Kraig Biocraft Laboratories (KBLB) 10-Q 13 May 19 2019 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2019	May 10, 2019
Stock issued to founder, Shares
Entity Registrant Name	Kraig Biocraft Laboratories, Inc
Entity Central Index Key	0001413119
Document Type	10-Q
Document Period End Date	Mar. 31, 2019
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Is Entity's Reporting Status Current?	Yes
Entity Filer Category	Non-accelerated Filer
Entity Emerging Growth Company	false
Entity Small Business	true
Entity Common Stock, Shares Outstanding		835,733,840
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2019

Condensed Balance Sheets (Unaud

Condensed Balance Sheets (Unaudited) - USD ($)	Mar. 31, 2019	Dec. 31, 2018
Current Assets
Cash	$ 907,651	$ 13,697
Prepaid expenses	5,145	6,858
Total Current Assets	912,796	20,555
Property and Equipment, net	40,645	47,310
Operating lease right-of-use asset, net	157,130	0
Security deposit	3,518	3,518
Total Assets	1,114,089	71,383
Current Liabilities
Accounts payable and accrued expenses	323,584	793,482
Note payable - related party	442,000	322,000
Royalty agreement payable - related party	65,292	65,292
Accounts payable and accrued expenses - related party	3,511,555	3,349,832
Operating lease liability, current	42,576	0
Loan payable	34,000	0
Total Current Liabilities	4,419,007	4,530,606
Long Term Liabilities
Loan payable, net of current	230,244	0
Operating lease liability, net of current	115,201	0
Total Liabilities	4,764,452	4,530,606
Commitments and Contingencies
Stockholders' Deficit
Preferred stock Series A, no par value; 2 and 2 shares issued and outstanding, respectively	5,217,800	5,217,800
Common stock Class A, no par value; unlimited shares authorized, 835,733,840 and 816,883,910 shares issued and outstanding, respectively	16,427,457	15,145,798
Common stock Class B, no par value; unlimited shares authorized, no shares issued and outstanding	0	0
Common Stock Issuable, 1,122,311 and 1,122,311 shares, respectively	22,000	22,000
Additional paid-in capital	2,048,182	2,043,235
Accumulated Deficit	(27,365,802)	(26,888,056)
Total Stockholders' Deficit	(3,650,363)	(4,459,223)
Total Liabilities and Stockholders' Deficit	$ 1,114,089	$ 71,383

Condensed Balance Sheets (Una_2

Condensed Balance Sheets (Unaudited) (Parenthetical) - $ / shares	3 Months Ended	12 Months Ended
	Mar. 31, 2019	Dec. 31, 2018
Stockholders equity:
Preferred stock, par value	$ 0	$ 0
Preferred stock, issued shares	2	2
Preferred stock, outstanding shares	2	2
Common stock Class A, par value	$ 0	$ 0
Common stock Class A, authorized	Unlimited	Unlimited
Common stock Class A, issued shares	835,733,840	816,883,910
Common stock Class A, outstanding shares	835,733,840	816,883,910
Common stock Class B, par value	$ 0	$ 0
Common stock Class B, authorized	Unlimited	Unlimited
Common stock Class B, issued shares	0	0
Common stock Class B, outstanding shares	0	0
Common Stock Issuable, Shares	1,122,311	1,122,311

Condensed Statements of Operati

Condensed Statements of Operations (Unaudited) - USD ($)	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Income Statement [Abstract]
Revenue	$ 0	$ 108,629
Operating Expenses
General and Administrative	117,967	181,654
Professional Fees	150,311	17,850
Officer's Salary	118,155	112,676
Rent - Related Party	3,273	2,880
Research and Development	22,304	20,127
Total Operating Expenses	412,010	335,187
Loss from Operations	(412,010)	(226,558)
Other Income/(Expenses)
Gain on forgiveness of debt	0	0
Interest expense	(66,920)	(52,371)
Interest income	1,184	0
Total Other Income/(Expenses)	(65,736)	(52,371)
Net (Loss) before Provision for Income Taxes	(477,746)	(278,929)
Provision for Income Taxes	0	0
Net (Loss)	$ (477,746)	$ (278,929)
Net Income (Loss) Per Share - Basic and Diluted	$ 0	$ 0
Weighted average number of shares outstanding during the period - Basic and Diluted	822,016,321	816,847,910

Condensed Statements of Stockho

Condensed Statements of Stockholders' Deficit (Unaudited) - USD ($)	Preferred Stock Series A	Common Stock Class A	Common Stock Class B	Common Stock Class A Shares to be Issued	Additional Paid-In Capital	Accumulated Deficit	Total
Beginning Balance, Amount at Dec. 31, 2017	$ 5,217,800	$ 15,144,722	$ 0	$ 22,000	$ 1,958,751	$ (25,719,079)	$ (3,375,806)
Beginning Balance, Shares at Dec. 31, 2017	2	816,847,910	0	1,122,311
Imputed interest - related party					2,142		2,142
Net loss						(278,929)	(278,929)
Ending Balance, Amount at Mar. 31, 2018	$ 5,217,800	$ 15,144,722	$ 0	$ 22,000	2,033,468	(25,998,008)	(3,580,018)
Ending Balance, Shares at Mar. 31, 2018	2	816,847,910	0	1,122,311
Beginning Balance, Amount at Dec. 31, 2018	$ 5,217,800	$ 15,145,798	$ 0	$ 22,000	2,043,235	(26,888,056)	(4,459,223)
Beginning Balance, Shares at Dec. 31, 2018	2	816,883,910	0	1,122,311
Stock issued for cash, Amount		$ 1,000,000
Stock issued for cash, Shares		14,797,278
Shares issued in exchange for accounts payable, Amount		$ 281,659					281,659
Shares issued in exchange for accounts payable, Shares		4,052,652
Imputed interest - related party					4,947		4,947
Net loss						(477,746)	(477,746)
Ending Balance, Amount at Mar. 31, 2019	$ 5,217,800	$ 16,427,457	$ 0	$ 22,000	$ 2,048,182	$ (27,365,802)	$ (3,650,363)
Ending Balance, Shares at Mar. 31, 2019	2	835,733,840	0	1,122,311

Condensed Statements of Cash Fl

Condensed Statements of Cash Flows (Unaudited) - USD ($)	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Cash Flows From Operating Activities:
Net Loss	$ (477,746)	$ (278,929)
Adjustments to reconcile net loss to net cash used in operations
Depreciation expense	6,665	6,396
Imputed interest - related party	4,947	2,142
Warrants issued to consultants	0	72,575
Changes in operating assets and liabilities:
Decrease in prepaid expenses	1,713	0
(Increase) in accounts receivables, net	0	(15,121)
Operating lease right-of-use, net	10,737	0
Increase in accrued expenses and other payables - related party	162,725	149,413
Increase (Decrease) in accounts payable	76,003	(14,848)
Operating lease liabilities, currrent	(10,090)	0
Net Cash Used In Operating Activities	(225,046)	(78,372)
Cash Flows From Investing Activities:
Purchase of Fixed Assets and Domain Name	0	(6,255)
Net Cash Used In Investing Activities	0	(6,255)
Cash Flows From Financing Activities:
Principal payments on debt	(1,000)	0
Proceeds from Notes Payable - related party	120,000	115,000
Proceeds from issuance of common stock	1,000,000	0
Net Cash Provided by Financing Activities	1,119,000	115,000
Net Increase in Cash	893,954	30,373
Cash at Beginning of Period	13,697	18,150
Cash at End of Period	907,651	48,523
Supplemental disclosure of cash flow information:
Cash paid for interest	0	0
Cash paid for taxes	0	0
Supplemental disclosure of non-cash investing and financing activities:
Shares issued in connection with cashless warrants exercise	0	0
Settlement of accounts payable with note payable	265,244	0
Settlement of accounts payable with stock issuance	281,659	0
Adoption of lease standard ASC 842	$ 167,867	$ 0

