| Summary of Significant Accounting Policies | 2.
Summary of Significant Accounting Policies Use
of Estimates The
preparation of financial statements in conformity with generally accepted accounting principles in the United States requires
management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent
assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting
period. The Company regularly evaluates estimates and assumptions related to the fair values of convertible debentures, derivative
liability, stock-based compensation, and deferred income tax asset valuation allowances. The Company bases its estimates and assumptions
on current facts, historical experience and various other factors that it believes to be reasonable under the circumstances, the
results of which form the basis for making judgments about the carrying values of assets and liabilities and the accrual of costs
and expenses that are not readily apparent from other sources. The actual results experienced by the Company may differ materially
and adversely from the Company’s estimates. To the extent there are material differences between the estimates and the actual
results, future results of operations will be affected. Certain
reclassifications have been made to prior-year amounts to conform to the current period presentation. Cash
Equivalents The
Company considers all highly liquid instruments with maturities of three months or less at the time of issuance to be cash equivalents.
Amounts receivable from credit card processors are also considered cash equivalents because they are both short-term and highly
liquid in nature. Intangible
Assets Intangible
assets are carried at the purchased cost less accumulated amortization. Amortization is computed over the estimated useful lives
of the respective assets, generally five years Impairment
of Long-Lived Assets Long-lived
assets and certain identifiable intangible assets to be held and used are reviewed for impairment whenever events or changes in
circumstances indicate that the carrying amount of such assets may not be recoverable. Determination of recoverability is based
on an estimate of undiscounted future cash flows resulting from the use of the asset and its eventual disposition. Measurement
of an impairment loss for long-lived assets and certain identifiable intangible assets that management expects to hold and use
is based on the fair value of the asset. Long-lived assets and certain identifiable intangible assets to be disposed of are reported
at the lower of carrying amount or fair value less costs to sell. Beneficial
Conversion Features From
time to time, the Company may issue convertible notes that may contain an embedded beneficial conversion feature. A beneficial
conversion feature exists on the date a convertible note is issued when the fair value of the underlying common stock to which
the note is convertible into is in excess of the remaining unallocated proceeds of the note after first considering the allocation
of a portion of the note proceeds to the fair value of the warrants, if related warrants have been granted. The intrinsic value
of the beneficial conversion feature is recorded as a debt discount with a corresponding amount to additional paid in capital.
The debt discount is amortized to interest expense over the life of the note using the effective interest method. Derivative
Liability From
time to time, the Company may issue equity instruments that may contain an embedded derivative instrument which may result in
a derivative liability. A derivative liability exists on the date the equity instrument is issued when there is a contingent exercise
provision. The derivative liability is recorded at its fair value calculated by using an option pricing model. The fair value
of the derivative liability is then calculated on each balance sheet date with the corresponding gains and losses recorded in
the statement of operations. Basic
and Diluted Net Loss Per Share The
Company computes net loss per share in accordance with ASC 260, Earnings Per Share, which requires presentation of both basic
and diluted earnings per share (EPS) on the face of the income statement. Basic EPS is computed by dividing net loss available
to common shareholders (numerator) by the weighted average number of shares outstanding (denominator) during the period. Diluted
EPS gives effect to all dilutive potential common shares outstanding during the period using the treasury stock method and convertible
preferred stock using the if-converted method. In computing Diluted EPS, the average stock price for the period is used in determining
the number of shares assumed to be purchased from the exercise of stock options or warrants. Diluted EPS excludes all dilutive
potential shares if their effect is anti-dilutive. On December 31, 2020 and December 31, 2019, the Company had 10,000,000 10,000,000 Income
Taxes Potential
benefits of income tax losses are not recognized in the accounts until realization is more likely than not. Pursuant to ASC 740,
the Company is required to compute tax asset benefits for net operating losses carried forward. The potential benefits of net
operating losses have not been recognized in these consolidated financial statements because the Company cannot be assured it
is more likely than not it will utilize the net operating losses carried forward in future years. Unrecognized tax positions,
if ever recognized in the consolidated financial statements, are recorded in the statement of operations as part of the income
tax provision. Our policy is to recognize interest and penalties accrued on uncertain tax positions, if any, as part of the income
tax provision. The Company has no liability for uncertain tax positions. Unrecognized tax positions, if ever recognized in the
consolidated financial statements, are recorded in the statement of operations as part of the income tax provision. The Company’s
policy is to recognize interest and penalties accrued on uncertain tax positions, if any, as part of the income tax provision.
