $ $ $ $ Management Fees 30,000 15,000 60,000 30,000

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
SUBSEQUENT EVENTS	i Convertible Promissory Notes Converted During July 2018, the Company issued 12,871,590 shares pursuant to the conversion of certain Convertible Promissory Notes.

FINANCIAL INSTRUMENTS

FINANCIAL INSTRUMENTS	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
FINANCIAL INSTRUMENTS	The Company’s financial instruments are exposed to certain financial risks: a) Fair Values The carrying values of cash, bank indebtedness, accounts receivable, accounts payable and accrued liabilities, and amounts due to and from related parties approximate their fair value as at the balance sheet date. b) Liquidity Risk Liquidity risk refers to the risk that an entity will encounter difficulty meeting obligations associated with financial liabilities. The Company is dependent upon on the availability of credit from its suppliers and its ability to generate sufficient funds from equity and debt financing to meet current and future obligations. There can be no assurance that such financing will be available on terms acceptable to the Company. c) Credit Risks Credit risk is the risk of loss associated with a counter party’s inability to fulfill its payment obligations. Management considers that risks related to credit are not significant to the Company at this time. d) Interest rate risk Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. Management considers that risks related to interest are not significant to the Company at this time. Amounts owed from and to related parties are non-interest bearing. e) Foreign Exchange Risk The Company operates in Canada and the United States and some of its material expenditures are payable in U.S. dollars. The Company is therefore subject to currency exchange risk arising from the degree of volatility of changes in exchange rates between the Canadian dollar and the U.S. dollar. The Company does not use derivative instruments to reduce its exposure to foreign currency risk.

CAPITAL MANAGEMENT

CAPITAL MANAGEMENT	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
CAPITAL MANAGEMENT	The Company’s objective for managing its capital structure is to safeguard the Company’s ability to continue as a going concern and to ensure it has the financial capacity, liquidity and flexibility to fund its on-going operations and capital expenditures including investment in resource properties it has or may acquire. The Company manages its share capital as capital, which as at June 30, 2018 totaled $ 4,817,126 (December 31, 2017 - $4,106,207). At this time the Company’s access to the debt market is limited and it relies on equity issuances and the support of shareholders to fund its investments in capital assets and resource properties. The Company monitors capital to maintain a sufficient working capital position to fund annualized administrative expenses and capital investments. The Company’s share capital is not subject to external restrictions. The Company has not paid or declared any dividends since the date of incorporation, nor are any contemplated in the foreseeable future. There were no changes in the Company’s approach to capital management during three months ended June 30, 2018. As at June 30, 2018 the Company had a working capital deficiency of $ 917,738. The Company will issue shares and may from time to time adjust its capital spending to maintain or adjust the capital structure. There can be no assurance that the Company will be able to obtain debt or equity capital in the case of operating cash deficits. The Company’s share capital is not subject to external restrictions. The Company has not paid or declared any dividends since the date of incorporation, nor are any contemplated in the foreseeable future. There were no changes in the Company’s approach to capital management during the period ended June 30, 2018.