1. SUMMARY OF SIGNIFICANT ACCOU

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND ORGANIZATION	3 Months Ended
	Mar. 31, 2019
As Reported
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND ORGANIZATION	(A) Basis of Presentation The accompanying unaudited condensed financial statements have been prepared in accordance with accounting principles generally accepted in The United States of America and the rules and regulations of the Securities and Exchange Commission for interim financial information. Accordingly, they do not include all the information necessary for a comprehensive presentation of financial position and results of operations. It is management's opinion, however that all material adjustments (consisting of normal recurring adjustments) have been made which are necessary for a fair financial statements presentation. The results for the interim period are not necessarily indicative of the results to be expected for the year. Kraig Biocraft Laboratories, Inc. (the "Company") was incorporated under the laws of the State of Wyoming on April 25, 2006. The Company was organized to develop high strength, protein based fiber, using recombinant DNA technology, for commercial applications in the textile and specialty fiber industries. On March 5, 2018, the Company issued a board resolution authorizing investment in a Vietnamese subsidiary and appointing a representative for the subsidiary. On April 24, 2018, the Company announced that it had received its investment registration certificate for its new Vietnamese subsidiary Prodigy Textiles Co., Ltd. On May 1, 2018, the Company announced that it had received its enterprise registration certificate for its new Vietnamese subsidiary Prodigy Textiles Co., Ltd. (B) Foreign Currency The assets and liabilities of Prodigy Textiles, Co., Ltd. whose functional currency is the Vietnamese Dong, are translated into US dollars at period-end exchange rates prior to consolidation. Income and expense items are translated at the average rates of exchange prevailing during the period. The adjustments resulting from translating the Company’s financial statements are reflected as a component of other comprehensive (loss) income. Foreign currency transaction gains and losses are recognized in net earnings based on differences between foreign exchange rates on the transaction date and settlement date. (C) Use of Estimates In preparing financial statements in conformity with generally accepted accounting principles, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and revenues and expenses during the reported period. Actual results could differ from those estimates. (D) Cash For purposes of the cash flow statements, the Company considers all highly liquid investments with original maturities of three months or less at the time of purchase to be cash equivalents. There were no cash equivalents as of March 31, 2019 or December 31, 2018. (E) Loss Per Share Basic and diluted net loss per common share is computed based upon the weighted average common shares outstanding as defined by FASB Accounting Standards Codification No. 260, “Earnings per Share.” For March 31, 2019 and March 31, 2018, warrants were not included in the computation of income/ (loss) per share because their inclusion is anti-dilutive. The computation of basic and diluted loss per share for March 31, 2019 and March 31, 2018 excludes the common stock equivalents of the following potentially dilutive securities because their inclusion would be anti-dilutive: March 31, 2019 March 31, 2018 Stock Warrants (Exercise price - $0.001/share) 58,595,917 36,400,000 Convertible Preferred Stock 2 2 Total 58,595,919 36,400,002 (F) Research and Development Costs The Company expenses all research and development costs as incurred for which there is no alternative future use. These costs also include the expensing of employee compensation and employee stock based compensation. (G) Income Taxes The Company accounts for income taxes under FASB Codification Topic 740-10-25 (“ASC 740-10-25”). Under ASC 740-10-25, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Under ASC 740-10-25, the effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. On December 22, 2017, the 2017 Tax Cuts and Jobs Act (the Tax Act) was enacted into law and the new legislation contains several key tax provisions that affected us, including a one-time mandatory transition tax on accumulated foreign earnings and a reduction of the corporate income tax rate to 21% effective January 1, 2018, among others. We are required to recognize the effect of the tax law changes in the period of enactment, such as determining the transition tax, remeasuring our U.S. deferred tax assets and liabilities as well as reassessing the net realizability of our deferred tax assets and liabilities. In December 2017, the SEC staff issued Staff Accounting Bulletin No. 118, Income Tax Accounting Implications of the Tax Cuts and Jobs Act Effective January 1, 2009, the Company adopted guidance regarding accounting for uncertainty in income taxes. This guidance clarifies the accounting for income taxes by prescribing the minimum recognition threshold an income tax position is required to meet before being recognized in the financial statements and applies to all federal or state income tax positions. Each income tax position is assessed using a two-step process. A determination is first made as to whether it is more likely than not that the income tax position will be sustained, based upon technical merits, upon examination by the taxing authorities. If the income tax position is expected to meet the more likely than not criteria, the benefit recorded in the financial statements equals the largest amount that is greater than 50% likely to be realized upon its ultimate settlement. As of December 31, 2018 and December 31, 2017 there were no amounts that had been accrued in respect to uncertain tax positions. Fair value accounting requires bifurcation of embedded derivative instruments such as conversion features in convertible debt or equity instruments, and measurement of their fair value for accounting purposes. In determining the appropriate fair value, the Company uses the Black-Scholes option-pricing model. In assessing the convertible debt instruments, management determines if the convertible debt host instrument is conventional convertible debt and further if there is a beneficial conversion feature requiring measurement. If the instrument is not considered conventional convertible debt, the Company will continue its evaluation process of these instruments as derivative financial instruments. Once determined, derivative liabilities are adjusted to reflect fair value at each reporting period end, with any increase or decrease in the fair value being recorded in results of operations as an adjustment to fair value of derivatives. In addition, the fair value of freestanding derivative instruments such as warrants, are also valued using the Black-Scholes option-pricing model. (H) Stock-Based Compensation In December 2004, the FASB issued FASB Accounting Standards Codification No. 718, Compensation – Stock Compensation Equity instruments (“instruments”) issued to other than employees are recorded on the basis of the fair value of the instruments, as required by FASB Accounting Standards Codification No. 718. FASB Accounting Standards Codification No. 505, Equity Based Payments to Non-Employees The Company operates in one segment and therefore segment information is not presented. (I) Recent Accounting Pronouncements In February 2016, the FASB issued ASU 2016-02, “Leases” Topic 842, which amends the guidance in former ASC Topic 840, Leases In February 2018, the FASB issued ASU No. 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income. The guidance permits entities to reclassify tax effects stranded in Accumulated Other Comprehensive Income as a result of tax reform to retained earnings. This new guidance is effective for annual and interim periods in fiscal years beginning after December 15, 2018. Early adoption is permitted in annual and interim periods and can be applied retrospectively or in the period of adoption. We are evaluating the impact of adopting this guidance on our Consolidated Financial Statements. In March 2018, the FASB issued ASU No. 2018-05, Income Taxes (Topic 740) - Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 118. The amendment provides guidance on accounting for the impact of the Tax Cuts and Jobs Act (the “Tax Act”) and allows entities to complete the accounting under ASC 740 within a one-year measurement period from the Tax Act enactment date. This standard is effective upon issuance. The Tax Act has several significant changes that impact all taxpayers, including a transition tax, which is a one-time tax charge on accumulated, undistributed foreign earnings. The calculation of accumulated foreign earnings requires an analysis of each foreign entity’s financial results going back to 1986. We are evaluating the impact of adopting this guidance on our Consolidated Financial Statements. In June 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2018-07, Compensation-Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting, which expands the scope of Topic 718 to include share-based payment transactions for acquiring goods and services from nonemployees. An entity should apply the requirements of Topic 718 to nonemployee awards except for specific guidance on inputs to an option pricing model and the attribution of cost (that is, the period of time over which share-based payment awards vest and the pattern of cost recognition over that period). The new guidance is effective for all entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2017, with early adoption permitted. We are evaluating the impact of adopting this guidance on our Consolidated Financial Statements. In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820), Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement. The amendments in this Update modify certain disclosure requirements of fair value measurements and are effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted. We are evaluating the impact of adopting this guidance on our Consolidated Financial Statements. As a result, a freestanding equity-linked financial instrument (or embedded conversion option) no longer would be accounted for as a derivative liability at fair value as a result of the existence of a down round feature. For freestanding equity classified financial instruments, the amendments require entities that present earnings per share (EPS) in accordance with Topic 260 to recognize the effect of the down round feature when it is triggered. That effect is treated as a dividend and as a reduction of income available to common shareholders in basic EPS. Convertible instruments with embedded conversion options that have down round features are now subject to the specialized guidance for contingent beneficial conversion features (in Subtopic 470-20, Debt—Debt with Conversion and Other Options), including related EPS guidance (in Topic 260). The amendments in Part II of this Update recharacterize the indefinite deferral of certain provisions of Topic 480 that now are presented as pending content in the Codification, to a scope exception. Those amendments do not have an accounting effect. For public business entities, the amendments in Part I of this Update are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. Early adoption is permitted for all entities, including adoption in an interim period. If an entity early adopts the amendments in an interim period, any adjustments should be reflected as of the beginning of the fiscal year that includes that interim period. The Company is currently reviewing the impact of adoption of ASU 2017-11on its financial statements. All other newly issued accounting pronouncements but not yet effective have been deemed either immaterial or not applicable The 2018 financial statements have been reclassified to conform to the 2019 presentation. (J) Equipment The Company values property and equipment at cost and depreciates these assets using the straight-line method over their expected useful life. The Company uses a five year life for automobiles. In accordance with FASB Accounting Standards Codification No. 360, Property, Plant and Equipment There were no impairment losses recorded for the three months ended March 31, 2019 and 2018. (K) Fair Value of Financial Instruments We hold certain financial assets, which are required to be measured at fair value on a recurring basis in accordance with the Statement of Financial Accounting Standard No. 157, “Fair Value Measurements” The three levels of the fair value hierarchy under ASC Topic 820-10 are described below: ° Level 1 - Valuations based on quoted prices in active markets for identical assets or liabilities that an entity has the ability to access. We believe our carrying value of level 1 instruments approximate their fair value at March 31, 2019 and December 31, 2018. ° Level 2 - Valuations based on quoted prices for similar assets or liabilities, quoted prices for identical assets or liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable data for substantially the full term of the assets or liabilities. ° Level 3 - Valuations based on inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. We consider depleting assets, asset retirement obligations and net profit interest liability to be Level 3. We determine the fair value of Level 3 assets and liabilities utilizing various inputs, including NYMEX price quotations and contract terms. December 31, 2018 Level 1 $ - $ - Level 2 $ - $ - Level 3 $ - $ - Total $ - $ - (L) Revenue Recognition During the year ended December 31, 2018 the Company’s revenues were generated primarily from a contract with the U.S. Government. The Company performs work under this cost-plus-fixed-fee contract. Under the base phase of that contract the Company produced recombinant spider silk woven into ballistic shootpack panels. Those shootpack panels were delivered to the U.S. Government customer. Under an option period award starting in July 2017, to that original contract, the Company has worked to develop new recombinant silks. Effective January 1, 2018, the Company adopted ASC 606 — Revenue from Contracts with Customers. Under ASC 606, the Company recognizes revenue from the commercial sales of products, licensing agreements and contracts by applying the following steps: (1) identify the contract with a customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to each performance obligation in the contract; and (5) recognize revenue when each performance obligation is satisfied. For the comparative periods, revenue has not been adjusted and continues to be reported under ASC 605 — Revenue Recognition. Under ASC 605, revenue is recognized when the following criteria are met: (1) persuasive evidence of an arrangement exists;(2) the performance of service has been rendered to a customer or delivery has occurred; (3) the amount of fee to be paid by a customer is fixed and determinable; and (4) the collectability of the fee is reasonably assured. For the three months ended March 31, 2019 and 2018, the Company recognized $0 and $108,629 respectively in revenue from the Government contract. These revenues were generated for work performed in the development and production of the Company’s recombinant silks under the base and option period phases of our ongoing contract with the US Army. On July 24, 2017, the Company signed a contract option extension with the US Army to research and deliver recombinant spider silk fibers and threads. This contract option increased the total contract award by an additional $921,130 to a total of $1,021,092 and added 12 months to the contract duration. This effort was scheduled to end on September 24, 2018, but the Company requested an extension of this contract option period through April 2019 to complete the work. The Company has been in communication with the contracting office and is working with them as they determine the best path forward; Management believes there is a possibility of securing a follow-up contract to complete the delivery of all materials for the contract. The Company is also continuing to pursue additional contract opportunities with the Department of Defense, Department of Energy and other governmental agencies. (M) Concentration of Credit Risk The Company at times has cash in banks in excess of FDIC insurance limits. At March 31, 2019 and December 31, 2018, the Company had approximately $657,651 and $0, respectively in excess of FDIC insurance limits. For the three months ended March 31, 2019 and 2018, the Company had a concentration of sales of: Customer March 31, 2019 March 31, 2018 Customer A - 0 % Customer A $ - $ 108,629 For the three months ended March 31, 2019 and 2018, the Company booked $0 and $0 for doubtful accounts