The Company has no liability for uncertain tax positions. On
March 22, 2017, tax reform legislation known as the Tax Cuts and Jobs Act (the “U.S. Tax Reform Act”) was enacted
in the United States. The U.S. Tax Reform Act, among other things, reduced the U.S. corporate income tax rate from 35% to 21% Financial
Instruments ASC
820, “Fair Value Measurements” and ASC 825, Financial Instruments, requires an entity to maximize the use of observable
inputs and minimize the use of unobservable inputs when measuring fair value. It establishes a fair value hierarchy based on the
level of independent, objective evidence surrounding the inputs used to measure fair value. A financial instrument categorized
within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. It
prioritizes the inputs into three levels that may be used to measure fair value: Level
1 Level
1 applies to assets or liabilities for which there are quoted prices in active markets for identical assets or liabilities. Level
2 Level
2 applies to assets or liabilities for which there are inputs other than quoted prices that are observable for the asset or liability
such as quoted prices for similar assets or liabilities in active markets; quoted prices for identical assets or liabilities in
markets with insufficient volume or infrequent transactions (less active markets); or model-derived valuations in which significant
inputs are observable or can be derived principally from, or corroborated by, observable market data. Level
3 Level
3 applies to assets or liabilities for which there are unobservable inputs to the valuation methodology that are significant to
the measurement of the fair value of the assets or liabilities. Assets
and liabilities measured at fair value on a recurring basis were presented on the Company’s balance sheet as at December
31, 2020 and 2019 as follows: Schedule of Assets and Liabilities Measured at Fair Value on Recurring Basis
Description Fair Value Measurements at December 31, 2020 Using Fair Value Hierarchy
Total Level 1 Level 2 Level 3
Derivative liability $ 1,303,456 $ - $ - $ 1,303,456
Total $ 1,303,456 $ - $ - $ 1,303,456
Description Fair Value Measurements at December 31, 2019 Using Fair Value Hierarchy
Total Level 1 Level 2 Level 3
Derivative liability $ 777,118 $ - $ - $ 777,118
Total $ 777,118 $ - $ - $ 777,118 The
carrying values of all of our other financial instruments, which include accounts payable and accrued liabilities, and amounts
due to related parties approximate their current fair values because of their nature and respective maturity dates or durations. Advertising
Expenses Advertising
expenses are included in general and administrative expenses in the Statements of Operations and are expensed as incurred. The
Company incurred $ 3,447 14,080 Revenue
Recognition Revenue
is recognized in accordance with ASC 606. The Company performs the following five steps: (i) identify the contract(s) with a customer,
(ii) identify the performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction
price to the performance obligations in the contract, and (v) recognize revenue when (or as) the entity satisfies a performance
obligation. The Company applies the five-step model to arrangements that meet the definition of a contract under Topic 606, including
when it is probable that the entity will collect the consideration it is entitled to in exchange for the goods or services it
transfers to the customer. At contract inception, once the contract is determined to be within the scope of Topic 606, the Company
evaluates the goods or services promised within each contract related performance obligation and assesses whether each promised
good or service is distinct. The Company recognizes as revenue, the amount of the transaction price that is allocated to the respective
performance obligation when (or as) the performance obligation is satisfied.. Revenues primarily include revenues from microtransactions.
