Blackboxstocks (BLBX) 10-K 12 Apr 17 2016 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2016	Mar. 14, 2017	Jun. 30, 2016
Document and Entity Information:
Entity Registrant Name	BLACKBOXSTOCKS INC.
Document Type	10-K
Document Period End Date	Dec. 31, 2016
Trading Symbol	blbx
Amendment Flag	false
Entity Central Index Key	1,567,900
Current Fiscal Year End Date	--12-31
Entity Common Stock, Shares Outstanding		23,110,000
Entity Filer Category	Smaller Reporting Company
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	FY
Entity Public Float			$ 5,935,010

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($)	Dec. 31, 2016	Dec. 31, 2015
Current assets:
Cash	$ 703,638	$ 60,286
Investments, trading	0	414
Accounts receivable	1,567	0
Advances, related party (Note 5)	42,690	0
Prepaid expenses	236,300	3,414
Prepaid expenses, related parties (Note 5)	36,700	154,500
Total current assets	1,020,895	218,614
Property:
Computer and related equipment, net of depreciation of $5,336 and $0 at December 31, 2016 and 2015, respectively	16,664	15,465
Total property	16,664	15,465
Total Assets	1,037,559	234,079
Current liabilities:
Accounts payable	72,279	29,148
Unearned subscriptions	17,682	0
Total current liabilities	89,961	29,148
Commitments and contingencies (Note 7)
Stockholders' Equity:
Preferred stock, $0.001 par value, 5,000,000 shares authorized; no shares issued and outstanding at December 31, 2016 and 2015, respectively	0	0
Series A Convertible Preferred Stock, $0.001 par value, 5,000,000 shares authorized; 5,000,000 issued and outstanding at December 31, 2016 and 2015, respectively	5,000	5,000
Common stock, $0.001 par value, 100,000,000 shares authorized: 23,110,000 and 20,835,010 issued and outstanding at December 31, 2016 and 2015, respectively	23,110	20,835
Additional paid in capital	2,352,332	799,607
Accumulated deficit	(1,432,844)	(620,511)
Total Stockholders' Equity	947,598	204,931
Total Liabilities and Stockholders' Equity	$ 1,037,559	$ 234,079

Consolidated Balance Sheets Par

Consolidated Balance Sheets Parentheticals - USD ($)	Dec. 31, 2016	Dec. 31, 2015
Parentheticals
Computer and related equipment depreciation	$ 5,336	$ 0
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock shares authorized	10,000,000	10,000,000
Series A Convertible Preferred Stock par value	$ 0.001	$ 0.001
Series A Convertible Preferred Stock shares authorized	5,000,000	5,000,000
Series A Convertible Preferred Stock issued	5,000,000	5,000,000
Series A Convertible Preferred Stock outstanding	5,000,000	5,000,000
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	23,110,000	20,835,010
Common stock, shares outstanding	23,110,000	20,835,010

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Revenue
Revenue	$ 94,668	$ 0
Cost of operations	78,073	0
Gross margin	16,595	0
Expenses:
Software development costs	319,935	185,324
General and administrative	499,962	238,156
Depreciation	5,336	0
Total operating expenses	825,233	423,480
Operating loss	(808,638)	(423,480)
Interest expense	3,695	0
Loss before income taxes	(812,333)	(423,480)
Income taxes	0	0
Net loss	$ (812,333)	$ (423,480)
Weighted average number of common shares outstanding - basic	20,692,201	17,633,595
Net loss per share - basic	$ (0.04)	$ (0.02)