2. GOING CONCERN

2. GOING CONCERN	3 Months Ended
	Mar. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
GOING CONCERN	As reflected in the accompanying financial statements, the Company has a working capital deficiency of $3,506,211 and stockholders’ deficiency of $3,650,363 and used $225,046 of cash in operations for three months ended March 31, 2019. This raises substantial doubt about its ability to continue as a going concern. The ability of the Company to continue as a going concern is dependent on the Company’s ability to raise additional capital and implement its business plan. The financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern. Management believes that actions presently being taken to obtain additional funding and implement its strategic plans provide the opportunity for the Company to continue as a going concern.

3. EQUIPMENT

3. EQUIPMENT	3 Months Ended
	Mar. 31, 2019
Property, Plant and Equipment [Abstract]
EQUIPMENT	At March 31, 2019 and December 31, 2018, property and equipment, net, is as follows: As of March 31, 2019 December 31, 2018 Automobile $ 41,805 $ 41,805 Laboratory Equipment 73,194 73,194 Office Equipment 7,260 7,260 Leasehold Improvements 7,938 7,938 Less: Accumulated Depreciation (89,553 ) (82,887 ) Total Property and Equipment, net $ 40,645 $ 47,310 Depreciation expense for the three months ended March 31, 2019 and 2018 was $6,665 and $6,396 respectively.

4. RIGHT TO USE ASSETS AND LEAS

4. RIGHT TO USE ASSETS AND LEASE LIABILITY	3 Months Ended
	Mar. 31, 2019
Right To Use Assets And Lease Liability
RIGHT TO USE ASSETS AND LEASE LIABILITY	The Company leases its headquarters in Ann Arbor, Michigan which consists of 5,600 square feet of space, which it leases at a current rent of approximately $39,200 for year one and $42,000 for year two. On January 23, 2017 the Company signed an 8 year property lease with the Company’s President for land in Texas where the Company grows its mulberry. The Company pays a monthly rent of $960. In February 2016, the FASB issued ASU 2016-02, “Leases” Topic 842, which amends the guidance in former ASC Topic 840, Leases The Company adopted the new lease guidance effective January 1, 2019 using the modified retrospective transition approach, applying the new standard to all of its leases existing at the date of initial application which is the effective date of adoption. Consequently, financial information will not be updated and the disclosures required under the new standard will not be provided for dates and periods before January 1, 2019. We elected the package of practical expedients which permits us to not reassess (1) whether any expired or existing contracts are or contain leases, (2) the lease classification for any expired or existing leases, and (3) any initial direct costs for any existing leases as of the effective date. We did not elect the hindsight practical expedient which permits entities to use hindsight in determining the lease term and assessing impairment. The adoption of the lease standard did not change our previously reported consolidated statements of operations and did not result in a cumulative catch-up adjustment to opening equity. The adoption of the new guidance resulted in the recognition of ROU assets of $157,130 and lease liabilities of $157,777. The interest rate implicit in lease contracts is typically not readily determinable. As such, the Company utilizes its incremental borrowing rate, which is the rate incurred to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment. In calculating the present value of the lease payments, the Company elected to utilize its incremental borrowing rate based on the remaining lease terms as of the January 1, 2019 adoption date. This rate was determined to be 8% and the Company determined the initial present value, at inception, of $167,867. Operating lease ROU assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at the commencement date. The operating lease ROU asset also includes any lease payments made and excludes lease incentives and initial direct costs incurred, if any. The Company has elected the practical expedient to combine lease and non-lease components as a single component. The lease expense is recognized over the expected term on a straight-line basis. Operating leases are recognized on the balance sheet as right-of-use assets, current operating lease liabilities and non-current operating lease liabilities. The new standard also provides practical expedients and certain exemptions for an entity’s ongoing accounting. We have elected the short-term lease recognition exemption for all leases that qualify. This means, for those leases where the initial lease term is one year or less or for which the ROU asset at inception is deemed immaterial, we will not recognize ROU assets or lease liabilities. Those leases are expensed on a straight line basis over the term of the lease. Right to use assets is summarized below: March 31, 2019 Right to use assets, net – related party $ 60,123 Right to use assets, net 97,007 Total $ 157,130 During the three months ended March 31, 2019, the Company recorded $10,755 as lease expense to current period operations. During the three months ended March 31, 2019, the Company recorded $3,273 as lease expense – related party to current period operations. Lease liability is summarized below: March 31, 2019 Right to use assets, net – related party 63,396 Right to use assets, net 94,381 Total 157,777 Less: short term portion $ (42,576 ) Long term position $ 115,201 Lease expense for the three months ended March 31, 2019 was comprised of the following: Operating lease expense $ 10,755 Operating lease expense – related party $ 3,273

5. ACCRUED INTEREST PAYABLE - R

5. ACCRUED INTEREST PAYABLE - RELATED PARTY	3 Months Ended
	Mar. 31, 2019
Debt Disclosure [Abstract]
ACCRUED INTEREST PAYABLE - RELATED PARTY	On June 6, 2016, the Company received $50,000 from a principal stockholder. Subsequently on December 1, 2017, the Company received an additional $30,000 from a principal stockholder. On January 8, 2018 and March 31, 2018 the Company received an additional $100,000 and $15,000, respectively. On April 26, 2018, the Company received $20,000 from a principal stockholder, $15,000 on June 21, 2018, $15,000 on June 29, 2018, $26,000 on October 1, 2018, $11,000 on October 12, 2018, $20,000 on December 21, 2018, $3,000 on January 4, 2019, $30,000 on January 17, 2019, $30,000 on February 1, 2019, $20,000 on February 15, 2019, $20,000 on March 1, 2019 and $17,000 on January 4, 2019. Pursuant to the terms of the loan, the advance bears an interest at 3%, is unsecured, and due on demand. Total loan payable to principal stockholder for as of December 31, 2018 is $322,000. Pursuant to the terms of the loans, the advances bear an interest at 3%, is unsecured and due on demand. During the three months ended March 31, 2019, the Company recorded $4,947 as an in-kind contribution of interest related to the loan and recorded accrued interest payable of $3,445. During the three months ended March 31, 2018 the Company recorded $2,142 as an in-kind contribution of interest related to the loan and recorded accrued interest payable of $1,330.

6. NOTE PAYABLE

6. NOTE PAYABLE	3 Months Ended
	Mar. 31, 2019
Note Payable
NOTE PAYABLE	On March 1, 2019, the Company entered into an unsecured promissory note with Notre Dame - an unrelated party in the amount of $265,244 in exchange for outstanding account payable due to the debtor. Pursuant to the terms of the note, the note bears 10% interest per year from the date of default until the date the loan is paid in full. The term of the loan is twenty four months. The loan repayment commences immediately over a twenty-four month period according to the following table (See Note 8 (A): 1. $1,000 per month for the first six months 2. $2,000 per month for the months seven and eight 3. $5,000 per month for months nine through twenty –three 4. Final payment of all remaining balance, in the amount of $180,244 in 24 months.