SIGNIFICANT ACCOUNTING POLICI21

SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
Basis of Presentation	These consolidated financial statements have been prepared on a historical cost basis except for financial instruments classified as available-for-sale that have been measured at fair value. Cost is the fair value of the consideration given in exchange for net assets.
Statement of Compliance	These consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”). These consolidated financial statements were approved and authorized for issue by the Board of Directors on August 20, 2018.
Basis of Consolidation	These consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries (collectively, the “Company”). Intercompany balances and transactions are eliminated in preparing the consolidated financial statements. The following companies have been consolidated within these consolidated financial statements: Entity Country of Incorporation Holding Functional Currency Digatrade Financial Corp. Canada Parent Company Canadian Dollar Digatrade Limited Canada 100% Canadian Dollar Digatrade (UK) Limited United Kingdom 100% Pounds Sterling Digatrade Limited USA 100% US Dollar The Company’s former subsidiaries, Jaydoc Capital Corp. and Rainchief Renewable-1 S.R.L., were de-registered during the year ended December 31, 2015.
Foreign Currency	These consolidated financial statements are presented in Canadian dollars, which is also the functional currency of the parent company. Each subsidiary determines its own functional currency (Note 2(c)) and items included in the financial statements of each subsidiary are measured using that functional currency. i. Transactions and Balances in Foreign Currencies Foreign currency transactions are translated into the functional currency of the respective entity using the exchange rates prevailing at the dates of the transactions. Foreign exchange gains and losses resulting from the settlement of such transactions and from the re-measurement of monetary items at year-end exchange rates are recognized in profit or loss. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and are not retranslated. Non-monetary items measured at fair value are translated using the exchange rate at the date when fair value was determined. ii. Foreign Operations On consolidation, the assets and liabilities of foreign operations are translated into Canadian dollars at the exchange rate prevailing at the reporting date and their revenues and expenses are translated at exchange rates prevailing at the dates of the transactions. The exchange differences arising on the translation are recognized in other comprehensive income and accumulated in the currency translation reserve in equity. On disposal of a foreign operation, the component of other comprehensive income relating to that particular foreign operation is recognized in earnings and recognized as part of the gain or loss on disposal.
Financing and Finder's Fees	Financing and finder’s fees relating to financial instruments with a term of one year or less are expensed in the period incurred. For financial instruments with a term of over one year, the fees are netted against the financial instruments and amortized over the term of the financial instruments.
Share Capital	The Company records proceeds from share issuances, net of commissions and issuance costs. Shares issued for other than cash consideration are valued at the quoted price on the Over-the-Counter Bulletin Board in the United States based on the earliest of: (i) the date the shares are issued, and (ii) the date the agreement to issue the shares is reached.
Share-Based Payments	The fair value method of accounting is used for share-based payment transactions. Under this method, the cost of stock options and other share-based payments is recorded based on the estimated fair value using the Black-Scholes option-pricing model at the grant date and charged to profit over the vesting period. The amount recognized as an expense is adjusted to reflect the number of equity instruments expected to vest. Upon the exercise of stock options and other share-based payments, consideration received on the exercise of these equity instruments is recorded as share capital and the related share-based payment reserve is transferred to share capital. The fair value of unexercised equity instruments are transferred from reserve to retained earnings upon expiry.
Revenue Recognition	Revenue is comprised of consulting fees and commissions earned on trades executed on the digital currency trading platform. Consulting fee income is recognized as the consulting services are provided. Commission is considered earned when a trade is completed by the Company’s customers. As the platform is not yet fully live, commissions and consulting fees earned have been accounted for as a recovery of development costs incurred.
Loss per Share	Basic loss per share is calculated by dividing net loss by the weighted average number of common shares issued and outstanding during the reporting period. Diluted loss per share is the same as basic loss per share, as the issuance of shares on the exercise of stock options and share purchase warrants is anti-dilutive. The loss per share in prior periods has been adjusted to take into account the consolidation of the Company’s common stock on June 8, 2016 (Note 10(b)(i)).
Income Taxes	Tax expense recognized in profit or loss comprises the sum of deferred tax and current tax not recognized in other comprehensive income or directly in equity. i. Current Income Tax Current income tax assets and liabilities comprise those claims from, or obligations to, fiscal authorities relating to the current or prior reporting periods that are unpaid at the reporting date. Current tax is payable on taxable profit, which differs from profit or loss in the consolidated financial statements. Calculation of current tax is based on tax rates and tax laws that have been enacted or substantively enacted by the end of the reporting period. ii. Deferred Income Tax Deferred income taxes are calculated using the liability method on temporary differences between the carrying amounts of assets and liabilities and their tax bases. Deferred tax assets and liabilities are calculated, without discounting, at tax rates that are expected to apply to their respective period of realization, provided they are enacted or substantively enacted by the end of the reporting period. Deferred tax liabilities are always provided for in full. Deferred tax assets are recognized to the extent that it is probable that they will be able to be utilized against future taxable income. Deferred tax assets and liabilities are offset only when the Company has a right and intention to offset current tax assets and liabilities from the same taxation authority. Changes in deferred tax assets or liabilities are recognized as a component of tax income or expense in profit or loss, except where they relate to items that are recognized in other comprehensive income or directly in equity, in which case the related deferred tax is also recognized in other comprehensive income or equity, respectively.
Financial Instruments	Financial assets and financial liabilities are recognized when the Company becomes a party to the contractual provisions of the financial instrument. Financial assets and financial liabilities are initially measured at fair value. Transaction costs that are directly attributable to the acquisition or issue of financial assets and financial liabilities (other than financial assets and financial liabilities classified at fair value through profit or loss) are added to, or deducted from, the fair value of the financial assets or financial liabilities, as appropriate, on initial recognition. Transaction costs directly attributable to the acquisition of financial assets or financial liabilities classified at fair value through profit or loss are recognized immediately in profit or loss. Financial assets and financial liabilities are measured subsequently as described below. The Company does not have any derivative financial instruments. i) Financial Assets For the purpose of subsequent measurement, financial assets other than those designated and effective as hedging instruments are classified into the following categories upon initial recognition: ● Financial assets at fair value through profit or loss; ● Loans and receivables; ● Held-to-maturity investments; and ● Available-for-sale financial assets. The category determines subsequent measurement and whether any resulting income and expense is recognized in profit or loss or in other comprehensive income. All financial assets except for those at fair value through profit or loss are subject to review for impairment at least at each reporting date. Financial assets are impaired when there is any objective evidence that a financial asset or a group of financial assets is impaired. Different criteria to determine impairment are applied for each category of financial assets, which are described below. ● Financial assets at fair value through profit or loss ● Loans and receivables ● Held-to-maturity investments Held-to-maturity investments are measured subsequently at amortized cost using the effective interest method. If there is objective evidence that the investment is impaired as determined by reference to external credit ratings, then the financial asset is measured at the present value of estimated future cash flows. Any changes to the carrying amount of the investment, including impairment losses, are recognized in profit or loss. ● Available-for-sale financial assets For financial assets measured at amortized cost, if, in a subsequent period, the amount of the impairment loss decreases and the decrease can be related objectively to an event occurring after the impairment was recognized, then the previously recognized impairment loss is reversed through profit or loss to the extent that the carrying amount of the investment at the date the impairment is reversed does not exceed what the amortized cost would have been had the impairment not been recognized. In respect of available-for-sale financial assets, impairment losses previously recognized in profit or loss are not reversed through profit or loss. Any increase in fair value subsequent to an impairment loss is recognized in other comprehensive income and accumulated in the revaluation reserve. Financial assets are derecognized when the contractual rights to the cash flows from the financial asset expire, or when the financial asset and all substantial risks and rewards are transferred. ii) Financial Liabilities For the purpose of subsequent measurement, financial liabilities are classified as either financial liabilities at fair value through profit or loss, or other financial liabilities upon initial recognition. ● Financial liabilities at fair value through profit or loss ● Other financial liabilities A financial liability is derecognized when it is extinguished, discharged, cancelled or expired.