Microtransaction revenues are derived from the sale of virtual goods to the Company’s players. Proceeds from the sales of
virtual goods directly are recognized as revenues when a player uses the virtual goods. Recent
Accounting Pronouncements In
February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”)
No. 2016-02, Leases (Topic 842), which amends the existing accounting standards for leases. The new standard requires lessees
to record a right-of-use (“ROU”) asset and a corresponding lease liability on the balance sheet (with the exception
of short-term leases). This new standard is effective for annual reporting periods beginning after December 15, 2018, and interim
reporting periods within those annual reporting periods, with early adoption permitted. We adopted this new standard effective
January 1, 2019. Adoption did not have any effect on the Company as it does not have any leases. The
Company has implemented all other new accounting pronouncements that are in effect. These pronouncements did not have any material
impact on the consolidated financial statements unless otherwise disclosed, and the Company does not believe that there are any
other new accounting pronouncements that have been issued that might have a material impact on its financial position or results
of operations. | 2. Summary of Significant Accounting Policies Basis
of Presentation The
accompanying unaudited consolidated financial statements have been prepared in accordance with the U.S. generally accepted accounting
principles for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they
do not include all of the information and footnotes required by the U.S. generally accepted accounting principles for complete consolidated
financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for
a fair presentation have been included. Use
of Estimates The
preparation of financial statements in conformity with generally accepted accounting principles in the United States requires management
to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and
liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The
Company regularly evaluates estimates and assumptions related to the fair values of convertible debentures, derivative liability, stock-based
compensation, and deferred income tax asset valuation allowances. The Company bases its estimates and assumptions on current facts, historical
experience, and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis
for making judgments about the carrying values of assets and liabilities and the accrual of costs and expenses that are not readily apparent
from other sources. The actual results experienced by the Company may differ materially and adversely from the Company’s estimates.
To the extent there are material differences between the estimates and the actual results, future results of operations will be affected. Certain
reclassifications have been made to prior-year amounts to conform to the current period presentation. Cash
Equivalents The
Company considers all highly liquid instruments with maturities of three months or less at the time of issuance to be cash equivalents.
Amounts receivable from credit card processors are also considered cash equivalents because they are both short-term and highly liquid
in nature. Intangible
Assets Intangible
assets are carried at the purchased cost less accumulated amortization. Amortization is computed over the estimated useful lives of the
respective assets, generally five years Impairment
of Long-Lived Assets Long-lived
assets and certain identifiable intangible assets to be held and used are reviewed for impairment whenever events or changes in circumstances
indicate that the carrying amount of such assets may not be recoverable. Determination of recoverability is based on an estimate of undiscounted
future cash flows resulting from the use of the asset and its eventual disposition. Measurement of an impairment loss for long-lived
assets and certain identifiable intangible assets that management expects to hold and use is based on the fair value of the asset. Long-lived
assets and certain identifiable intangible assets to be disposed of are reported at the lower of carrying amount or fair value less costs
to sell. Derivative
Liability From
time to time, the Company may issue equity instruments that may contain an embedded derivative instrument which may result in derivative
liability. A derivative liability exists on the date the equity instrument is issued when there is a contingent exercise provision. The
derivative liability is recorded at its fair value calculated by using an option pricing model. The fair value of the derivative liability
is then calculated on each balance sheet date with the corresponding gains and losses recorded in the statement of operations. Basic
and Diluted Net Loss Per Share The
Company computes net loss per share in accordance with ASC 260, Earnings Per Share, which requires the presentation of both basic and
diluted earnings per share (EPS) on the face of the income statement. Basic EPS is computed by dividing net loss available to common
shareholders (numerator) by the weighted average number of shares outstanding (denominator) during the period. Diluted EPS gives effect
to all dilutive potential common shares outstanding during the period using the treasury stock method and convertible preferred stock
using the if-converted method. In computing Diluted EPS, the average stock price for the period is used in determining the number of
shares assumed to be purchased from the exercise of stock options or warrants. Diluted EPS excludes all dilutive potential shares if
their effect is anti-dilutive. On September 30, 2021, and December 31, 2020, the Company had 10,000,000 10,000,000 Income
Taxes Potential
benefits of income tax losses are not recognized in the accounts until realization is more likely than not. Pursuant to ASC 740, the
Company is required to compute tax asset benefits for net operating losses carried forward. The potential benefits of net operating losses