7. STOCKHOLDERS' DEFICIT

7. STOCKHOLDERS' DEFICIT	3 Months Ended
	Mar. 31, 2019
Equity [Abstract]
STOCKHOLDERS' DEFICIT	(A) Common Stock Issued for Cash On March 9, 2019, the Company entered into a purchase agreement with one investor (the “Purchase Agreement”). Pursuant to the Purchase Agreement, the Company issued the investor 14,797,278 Units at a purchase price of $0.06758 per Unit, for total gross proceeds to the Company of $1,000,000. The Units consist of 14,797,278 shares of the Company’s Class A Common Stock (the “Common Stock”) and two warrants (the “Warrants”): (i) one warrant entitles the investor to purchase up to 14,797,278 shares of Common Stock at an exercise price of $0.06 per share (the “6 Cent Warrants”) and (ii) one warrant entitles the investor to purchase up to 7,398,639 shares of Common Stock at an exercise price of $0.08 per share (the “8 Cent Warrant”). The Warrants shall be exercisable at any time from the issuance date until the following expiration dates: ● ½ of all $0.06 Warrants shares shall expire on March 8, 2021; ●½ of all $0.06 Warrants shall expire on March 8, 2022; ●½ of all $0.08 Warrants shall expire on March 8, 2022; and, ●½ of all $0.08 Warrants shall expire on March 8, 2023. (B) Common Stock Issued for Services Shares issued for services as mentioned below were valued at the closing price of the stock on the date of grant. On March 20, 2019, the Company issued 4,052,652 shares of its class A common stock with a fair value of $281,659 ($0.0695/share) on the date of settlement. The Company settled $243,159 of accounts payable to the University of Notre Dame. The Company recorded an additional amount of $38,500 based on the fair value of the shares on the date of settlement. See Note 8 (A). On April 6, 2018, the Company issued 36,000 shares with a fair value of $1,076 ($0.0299/share) to a consultant as consideration for consulting fees owed from October 1, 2014 through December 31, 2018 of $21,000. The issuance of shares resulted in gain on settlement of accounts payable of $19,924. See Note 8(B). (C) Common Stock Warrants On February 9, 2018, the Company issued 3-year warrant to purchase 3,000,000 shares of common stock at an exercise price of $0.056 per share to a consultant for services rendered. The warrants had a fair value of $52,660, based upon the Black-Scholes option-pricing model on the date of grant and are fully vested on the date granted. Warrants will be exercisable on August 9, 2019, and for a period of 2 years expiring on August 9, 2021. During the year ended December 31, 2018, the Company recorded 52,660 as an expense for warrants issued. Expected dividends 0 % Expected volatility 96.95 % Expected term 3 years Risk free interest rate 2.26 % Expected forfeitures 0 % On March 20, 2018, the Company issued 4-year warrant to purchase 600,000 shares of common stock at an exercise price of $0.001 per share to a consultant for services rendered. The warrants had a fair value of $19,915, based upon the Black-Scholes option-pricing model on the date of grant and are fully vested on March 20, 2018. Warrants will be exercisable on March 20, 2019, and for a period of 3 years expiring on March 20, 2022. During the year ended December 31, 2018, the Company recorded $19,915 as an expense for warrants issued. Expected dividends 0 % Expected volatility 97.56 % Expected term 4 years Risk free interest rate 2.65 % Expected forfeitures 0 % Balance, December 31, 2018 36,400,000 3.0 Granted 22,195,917 - 2.94 Exercised - - Cancelled/Forfeited - - Balance, March 31, 2019 58,595,917 2.6 Intrinsic Value $ 4,336,098 For the three months ended March 31, 2019, the following warrants were outstanding: Exercise Price Warrants Outstandin Warrants Exercisable Weighted Average Remaining Contractual Life Aggregate Intrinsic Value $ 0.001 31,100,000 2.6 2,301,400 $ 0.056 3,000,000 2.4 $ 222,000 $ 0.04 2,300,000 2.4 $ 170,200 $ 0.06 7,398,639 1.94 $ 547,499 $ 0.06 7,398,639 2.94 $ 547,499 $ 0.08 3,699,320 2.94 $ 273,750 $ 0.08 3,699,320 3.94 $ 273,750 For the year ended December 31, 2018, the following warrants were outstanding: Exercise Price Warrants Outstanding Warrants Exercisable Weighted Average Remaining Contractual Life Aggregate Intrinsic Value $ 0.001 31,100,000 2.9 $ 1,523,900 $ 0.056 3,000,000 2.6 $ 147,000 $ 0.04 2,300,000 2.7 $ 112,700 (D) Amendment to Articles of Incorporation On February 16, 2009, the Company amended its articles of incorporation to amend the number and class of shares the Company is authorized to issue as follows: ● Common stock Class A, unlimited number of shares authorized, no par value ● Common stock Class B, unlimited number of shares authorized, no par value ● Preferred stock, unlimited number of shares authorized, no par value Effective December 17, 2013, the Company amended its articles of incorporation to designate a Series A no par value preferred stock. Two shares of Series A Preferred stock have been authorized. (E) Common Stock Issued for Debt none.