SIGNIFICANT ACCOUNTING POLICI22

SIGNIFICANT ACCOUNTING POLICIES (Tables)	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
Consolidation	Entity Country of Incorporation Holding Functional Currency Digatrade Financial Corp. Canada Parent Company Canadian Dollar Digatrade Limited Canada 100% Canadian Dollar Digatrade (UK) Limited United Kingdom 100% Pounds Sterling Digatrade Limited USA 100% US Dollar

ACCOUNTS RECEIVABLE (Tables)

ACCOUNTS RECEIVABLE (Tables)	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
Accounts receivable	June 30, 2018 December 31, 2017 $ $ Due From Trading Platform (Note 7) 143,932 297,309 143,932 297,309

PREPAID EXPENSES (Tables)

PREPAID EXPENSES (Tables)	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
Prepaid expenses	June 30, 2018 December 31, 2017 $ $ Market Registration Fees 8,682 7,685 Deposit with ANX 13,187 70,029 Prepaid Consulting Fees 45,572 26,025 Prepaid Management Fees (Note 13(a)(i)) 71,234 55,573 138,675 159,312

TRADE AND OTHER PAYABLES (Table

TRADE AND OTHER PAYABLES (Tables)	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
Trade and other payables	June 30, 2018 December 31, 2017 $ $ Trade Payables 140,738 119,013 Accrued Liabilities 58,232 31,200 198,970 150,213

CONVERTIBLE PROMISSORY NOTES 26

CONVERTIBLE PROMISSORY NOTES PAYABLE (Tables)	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
Convertible promissory notes payable	$ Balance, December 31, 2017 1,582,495 Issuances 372,463 Repayments - Conversions to Common Shares (681,350 ) Interest Accrued 64,984 Unrealized Foreign Exchange Adjustment 21,179 Balance, June 30, 2018 1,359,771

RELATED PARTIES TRANSACTIONS (T

RELATED PARTIES TRANSACTIONS (Tables)	6 Months Ended
	Jun. 30, 2018
Notes to Financial Statements
Management fees	Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 $ $ $ $ Management Fees 30,000 15,000 60,000 30,000

NATURE AND CONTINUANCE OF OPE28

NATURE AND CONTINUANCE OF OPERATIONS (Details Narrative) - CAD ($)	6 Months Ended
	Jun. 30, 2018	Dec. 31, 2017
Notes to Financial Statements
Country of incorporation	British Columbia, Canada
Date of incorporation	December 28, 2000
Accumulated losses	$ (5,741,316)	$ (5,176,116)
Working capital deficiency	$ (917,738)