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity - USD ($)	Series A Preferred Stock Shares	Series A Preferred Stock Amount	Preferred Stock Shares	Preferred Stock Amount	Common Stock Shares	Common Stock Amount	Additional Paid-in Capital	Accumulated Deficit	Treasury Stock	Total
Balance at Dec. 31, 2014	0	0	0	0	16,400,000	16,400	298,600	(197,031)	(50,000)	67,969
Issuance of shares in exchange for cash					1,600,000	1,600	798,400			800,000
Issuance of shares in exchange for cash	5,000,000	5,000								5,000
Retirement and cancellation of treasury shares					(100,000)	(100)	(49,900)		50,000
Issuance of shares by SMSA in reverse merger transaction					10,030,612	10,031	(9,589)			442
Purchase and cancellation of shares in exchange for cash					(7,095,602)	(7,096)	(237,904)			(245,000)
Net loss								$ (423,480)		$ (423,480)
Balance. at Dec. 31, 2015	5,000,000	5,000	0	0	20,835,010	20,835	799,607	(620,511)		204,931
Retirement and cancellation of common shares					(835,010)	(835)	835
Issuance of shares in exchange for cash					3,310,000	3,310	1,651,690			1,655,000
Recission of shares in exchange for cash					(200,000)	(200)	(99,800)			(100,000)
Net loss								$ (812,333)		$ (812,333)
Balance at Dec. 31, 2016	5,000,000	5,000	0	0	23,110,000	23,110	2,352,332	(1,432,844)	0	947,598

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Cash flows from operating activities
Net loss	$ (812,333)	$ (423,480)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation expense	5,336	0
Changes in operating assets and liabilities:
Investment, trading	414	(414)
Accounts receivable	(1,567)	0
Prepaid expenses	(232,886)	(3,414)
Prepaid expenses, related parties	117,800	(154,500)
Accounts payable	43,131	21,830
Accounts payable, related parties	0	(125,243)
Unearned subscriptions	17,682	0
Net cash used in operating activities	(862,423)	(685,221)
Cash flows from investing activities
Cash received in reverse merger transaction	0	442
Purchases of fixed assets	(6,535)	(15,465)
Net cash used in investing activities	(6,535)	(15,023)
Cash flows from financing activities
Common stock issued for cash	1,655,000	800,000
Preferred stock issued for cash	0	5,000
Payment for cancellation of common stock	(100,000)	(245,000)
Proceeds from notes payable	50,000	0
Repayment of notes payable	(50,000)	0
Cash advances from shareholder	108,235	0
Cash repayments to shareholder	(150,925)	0
Net cash provided by financing activities	1,512,310	560,000
Net increase(decrease) in cash	643,352	(140,244)
Cash - beginning of year	60,286	200,530
Cash - end of year	703,638	60,286
Supplemental disclosure-Non-cash investing and financing activities:
Cancellation of common shares	835	0
Cancellation of treasury shares	$ 0	$ 50,000