8. COMMITMENTS AND CONTINGENCIE

8. COMMITMENTS AND CONTINGENCIES	3 Months Ended
	Mar. 31, 2019
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	On November 10, 2010, the Company entered into an employment agreement with its CEO, effective January 1, 2011 through the December 31, 2015. The term of the agreement is a five year period at an annual salary of $210,000. There is a 6% annual increase. For the year ending December 31, 2015, the annual salary was $281,027. The employee is also to receive a 20% bonus based on the annual based salary. Any stock, stock options bonuses have to be approved by the board of directors. On January 1, 2016 the agreement was renewed with the same terms for another 5 years with an annual salary of $297,889 for the year ended December 31, 2016. On January 1, 2017 the agreement renewed with the same terms for another 5 years, but with an annual salary of $315,764 for the year ended December 31, 2017. On January 1, 2019 the agreement renewed again with the same terms for another 5 years, but with an annual salary of $354,791 for the year ended December 31, 2018. As of March 31, 2019 and December 31, 2018, the accrued salary balance is $2,198,152 and $2,109,454, respectively. (See Note 9). On October 2, 2014, the Company entered into a letter agreement for an equity line of financing up to $7,500,000 (the “Letter Agreement”) with Calm Seas Capital, LLC (“Calm Seas”). Under the Letter Agreement, over a 24 month period from the effective date of a registration statement covering shares issuable to Calm Seas (the "Effective Date"), we may put to Calm Seas up to an aggregate of $7,500,000 in shares of our Class A common stock for a purchase price equal to 80% of the lowest price of our Class A common stock during the five consecutive trading days immediately following the date we deliver notice to Calm Seas of our election to put shares pursuant to the Letter Agreement. We may put shares bi-monthly. The dollar value that will be permitted for each put pursuant to the Letter Agreement will be the lesser of: (A) the product of (i) 200% of the average daily volume in the US market of our Class A common stock for the ten trading days prior to the date we deliver our put notice to Calm Seas multiplied by (ii) the average of the daily closing prices for the ten (10) trading days immediately preceding the date we deliver our put notice to Calm Seas, or (B) $100,000. We will automatically withdraw our put notice to Calm Seas if the lowest closing bid price used to determine the purchase price of the put shares is not at least equal to seventy-five percent (75%) of the average closing “bid” price for our Class A common stock for the ten (10) trading days prior to the date we deliver our put notice to Calm Seas. Notwithstanding the $100,000 ceiling for each bi-monthly put, as described above, we may at any time request Calm Seas to purchase shares in excess of such ceiling, either as a part of bi-monthly puts or as an additional put(s) during such month. If Calm Seas, in its sole discretion, accepts such request to purchase additional shares, then we may include the put for additional shares in our monthly put request or submit an additional put for such additional shares in accordance with the procedure set forth above. The Letter Agreement will terminate when any of the following events occur: ● Calm Seas has purchased an aggregate of $7,500,000 of our Class A common stock; or ● The second anniversary from the Effective Date. As of December 31, 2018, 78,089,079 shares of class A common stock were issued pursuant to the Letter Agreement and the Letter Agreement was terminated passing the second anniversary from the Effective Date. On January 20, 2015, the board of directors appointed Mr. Jonathan R. Rice as our Chief Operating Officer. Mr. Rice’s employment agreement has a term of one year and can be terminated by either the Company or Mr. Rice at any time. Under the employment agreement, Mr. Rice is entitled to an annual cash compensation of $120,000, which includes salary, health insurance, 401K retirement plan contributions, etc. The Company also agreed to reimburse Mr. Rice for his past educational expenses of approximately $11,000. In addition, Mr. Rice was issued a three-year warrant to purchase 2,000,000 shares of common stock of the Company at an exercise price of $0.001 per share (the “January 2015 Warrant”) pursuant to the employment agreement. Additionally, on May 28, 2015, the Company issued a three-year warrant to purchase 3,000,000 shares of common stock of the Company at an exercise price of $0.001 per share (the "May 20165 Warrant") to Mr. Rice. The 2,000,000 share warrant fully vested on October 28, 2016. For the year ended December 31, 2015, the Company recorded $121,448 for the warrants issued to Mr. Rice. On January 14, 2016, the Company signed a new employment agreement with Mr. Rice. The employment agreement has a term of one year and can be terminated by either the Company or Mr. Rice at any time. Under the employment agreement, Mr. Rice is entitled to annual cash compensation of $140,000, which includes salary, health insurance, 401K retirement plan contributions, etc. In addition, Mr. Rice was issued a three-year warrant to purchase 6,000,000 shares of common stock of the Company at an exercise price of $0.001 per share pursuant to the employment agreement. For the year ended December 31, 2016, the Company recorded $193,652 for the warrants issued to Mr. Rice in 2016. For the year ended December 31, 2017, the Company recorded $17,473 for the warrants issued to Mr. Rice in 2016. On January 9, 2018, the Company extended the expiration date of the January 2015 Warrant from January 19, 2018 to January 31, 2020 and on March 15, 2018, the Company signed an extension of its at-will employment agreement with its COO, extending the term to January 31, 2019. On March 25, 2019, the Company signed an extension of its at-will employment agreement with its COO, extending the term to January 1, 2020. As of March 31, 2019 and December 31, 2018 the Company owes $20,044 and $24,433, respectively, to Mr. Rice for payroll payable. (A)License Agreement On May 8, 2006, the Company entered into a license agreement. Pursuant to the terms of the agreement, the Company paid a non-refundable license fee of $10,000. The Company will pay a license maintenance fee of $10,000 on the one year anniversary of this agreement and each year thereafter. The Company will pay an annual research fee of $13,700 with first payment due January 2007, then on each subsequent anniversary of the effective date commencing May 4, 2007. The annual research fees are accrued by the Company for future payment. Pursuant to the terms of the agreement the Company may be required to pay additional fees aggregating up to a maximum of $10,000 a year for patent maintenance and prosecution relating to the licensed intellectual property. On October 28, 2011, the Company entered into a license agreement with the University of Notre Dame. Under the agreement, the Company received exclusive and non-exclusive rights to certain spider silk technologies including commercial rights with the right to sublicense such intellectual property. In consideration of the licenses granted under the agreement, the Company agreed to issue to the University of Notre Dame 2,200,000 shares of its common stock and to pay a royalty of 2% of net sales. The license agreement has a term of 20 years which can be extended on an annual basis after that. It can be terminated by the University of Notre Dame if the Company defaults on its obligations under the agreement and fails to cure such default within 90 days of a written notice by the university. The Company can terminate the agreement upon a 90 day written notice subject to payment of a termination fee of $5,000 if the termination takes place within 2 years after its effectiveness, $10,000 if the termination takes place within 4 years after its effectiveness and $20,000 if the Agreement is terminated after 4 years. On May 5, 2017, the Company signed an addendum to that agreement relating to tangible property and project intellectual property. On March 1, 2019, the Company singed an addendum to that agreement. The Company entered into a separate loan agreement and promissory noted dated March 1, 2019 as a payment for expenses paid by the University prior to January 31, 2019 totaling $265,244 and issued 4,025,652 shares of Class A common stock with a fair value of $281,659 as payment of certain debt. In the event of default the license agreement will be terminated (See Notes 6 and 7(E)). (B) Royalty and Research Agreements On May 1, 2008 the Company entered into a five year consulting agreement for research and development. Pursuant to the terms of the agreement, the Company will be required to pay $1,000 per month, or at the Company’s option, the consulting fee may be paid in the form of Company common stock based upon the greater of $0.05 per share or the average of the closing price of the Company’s shares over the five days preceding such stock issuance. On April 6, 2018, the Company issued 36,000 shares with a fair value of $1,076 ($0.0299/share) to a consultant as consideration for consulting fees owed from October 1, 2014 through December 31, 2018 of $21,000. The issuance of shares resulted in gain on settlement of accounts payable of $19,924. On April 1, 2018, the Company ended the consulting agreement and no additional compensation will be issued. (See Note 7 (B)). On December 26, 2006, the Company entered into an addendum to the intellectual property transfer agreement with Mr. Thompson, its CEO. In accordance with FASB Accounting Standards Codification No 480, Distinguishing Liabilities from Equity On December 30, 2015, the Company entered into a cooperative agreement for the research and pilot production of hybrid silkworms in Vietnam. Under this agreement, the Company will establish a subsidiary in Vietnam where it will develop and produce hybrid silkworms. On April 24, 2018, the Company announced that it had received its investment registration certificate for its new Vietnamese subsidiary Prodigy Textiles Co,. Ltd. On May 1, 2018, the Company announced that it had received its enterprise registration certificate for its new Vietnamese subsidiary Prodigy Textiles Co,. Ltd (C) Consulting Agreement On February 9, 2018, the Company issued a 3-year warrant to purchase 3,000,000 shares of common stock at an exercise price of $0.056 per share to a consultant for services rendered. The warrants had a fair value of $52,660, based upon the Black-Scholes option-pricing model on the date of grant and are fully vested on the date granted. Warrants will be exercisable on August 9, 2019, and for a period of 2 years expiring on August 9, 2021. During the year ended December 31, 2018, the Company recorded 52,660 as an expense for warrants issued (See Note 7 (C)). On February 20, 2018, the Company signed an agreement with a consultant to provide services. Under this agreement the consultant will receive a warrant for 600,000 shares of common stock and may be awarded additional warrants for up to 3,000,000 shares of common stock if performance metrics are achieved. On March 20, 2018, the Company issued a 4-year warrant to purchase 600,000 shares of common stock at an exercise price of $0.001 per share to a consultant for services rendered. The warrants had a fair value of $19,915, based upon the Black-Scholes option-pricing model on the date of grant and are fully vested on March 20, 2018. Warrants will be exercisable on March 20, 2019, and for a period of 3 years expiring on March 20, 2022. During the year ended December 31, 2018, the Company recorded $19,915 as an expense for warrants issued (See Note 7 (C)). (D) Operating Lease Agreements Since September of 2015, we rent office space at 2723 South State Street, Suite 150, Ann Arbor, Michigan 48104, which is our principal place of business. We pay an annual rent of $2,508 for conference facilities, mail, fax, and reception services located at our principal place of business. Rent expense for the three months ended March 31, 2019 and 2018 was $3,273 and $10,382, respectively. On January 23, 2017 the Company signed an 8 year property lease with the Company’s President for land in Texas where the Company grows its mulberry. The Company pays a monthly rent of $960. Rent expense – related party for the three months ended March 31, 2019 and 2018, was $6,153 and $2,880, respectively (See Note 9). On September 13, 2017, the Company signed a new two year lease commencing on October 1, 2017 and ending on September 30, 2019. The Company pays an annual rent of $39,200 for the year one of lease and $42,000 for the year two of lease for office and manufacturing space.

9. RELATED PARTY TRANSACTIONS

9. RELATED PARTY TRANSACTIONS	3 Months Ended
	Mar. 31, 2019
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	On December 26, 2006, the Company entered into an addendum to the intellectual property transfer agreement with Mr. Thompson, its CEO. Pursuant to the addendum, the Company agreed to issue either 200,000 preferred shares with the following preferences; no dividends and voting rights equal to 100 common shares per share of preferred stock or the payment of $120,000, the officer agreed to terminate the royalty payments due under the agreement and give title to the exclusive license for the non-protective apparel use of the intellectual property to the Company. On the date of the agreement, the Company did not have any preferred stock authorized with the required preferences. In accordance with FASB Accounting Standards Codification No. 480, Distinguishing Liabilities from Equity On November 10, 2010, the Company entered into an employment agreement, with its CEO, effective January 1, 2011 through the December 31, 2015. Subsequently, on January 1, 2018 the agreement renewed with the same terms for another 5 years with an annual salary of $334,708 for the year ended December 31, 2018. As of March 31, 2019 and December 31, 2018, the accrued salary balance is $2,198,152 and $2,109,454, respectively. On January 14, 2016 the Company signed a new employment agreement with Mr. Rice, the Company's COO. The employment agreement has a term of one year and can be terminated by either the Company or Mr. Rice at any time. Under the employment agreement, Mr. Rice is entitled to annual cash compensation of $140,000, which includes salary, health insurance, 401K retirement plan contributions, etc. In addition, Mr. Rice was issued a three-year warrant to purchase 6,000,000 shares of common stock of the Company at an exercise price of $0.001 per share pursuant to the employment agreement. For the year ended December 31, 2016, the Company recorded $193,654 for the warrants issued to Mr Rice. For the year ended December 31, 2017 the Company recorded $17,473 for the warrants issued to Mr. Rice in 2016. On January 9, 2018, the Company extended the expiration date of a warrant for 2,000,000 shares of common stock from January 19, 2018 to January 31, 2020 for an employee. Additionally, on March 15, 2018, the Company signed an extension of its at-will employment agreement with its COO. On June 6, 2016, the Company received $50,000 from a principal stockholder. Subsequently on December 1, 2017, the Company received an additional $30,000 from a principal stockholder. On January 8, 2018 and March 31, 2018 the Company received an additional $100,000 and $15,000, respectively. On April 26, 2018, the Company received $20,000 from a principal stockholder, $15,000 on June 21, 2018, $15,000 on June 29, 2018, $26,000 on October 1, 2018, $11,000 on October 12, 2018, $20,000 on December 21, 2018, $3,000 on January 4, 2019, $30,000 on January 17, 2019, $30,000 on February 1, 2019, $20,000 on February 15, 2019, $20,000 on March 1, 2019 and $17,000 on January 4,2019. Pursuant to the terms of the loan, the advance bears an interest at 3%, is unsecured, and due on demand. Total loan payable to principal stockholder for as of December 31, 2018 is $322,000. Pursuant to the terms of the loans, the advances bear an interest at 3%, is unsecured and due on demand. During the three months ended March 31, 2019, the Company recorded $4,947 as an in-kind contribution of interest related to the loan and recorded accrued interest payable of $3,445. During the three months ended March 31, 2018 the Company recorded $2,142 as an in-kind contribution of interest related to the loan and recorded accrued interest payable of $1,330. On January 23, 2017 the Company signed an 8 year property lease with the Company’s President for land in Texas. The Company pays $960 per month starting on February 1, 2017 and uses this facility to grow mulberry for its U.S. silk operations. Rent expense – related party for three months ended March 31, 2019 and 2018 was $3,273 and $2,880, respectively. As of March 31, 2019 and December 31, 2018, there was $263,094 and $247,652, respectively, included in accounts payable and accrued expenses - related party, which is owed to the Company’s Chief Executive Officer and Chief Operations Officer. As of March 31, 2019 there was $998,688 of accrued interest- related party and $31,578 in shareholder loan interest – related party included in accounts payable and accrued expenses – related party, which is owed to the Company’s Chief Executive officer. As of December 31, 2018 there was $940,158 of accrued interest- related party and $28,135 in shareholder loan interest – related party included in accounts payable and accrued expenses – related party, which is owed to the Company’s Chief Executive officer. As of March 31, 2019, the Company owes $2,198,152 in accrued salary to principal stockholder, $20,044 to the Company’s COO, and $3,762 to its office employees As of December 31, 2018, the Company owes $2,109,454 in accrued salary to principal stockholder, $24,433 to the Company’s COO, and $7,640 to its office employees. The Company owes $65,292 in royalty payable to related party as of March 31, 2019 and December 31, 2018.