have not been recognized in these consolidated financial statements because the Company cannot be assured it is more likely than not
it will utilize the net operating losses carried forward in future years. Unrecognized tax positions, if ever recognized in the consolidated
financial statements, are recorded in the statement of operations as part of the income tax provision. Our policy is to recognize interest
and penalties accrued on uncertain tax positions, if any, as part of the income tax provision. The Company has no liability for uncertain
tax positions. Unrecognized tax positions, if ever recognized in the consolidated financial statements, are recorded in the statement
of operations as part of the income tax provision. The Company’s policy is to recognize interest and penalties accrued on uncertain
tax positions, if any, as part of the income tax provision. The Company has no liability for uncertain tax positions. Financial
Instruments ASC
820, “Fair Value Measurements” and ASC 825, Financial Instruments, requires an entity to maximize the use of observable inputs
and minimize the use of unobservable inputs when measuring fair value. It establishes a fair value hierarchy based on the level of independent,
objective evidence surrounding the inputs used to measure fair value. A financial instrument categorized within the fair value hierarchy
is based upon the lowest level of input that is significant to the fair value measurement. It prioritizes the inputs into three levels
that may be used to measure fair value: Level
1 Level
1 applies to assets or liabilities for which there are quoted prices in active markets for identical assets or liabilities. Level
2 Level
2 applies to assets or liabilities for which there are inputs other than quoted prices that are observable for the asset or liability
such as quoted prices for similar assets or liabilities in active markets; quoted prices for identical assets or liabilities in markets
with insufficient volume or infrequent transactions (less active markets); or model-derived valuations in which significant inputs are
observable or can be derived principally from, or corroborated by, observable market data. Level
3 Level
3 applies to assets or liabilities for which there are unobservable inputs to the valuation methodology that are significant to the measurement
of the fair value of the assets or liabilities. Assets
and liabilities measured at fair value on a recurring basis were presented on the Company’s consolidated balance sheet as of September
30, 2021, and 2020 as follows: Schedule
of Assets and Liabilities Measured at Fair Value on Recurring Basis
Description Fair Value Measurements at September 30, 2021, Using Fair
Total Level 1 Level 2 Level 3
Derivative liability $ 16,508,750 $ - $ - $ 16,508,750
Total $ 16,508,750 $ - $ - $ 16,508,750
Description Fair Value Measurements at September 30, 2020, Using Fair
Total Level 1 Level 2 Level 3
Derivative liability $ 991,322 $ - $ - $ 991,322
Total $ 991,322 $ - $ - $ 991,322 The
carrying values of all of our other financial instruments, which include accounts payable and accrued liabilities, and amounts due to
related parties approximate their current fair values because of their nature and respective maturity dates or durations. Advertising
Expenses Advertising
expenses are included in general and administrative expenses in the consolidated Statements of Operations and are expensed as incurred.
The Company incurred $ 158,715 1,514 Revenue
Recognition Revenue
is recognized in accordance with ASC 606. The Company performs the following five steps: (i) identify the contract(s) with a customer,
(ii) identify the performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price
to the performance obligations in the contract, and (v) recognize revenue when (or as) the entity satisfies a performance obligation.
The Company applies the five-step model to arrangements that meet the definition of a contract under Topic 606, including when it is
probable that the entity will collect the consideration it is entitled to in exchange for the goods or services it transfers to the customer.
At contract inception, once the contract is determined to be within the scope of Topic 606, the Company evaluates the goods or services
promised within each contract-related performance obligation and assesses whether each promised good or service is distinct. The Company
recognizes as revenue, the amount of the transaction price that is allocated to the respective performance obligation when (or as) the
performance obligation is satisfied. Revenues primarily include revenues from microtransactions. Microtransaction revenues are derived
from the sale of virtual goods to the Company’s players. Proceeds from the sales of virtual goods directly are recognized as revenues
when a player uses the virtual goods. Recent
Accounting Pronouncements In
February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No.
2016-02, Leases (Topic 842), which amends the existing accounting standards for leases. The new standard requires lessees to record a
right-of-use (“ROU”) asset and a corresponding lease liability on the balance sheet (with the exception of short-term leases).
This new standard is effective for annual reporting periods beginning after December 15, 2018, and interim reporting periods within those
annual reporting periods, with early adoption permitted. We adopted this new standard effective January 1, 2019. The adoption did not
have any effect on the Company as it does not have any leases. The
Company has implemented all other new accounting pronouncements that are in effect. These pronouncements did not have any material impact
on the consolidated financial statements unless otherwise disclosed, and the Company does not believe that there are any other new accounting
pronouncements that have been issued that might have a material impact on its financial position or results of operations. |