SIGNIFICANT ACCOUNTING POLICI29

SIGNIFICANT ACCOUNTING POLICIES (Details)	6 Months Ended
	Jun. 30, 2018
Disclosure of subsidiaries [line items]
Country of incorporation	British Columbia, Canada
Digatrade Financial Corp.
Disclosure of subsidiaries [line items]
Entity	Digatrade Financial Corp.
Country of incorporation	Canada
Holding		[1]
Functional currency	Canadian Dollar
Digatrade Limited
Disclosure of subsidiaries [line items]
Entity	Digatrade Limited
Country of incorporation	Canada
Holding	100.00%
Functional currency	Canadian Dollar
Digatrade (UK) Limited
Disclosure of subsidiaries [line items]
Entity	Digatrade (UK) Limited
Country of incorporation	United Kingdom
Holding	100.00%
Functional currency	Pounds Sterling
Digatrade Limited
Disclosure of subsidiaries [line items]
Entity	Digatrade Limited
Country of incorporation	USA
Holding	100.00%
Functional currency	US Dollar
[1]	Parent Company

ACCOUNTS RECEIVABLE (Details)

ACCOUNTS RECEIVABLE (Details) - CAD ($)	Jun. 30, 2018	Dec. 31, 2017
Notes to Financial Statements
Due from trading platform	$ 143,932	$ 297,309
Accounts receivable	$ 143,932	$ 297,309

PREPAID EXPENSES (Details)

PREPAID EXPENSES (Details) - CAD ($)	Jun. 30, 2018	Dec. 31, 2017
DisclosureOfPrepaidExpensesLineItems [Line Items]
Prepaid expenses	$ 138,675	$ 159,312
Market Registration Fees
DisclosureOfPrepaidExpensesLineItems [Line Items]
Prepaid expenses	8,682	7,685
Deposit with ANX
DisclosureOfPrepaidExpensesLineItems [Line Items]
Prepaid expenses	13,187	70,029
Prepaid Consulting Fees
DisclosureOfPrepaidExpensesLineItems [Line Items]
Prepaid expenses	45,572	26,025
Prepaid Management Fees
DisclosureOfPrepaidExpensesLineItems [Line Items]
Prepaid expenses	$ 71,234	$ 55,573

TRADE AND OTHER PAYABLES (Detai

TRADE AND OTHER PAYABLES (Details) - CAD ($)	Jun. 30, 2018	Dec. 31, 2017
Notes to Financial Statements
Trade payables	$ 140,738	$ 119,013
Accrued liabilities	58,232	31,200
Trade and other payables	$ 198,970	$ 150,213

LIABILITY TO CUSTOMERS (Details

LIABILITY TO CUSTOMERS (Details Narrative) - CAD ($)	Jun. 30, 2018	Dec. 31, 2017
Notes to Financial Statements
Liabilities to customers	$ 106,747	$ 297,309

CONVERTIBLE PROMISSORY NOTES 34

CONVERTIBLE PROMISSORY NOTES PAYABLE (Details) - CAD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Notes to Financial Statements
Beginning balance			$ 1,582,495
Issuances			372,463
Repayments			0
Conversions to common shares			(681,350)
Interest accrued			64,984
Unrealized foreign exchange adjustment	$ (20,118)	$ (19,103)	21,179	$ (21,312)
Ending balance	$ 1,359,771		$ 1,359,771

SHARE CAPITAL (Details Narrativ

SHARE CAPITAL (Details Narrative)	6 Months Ended
	Jun. 30, 2018shares
Common Shares
Disclosure of classes of share capital [line items]
Shares authorized		[1]
Par value	No par value
Shares held in trust	1,500
Class "B" Common Shares
Disclosure of classes of share capital [line items]
Shares authorized	100,000
Par value	No par value
[1]	Unlimited

RELATED PARTIES TRANSACTIONS (D

RELATED PARTIES TRANSACTIONS (Details) - CAD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Notes to Financial Statements
Management fees	$ 30,000	$ 30,000	$ 60,000	$ 45,000

RELATED PARTIES TRANSACTIONS 37

RELATED PARTIES TRANSACTIONS (Details Narrative) - CAD ($)	Jun. 30, 2018	Dec. 31, 2017
Notes to Financial Statements
Prepaid management fees	$ 28,848	$ 55,573

CAPITAL MANAGEMENT (Details Nar

CAPITAL MANAGEMENT (Details Narrative) - CAD ($)	Jun. 30, 2018	Dec. 31, 2017
Notes to Financial Statements
Share capital	$ 4,817,126	$ 4,106,207
Working capital deficiency	$ (917,738)