10. SUBSEQUENT EVENTS

10. SUBSEQUENT EVENTS	3 Months Ended
	Mar. 31, 2019
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	The Company has analyzed its operations subsequent to March 31, 2019 through the date these financial statements were issued, and has determined that, other than disclosed below, it does not have any material subsequent events to disclose. On April 5, 2019, the Company cancelled 600,000 warrant issued to a consultant on February 20, 2018 in exchange for $6,000 cash payment. On April 26, 2019, the Company signed an agreement to increase Mr .Rice’s base salary by $20,000 per year and issue a one-time $20,000 bonus. The salary increase and the bonus is accrued and to be paid in full earlier by the direction of the Board or upon the earlier of: ● The Company maintaining $6,000,000 or more in working capital, ● Upon the transfer of ownership of more than 50% of the Corporation’s voting share or an assignment for the benefit of creditors or bankruptcy, or ● Upon the fifth year anniversary of the salary increase and the bonus issuance.

1. SUMMARY OF SIGNIFICANT ACC_2

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND ORGANIZATION (Policies)	3 Months Ended
	Mar. 31, 2019
As Reported
Basis of Presentation	The accompanying unaudited condensed financial statements have been prepared in accordance with accounting principles generally accepted in The United States of America and the rules and regulations of the Securities and Exchange Commission for interim financial information. Accordingly, they do not include all the information necessary for a comprehensive presentation of financial position and results of operations. It is management's opinion, however that all material adjustments (consisting of normal recurring adjustments) have been made which are necessary for a fair financial statements presentation. The results for the interim period are not necessarily indicative of the results to be expected for the year. Kraig Biocraft Laboratories, Inc. (the "Company") was incorporated under the laws of the State of Wyoming on April 25, 2006. The Company was organized to develop high strength, protein based fiber, using recombinant DNA technology, for commercial applications in the textile and specialty fiber industries. On March 5, 2018, the Company issued a board resolution authorizing investment in a Vietnamese subsidiary and appointing a representative for the subsidiary. On April 24, 2018, the Company announced that it had received its investment registration certificate for its new Vietnamese subsidiary Prodigy Textiles Co., Ltd. On May 1, 2018, the Company announced that it had received its enterprise registration certificate for its new Vietnamese subsidiary Prodigy Textiles Co., Ltd.
Foreign Currency	The assets and liabilities of Prodigy Textiles, Co., Ltd. whose functional currency is the Vietnamese Dong, are translated into US dollars at period-end exchange rates prior to consolidation. Income and expense items are translated at the average rates of exchange prevailing during the period. The adjustments resulting from translating the Company’s financial statements are reflected as a component of other comprehensive (loss) income. Foreign currency transaction gains and losses are recognized in net earnings based on differences between foreign exchange rates on the transaction date and settlement date.
Use of Estimates	In preparing financial statements in conformity with generally accepted accounting principles, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and revenues and expenses during the reported period. Actual results could differ from those estimates.
Cash	For purposes of the cash flow statements, the Company considers all highly liquid investments with original maturities of three months or less at the time of purchase to be cash equivalents. There were no cash equivalents as of March 31, 2019 or December 31, 2018.
Loss Per Share	Basic and diluted net loss per common share is computed based upon the weighted average common shares outstanding as defined by FASB Accounting Standards Codification No. 260, “Earnings per Share.” For March 31, 2019 and March 31, 2018, warrants were not included in the computation of income/ (loss) per share because their inclusion is anti-dilutive. The computation of basic and diluted loss per share for March 31, 2019 and March 31, 2018 excludes the common stock equivalents of the following potentially dilutive securities because their inclusion would be anti-dilutive: March 31, 2019 March 31, 2018 Stock Warrants (Exercise price - $0.001/share) 58,595,917 36,400,000 Convertible Preferred Stock 2 2 Total 58,595,919 36,400,002
Research and Development Costs	The Company expenses all research and development costs as incurred for which there is no alternative future use. These costs also include the expensing of employee compensation and employee stock based compensation.
Income Taxes	The Company accounts for income taxes under FASB Codification Topic 740-10-25 (“ASC 740-10-25”). Under ASC 740-10-25, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Under ASC 740-10-25, the effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. On December 22, 2017, the 2017 Tax Cuts and Jobs Act (the Tax Act) was enacted into law and the new legislation contains several key tax provisions that affected us, including a one-time mandatory transition tax on accumulated foreign earnings and a reduction of the corporate income tax rate to 21% effective January 1, 2018, among others. We are required to recognize the effect of the tax law changes in the period of enactment, such as determining the transition tax, remeasuring our U.S. deferred tax assets and liabilities as well as reassessing the net realizability of our deferred tax assets and liabilities. In December 2017, the SEC staff issued Staff Accounting Bulletin No. 118, Income Tax Accounting Implications of the Tax Cuts and Jobs Act Effective January 1, 2009, the Company adopted guidance regarding accounting for uncertainty in income taxes. This guidance clarifies the accounting for income taxes by prescribing the minimum recognition threshold an income tax position is required to meet before being recognized in the financial statements and applies to all federal or state income tax positions. Each income tax position is assessed using a two-step process. A determination is first made as to whether it is more likely than not that the income tax position will be sustained, based upon technical merits, upon examination by the taxing authorities. If the income tax position is expected to meet the more likely than not criteria, the benefit recorded in the financial statements equals the largest amount that is greater than 50% likely to be realized upon its ultimate settlement. As of December 31, 2018 and December 31, 2017 there were no amounts that had been accrued in respect to uncertain tax positions. Fair value accounting requires bifurcation of embedded derivative instruments such as conversion features in convertible debt or equity instruments, and measurement of their fair value for accounting purposes. In determining the appropriate fair value, the Company uses the Black-Scholes option-pricing model. In assessing the convertible debt instruments, management determines if the convertible debt host instrument is conventional convertible debt and further if there is a beneficial conversion feature requiring measurement. If the instrument is not considered conventional convertible debt, the Company will continue its evaluation process of these instruments as derivative financial instruments. Once determined, derivative liabilities are adjusted to reflect fair value at each reporting period end, with any increase or decrease in the fair value being recorded in results of operations as an adjustment to fair value of derivatives. In addition, the fair value of freestanding derivative instruments such as warrants, are also valued using the Black-Scholes option-pricing model.
Stock-Based Compensation	In December 2004, the FASB issued FASB Accounting Standards Codification No. 718, Compensation – Stock Compensation Equity instruments (“instruments”) issued to other than employees are recorded on the basis of the fair value of the instruments, as required by FASB Accounting Standards Codification No. 718. FASB Accounting Standards Codification No. 505, Equity Based Payments to Non-Employees The Company operates in one segment and therefore segment information is not presented.
Recent Accounting Pronouncements	In February 2016, the FASB issued ASU 2016-02, “Leases” Topic 842, which amends the guidance in former ASC Topic 840, Leases In February 2018, the FASB issued ASU No. 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income. The guidance permits entities to reclassify tax effects stranded in Accumulated Other Comprehensive Income as a result of tax reform to retained earnings. This new guidance is effective for annual and interim periods in fiscal years beginning after December 15, 2018. Early adoption is permitted in annual and interim periods and can be applied retrospectively or in the period of adoption. We are evaluating the impact of adopting this guidance on our Consolidated Financial Statements. In March 2018, the FASB issued ASU No. 2018-05, Income Taxes (Topic 740) - Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 118. The amendment provides guidance on accounting for the impact of the Tax Cuts and Jobs Act (the “Tax Act”) and allows entities to complete the accounting under ASC 740 within a one-year measurement period from the Tax Act enactment date. This standard is effective upon issuance. The Tax Act has several significant changes that impact all taxpayers, including a transition tax, which is a one-time tax charge on accumulated, undistributed foreign earnings. The calculation of accumulated foreign earnings requires an analysis of each foreign entity’s financial results going back to 1986. We are evaluating the impact of adopting this guidance on our Consolidated Financial Statements. In June 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2018-07, Compensation-Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting, which expands the scope of Topic 718 to include share-based payment transactions for acquiring goods and services from nonemployees. An entity should apply the requirements of Topic 718 to nonemployee awards except for specific guidance on inputs to an option pricing model and the attribution of cost (that is, the period of time over which share-based payment awards vest and the pattern of cost recognition over that period). The new guidance is effective for all entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2017, with early adoption permitted. We are evaluating the impact of adopting this guidance on our Consolidated Financial Statements. In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820), Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement. The amendments in this Update modify certain disclosure requirements of fair value measurements and are effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted. We are evaluating the impact of adopting this guidance on our Consolidated Financial Statements. As a result, a freestanding equity-linked financial instrument (or embedded conversion option) no longer would be accounted for as a derivative liability at fair value as a result of the existence of a down round feature. For freestanding equity classified financial instruments, the amendments require entities that present earnings per share (EPS) in accordance with Topic 260 to recognize the effect of the down round feature when it is triggered. That effect is treated as a dividend and as a reduction of income available to common shareholders in basic EPS. Convertible instruments with embedded conversion options that have down round features are now subject to the specialized guidance for contingent beneficial conversion features (in Subtopic 470-20, Debt—Debt with Conversion and Other Options), including related EPS guidance (in Topic 260). The amendments in Part II of this Update recharacterize the indefinite deferral of certain provisions of Topic 480 that now are presented as pending content in the Codification, to a scope exception. Those amendments do not have an accounting effect. For public business entities, the amendments in Part I of this Update are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. Early adoption is permitted for all entities, including adoption in an interim period. If an entity early adopts the amendments in an interim period, any adjustments should be reflected as of the beginning of the fiscal year that includes that interim period. The Company is currently reviewing the impact of adoption of ASU 2017-11on its financial statements. All other newly issued accounting pronouncements but not yet effective have been deemed either immaterial or not applicable The 2018 financial statements have been reclassified to conform to the 2019 presentation.
Equipment	The Company values property and equipment at cost and depreciates these assets using the straight-line method over their expected useful life. The Company uses a five year life for automobiles. In accordance with FASB Accounting Standards Codification No. 360, Property, Plant and Equipment There were no impairment losses recorded for the three months ended March 31, 2019 and 2018.
Fair Value of Financial Instruments	We hold certain financial assets, which are required to be measured at fair value on a recurring basis in accordance with the Statement of Financial Accounting Standard No. 157, “Fair Value Measurements” The three levels of the fair value hierarchy under ASC Topic 820-10 are described below: ° Level 1 - Valuations based on quoted prices in active markets for identical assets or liabilities that an entity has the ability to access. We believe our carrying value of level 1 instruments approximate their fair value at March 31, 2019 and December 31, 2018. ° Level 2 - Valuations based on quoted prices for similar assets or liabilities, quoted prices for identical assets or liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable data for substantially the full term of the assets or liabilities. ° Level 3 - Valuations based on inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. We consider depleting assets, asset retirement obligations and net profit interest liability to be Level 3. We determine the fair value of Level 3 assets and liabilities utilizing various inputs, including NYMEX price quotations and contract terms. December 31, 2018 Level 1 $ - $ - Level 2 $ - $ - Level 3 $ - $ - Total $ - $ -
Revenue Recognition	During the year ended December 31, 2018 the Company’s revenues were generated primarily from a contract with the U.S. Government. The Company performs work under this cost-plus-fixed-fee contract. Under the base phase of that contract the Company produced recombinant spider silk woven into ballistic shootpack panels. Those shootpack panels were delivered to the U.S. Government customer. Under an option period award starting in July 2017, to that original contract, the Company has worked to develop new recombinant silks. Effective January 1, 2018, the Company adopted ASC 606 — Revenue from Contracts with Customers. Under ASC 606, the Company recognizes revenue from the commercial sales of products, licensing agreements and contracts by applying the following steps: (1) identify the contract with a customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to each performance obligation in the contract; and (5) recognize revenue when each performance obligation is satisfied. For the comparative periods, revenue has not been adjusted and continues to be reported under ASC 605 — Revenue Recognition. Under ASC 605, revenue is recognized when the following criteria are met: (1) persuasive evidence of an arrangement exists;(2) the performance of service has been rendered to a customer or delivery has occurred; (3) the amount of fee to be paid by a customer is fixed and determinable; and (4) the collectability of the fee is reasonably assured. For the three months ended March 31, 2019 and 2018, the Company recognized $0 and $108,629 respectively in revenue from the Government contract. These revenues were generated for work performed in the development and production of the Company’s recombinant silks under the base and option period phases of our ongoing contract with the US Army. On July 24, 2017, the Company signed a contract option extension with the US Army to research and deliver recombinant spider silk fibers and threads. This contract option increased the total contract award by an additional $921,130 to a total of $1,021,092 and added 12 months to the contract duration. This effort was scheduled to end on September 24, 2018, but the Company requested an extension of this contract option period through April 2019 to complete the work. The Company has been in communication with the contracting office and is working with them as they determine the best path forward; Management believes there is a possibility of securing a follow-up contract to complete the delivery of all materials for the contract. The Company is also continuing to pursue additional contract opportunities with the Department of Defense, Department of Energy and other governmental agencies.
Concentration of Credit Risk	The Company at times has cash in banks in excess of FDIC insurance limits. At March 31, 2019 and December 31, 2018, the Company had approximately $657,651 and $0, respectively in excess of FDIC insurance limits. For the three months ended March 31, 2019 and 2018, the Company had a concentration of sales of: Customer March 31, 2019 March 31, 2018 Customer A - 0 % Customer A $ - $ 108,629 For the three months ended March 31, 2019 and 2018, the Company booked $0 and $0 for doubtful accounts

1. SUMMARY OF SIGNIFICANT ACC_3

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND ORGANIZATION (Tables)	3 Months Ended
	Mar. 31, 2019
Summary Of Significant Accounting Policies And Organization
Antidilutive Securities Excluded from Computation of Earnings Per Share	March 31, 2019 March 31, 2018 Stock Warrants (Exercise price - $0.001/share) 58,595,917 36,400,000 Convertible Preferred Stock 2 2 Total 58,595,919 36,400,002
Schedule of fair Value of Financial Instruments	December 31, 2018 Level 1 $ - $ - Level 2 $ - $ - Level 3 $ - $ - Total $ - $ -
Concentration of credit risk	Customer March 31, 2019 March 31, 2018 Customer A - 0 % Customer A $ - $ 108,629

3. EQUIPMENT (Tables)

3. EQUIPMENT (Tables)	3 Months Ended
	Mar. 31, 2019
Property, Plant and Equipment [Abstract]
Equipment	As of March 31, 2019 December 31, 2018 Automobile $ 41,805 $ 41,805 Laboratory Equipment 73,194 73,194 Office Equipment 7,260 7,260 Leasehold Improvements 7,938 7,938 Less: Accumulated Depreciation (89,553 ) (82,887 ) Total Property and Equipment, net $ 40,645 $ 47,310

4. RIGHT TO USE ASSETS AND LE_2

4. RIGHT TO USE ASSETS AND LEASE LIABILITY (Tables)	3 Months Ended
	Mar. 31, 2019
Right To Use Assets And Lease Liability Tables Abstract
Right to use assets	March 31, 2019 Right to use assets, net – related party $ 60,123 Right to use assets, net 97,007 Total $ 157,130
Lease liability	March 31, 2019 Right to use assets, net – related party 63,396 Right to use assets, net 94,381 Total 157,777 Less: short term portion $ (42,576 ) Long term position $ 115,201
Lease expense	Operating lease expense $ 10,755 Operating lease expense – related party $ 3,273

7. STOCKHOLDERS' DEFICIT (Table

7. STOCKHOLDERS' DEFICIT (Tables)	3 Months Ended
	Mar. 31, 2019
Stockholders Deficit
Weighted average assumptions for warrants issued	On February 9, 2018, the Company issued 3-year warrant to purchase 3,000,000 shares of common stock at an exercise price of $0.056 per share to a consultant for services rendered. The warrants had a fair value of $52,660, based upon the Black-Scholes option-pricing model on the date of grant and are fully vested on the date granted. Warrants will be exercisable on August 9, 2019, and for a period of 2 years expiring on August 9, 2021. During the year ended December 31, 2018, the Company recorded 52,660 as an expense for warrants issued. Expected dividends 0 % Expected volatility 96.95 % Expected term 3 years Risk free interest rate 2.26 % Expected forfeitures 0 % On March 20, 2018, the Company issued 4-year warrant to purchase 600,000 shares of common stock at an exercise price of $0.001 per share to a consultant for services rendered. The warrants had a fair value of $19,915, based upon the Black-Scholes option-pricing model on the date of grant and are fully vested on March 20, 2018. Warrants will be exercisable on March 20, 2019, and for a period of 3 years expiring on March 20, 2022. During the year ended December 31, 2018, the Company recorded $19,915 as an expense for warrants issued. Expected dividends 0 % Expected volatility 97.56 % Expected term 4 years Risk free interest rate 2.65 % Expected forfeitures 0 %
Summary of warrants outstanding	Balance, December 31, 2018 36,400,000 3.0 Granted 22,195,917 - 2.94 Exercised - - Cancelled/Forfeited - - Balance, March 31, 2019 58,595,917 2.6 Intrinsic Value $ 4,336,098 For the three months ended March 31, 2019, the following warrants were outstanding: Exercise Price Warrants Outstandin Warrants Exercisable Weighted Average Remaining Contractual Life Aggregate Intrinsic Value $ 0.001 31,100,000 2.6 2,301,400 $ 0.056 3,000,000 2.4 $ 222,000 $ 0.04 2,300,000 2.4 $ 170,200 $ 0.06 7,398,639 1.94 $ 547,499 $ 0.06 7,398,639 2.94 $ 547,499 $ 0.08 3,699,320 2.94 $ 273,750 $ 0.08 3,699,320 3.94 $ 273,750 For the year ended December 31, 2018, the following warrants were outstanding: Exercise Price Warrants Outstanding Warrants Exercisable Weighted Average Remaining Contractual Life Aggregate Intrinsic Value $ 0.001 31,100,000 2.9 $ 1,523,900 $ 0.056 3,000,000 2.6 $ 147,000 $ 0.04 2,300,000 2.7 $ 112,700

1. SUMMARY OF SIGNIFICANT ACC_4

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND ORGANIZATION (Details) - shares	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Antidilutive Securities, Stock Warrants	58,595,919	36,400,002
Stock Warrants
Antidilutive Securities, Stock Warrants	58,595,917	36,400,000
Convertible Preferred Stock
Antidilutive Securities, Stock Warrants	2	2

1. SUMMARY OF SIGNIFICANT ACC_5

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND ORGANIZATION (Details 1) - USD ($)	Mar. 31, 2019	Dec. 31, 2018
Fair value of assets	$ 0	$ 0
Fair value of liability	0	0
Level 1 [Member]
Fair value of assets	0	0
Fair value of liability	0	0
Level 2 [Member]
Fair value of assets	0	0
Fair value of liability	0	0
Level 3 [Member]
Fair value of assets	0	0
Fair value of liability	$ 0	$ 0

1. SUMMARY OF SIGNIFICANT ACC_6

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND ORGANIZATION (Details 2) - USD ($)	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Sales	$ 0	$ 108,629
Customer A | Sales
Concentration risk	0.00%	0.00%
Sales	$ 0	$ 108,629

3. EQUIPMENT (Details)

3. EQUIPMENT (Details) - USD ($)	Mar. 31, 2019	Dec. 31, 2018
Stock issued in connection to cash offering, Amount
Automobile	$ 41,805	$ 41,805
Laboratory Equipment	73,194	73,194
Office Equipment	7,260	7,260
Leasehold Improvements	7,938	7,938
Less Accumulated Depreciation	(89,553)	(82,887)
Total Property and Equipment	$ 40,645	$ 47,310

3. EQUIPMENT (Details Narrative

3. EQUIPMENT (Details Narrative) - USD ($)	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Equipment Details Narrative Abstract
Depreciation and amortization expense	$ 6,665	$ 6,396

4. RIGHT TO USE ASSETS AND LE_3

4. RIGHT TO USE ASSETS AND LEASE LIABILITY (Details) - USD ($)	Mar. 31, 2019	Dec. 31, 2018
Right To Use Assets And Lease Liability Details Abstract
Right to use assets, net – related party	$ 60,123
Right to use assets, net	97,007
Total	$ 157,130	$ 0

4. RIGHT TO USE ASSETS AND LE_4

4. RIGHT TO USE ASSETS AND LEASE LIABILITY (Details 1) - USD ($)	Mar. 31, 2019	Dec. 31, 2018
Right To Use Assets And Lease Liability Details 1Abstract
Right to use assets, net – related party	$ 63,396
Right to use assets, net	94,381
Total	157,777
Less: short term portion	(42,576)	$ 0
Long term position	$ 115,201	$ 0

4. RIGHT TO USE ASSETS AND LE_5

4. RIGHT TO USE ASSETS AND LEASE LIABILITY (Details 2)	3 Months Ended
	Mar. 31, 2019USD ($)
Right To Use Assets And Lease Liability Details 2Abstract
Operating lease expense	$ 10,755
Operating lease expense – related party	$ 3,273

7. STOCKHOLDERS' DEFICIT (Detai

7. STOCKHOLDERS' DEFICIT (Details)	3 Months Ended
	Mar. 31, 2019
Warrant 1 [Member]
Expected dividends	0.00%
Expected volatility	96.95%
Expected term	3 years
Risk free interest rate	2.26%
Expected forfeitures	0.00%
Warrant 2 [Member]
Expected dividends	0.00%
Expected volatility	97.56%
Expected term	4 years
Risk free interest rate	2.65%
Expected forfeitures	0.00%

7. STOCKHOLDERS' DEFICIT (Det_2

7. STOCKHOLDERS' DEFICIT (Details 1)	3 Months Ended
	Mar. 31, 2019USD ($)shares
Stockholders Deficit
Number of Warrants Outstanding, Beginning	36,400,000
Number of Warrants Granted	22,195,917
Number of Warrants Exercised	0
Number of Warrants Cancelled/Forfeited	0
Number of Warrants Outstanding, Ending	58,595,917
Intrinsic Value | $	$ 4,336,098
Weighted Average Remaining Contractual Life (in years) Outstanding,Beginning	3 years
Weighted Average Remaining Contractual Life (in years) Outstanding, Granted	2 years 11 months 8 days
Weighted Average Remaining Contractual Life (in years) Outstanding, Ending	2 years 7 months 6 days

7. STOCKHOLDERS' DEFICIT (Det_3

7. STOCKHOLDERS' DEFICIT (Details 2) - USD ($)	3 Months Ended	12 Months Ended
	Mar. 31, 2019	Dec. 31, 2018
Weighted Average Remaining Contractual Life	2 years 7 months 6 days
Warrant 1 [Member]
Exercise Price	$ 0.001	$ 0.056
Warrants Exercisable	31,100,000	3,000,000
Weighted Average Remaining Contractual Life	2 years 7 months 6 days	2 years 10 months 24 days
Aggregate Intrinsic Value	$ 2,301,400	$ 147,000
Warrant 2 [Member]
Exercise Price	$ 0.056	$ 0.04
Warrants Exercisable	3,000,000	2,300,000
Weighted Average Remaining Contractual Life	2 years 4 months 24 days	2 years 7 months 6 days
Aggregate Intrinsic Value	$ 222,000	$ 112,700
Warrant 3 [Member]
Exercise Price	$ 0.04	$ 0.001
Warrants Exercisable	2,300,000	31,100,000
Weighted Average Remaining Contractual Life	2 years 4 months 24 days	2 years 8 months 12 days
Aggregate Intrinsic Value	$ 170,200	$ 1,523,900
Warrant 4 [Member]
Exercise Price	$ 0.06
Warrants Exercisable	7,398,639
Weighted Average Remaining Contractual Life	1 year 11 months 8 days
Aggregate Intrinsic Value	$ 547,499
Warrant 5 [Member]
Exercise Price	$ 0.06
Warrants Exercisable	7,398,639
Weighted Average Remaining Contractual Life	2 years 11 months 8 days
Aggregate Intrinsic Value	$ 547,499
Warrant 6 [Member]
Exercise Price	$ 0.08
Warrants Exercisable	3,699,320
Weighted Average Remaining Contractual Life	2 years 11 months 8 days
Aggregate Intrinsic Value	$ 273,750
Warrant 7 [Member]
Exercise Price	$ 0.08
Warrants Exercisable	3,699,320
Weighted Average Remaining Contractual Life	3 years 11 months 8 days
Aggregate Intrinsic Value	$ 273,750

8. COMMITMENTS AND CONTINGENC_2

8. COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($)	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Commitments And Contingencies
Rent expense	$ 3,273	$ 10,382

9. RELATED PARTY TRANSACTIONS (

9. RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($)	Mar. 31, 2019	Dec. 31, 2018
Accounts payable and accrued expenses - related party	$ 263,094	$ 247,652
Royalty payable	65,292	65,292
Chief Executive Officer
Accrued interest- related party	998,688	940,158
Shareholder
Accrued salary	2,198,152	2,109,454
Chief Operating Officer
Accrued salary	20,044	24,433
Office Staff
Accrued salary	$ 3,762	$ 7,640