ORGANIZATION

ORGANIZATION	12 Months Ended
	Dec. 31, 2016
ORGANIZATION
ORGANIZATION	1. ORGANIZATION Blackboxstocks Inc. was incorporated on October 4, 2011 under the laws of the State of Nevada under the name SMSA Ballinger Acquisition Corp. to affect the reincorporation of Senior Management Services of Heritage Oaks at Ballinger, Inc., a Texas corporation, mandated by a Plan of Reorganization confirmed by the United States Bankruptcy Court for the Northern District of Texas for reorganization under Chapter 11 of the United States Bankruptcy Code. On December 1, 2015, the Company entered into a Share Exchange Agreement (“Exchange Agreement”), by and among the Company, Tiger Trade Technologies, Inc. (“Tiger Trade”), a Texas corporation and the Stockholders of Tiger Trade. Tiger Trade had a total of 25 stockholders as of the date of the Exchange Agreement. On February 8, 2016, the Company entered into an Agreement and Plan of Merger (“Merger Agreement”) with Tiger Trade, providing for the merger of Tiger Trade with and into the Company. At the effective time of the merger (February 9, 2016), the shares of Tiger Trade capital stock outstanding immediately before the effective time were canceled, retired and ceased to exist. The Company filed a Certificate of Amendment to its Articles of Incorporation effective as of March 9, 2016, changing the name of the Company to Blackboxstocks Inc. The Company is in the business of developing and marketing a real time analytical platform (the “Blackbox System”) to serve as a tool for day traders and swing traders on the OTC Markets Group, Inc. (“OTC”), NYSE, AMEX and NASDAQ markets.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Dec. 31, 2016
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation . The accompanying financial statements were prepared in conformity with generally accepted accounting principles in the United States (“GAAP”). Use of Estimates . Blackboxstocks’ financial statement preparation requires that management make estimates and assumptions which affect the reporting of assets and liabilities and the related disclosure of contingent assets and liabilities in order to report these financial statements in conformity with accounting principles generally accepted in the United States of America. Actual results could differ from those estimates. Cash . Cash includes all highly liquid investments that are readily convertible to known amounts of cash and have original maturities at the date of purchase of three months or less. Fair Value of Financial Instruments . The Financial Accounting Standards Board’s (FASB) Accounting Standards Codification (ASC) Topic 820, Fair Value Measurement Recently Issued Accounting Pronouncements . During the years ended December 31, 2016 and 2015, there were several new accounting pronouncements issued by the Financial Accounting Standards Board (“FASB”). Each of these pronouncements, as applicable, has been or will be adopted by the Company. Management does not believe the adoption of any of these accounting pronouncements has had or will have a material impact on the Company’s financial statements. Property and Equipment . The Company’s property and equipment consists of computer servers and related equipment to facilitate the Blackbox System software, which was acquired during 2015 and placed in service effective January 1, 2016 and depreciated on the straight-line basis over an estimated useful life of three years. Long-Lived Assets . The Company's accounting policy regarding the assessment of the recoverability of the carrying value of its long-lived assets, including property, equipment and purchased intangible assets with finite lives, is to review the carrying value of the assets if the facts and circumstances suggest that they may be impaired. If this review indicates that the carrying value will not be recoverable, as determined based on the projected undiscounted future cash flows, the carrying value is reduced to its estimated fair value. Income Taxes . The Company will recognize deferred tax assets and liabilities based on differences between the financial reporting and tax basis of assets and liabilities using the enacted tax rates and laws that are expected to be in effect when the differences are expected to be recovered. The Company provides a valuation allowance for deferred tax assets for which it does not consider realization of such assets to be more likely than not. Management evaluates the probability of the realization of its deferred income tax assets. Management determined that because the Company has not yet generated taxable income, it is unlikely that a tax benefit will be realized from these operating loss carry forwards and deductible temporary differences. Accordingly, the deferred income tax asset is offset by a full valuation allowance. In accordance with ASC Topic 740, Income Taxes Earnings or (Loss) Per Share . Basic earnings per share (or loss per share), is computed by dividing the earnings (loss) for the period by the weighted average number of common stock shares outstanding for the period. Diluted earnings per share reflects the potential dilution of securities by including other potentially issuable shares of common stock, including shares issuable upon conversion of convertible securities or exercise of outstanding stock options and warrants, in the weighted average number of common shares outstanding for the period. Therefore, because including shares issuable upon conversion of convertible securities and/or exercise of outstanding options and warrants would have an anti-dilutive effect on the loss per share, only the basic earnings (loss) per share is reported in the accompanying financial statements. At December 31, 2016 and 2015, the potential dilution would be 5,000,000 shares of common stock in the event the issued and outstanding shares of Series A Convertible Preferred Stock are converted. Share-Based Payment . Under ASC Topic 718, Compensation - Stock Compensation Revenue Recognition . The Company recognizes revenue from the sale of subscriptions for the use of the Blackbox System web application, when persuasive evidence of an arrangement exists, delivery and collectability is probable. Revenue generally is recognized net of allowances for returns and any taxes collected from customers and subsequently remitted to governmental authorities. During the quarter ended September 30, 2016 the Company launched its Blackbox System web application and began generating subscription sales revenues. Software Development Costs . The Company is engaged in the development of its proprietary Blackbox System technology, an algorithm driven system, through a combination of in-house system analysts and outside contractors. Under the guidelines of ASC Topic 985, Software Contingencies . Certain conditions may exist as of the date the financial statements are issued, which may result in a loss to the Company but which will only be resolved when one or more future events occur or fail to occur. The Company’s management and legal counsel assess such contingent liabilities, and such assessment inherently involves judgment. In assessing loss contingencies related to legal proceedings that are pending against the Company or unasserted claims that may result in such proceedings, the Company’s legal counsel evaluates the perceived merits of any legal proceedings or unasserted claims as well as the perceived merits of the amount of relief sought or expected to be sought. If the assessment of a contingency indicates it is probable that a material loss has been incurred and the amount of the liability can be estimated, then the estimated liability would be accrued in the Company’s financial statements. If the assessment indicates that a potential material loss contingency is not probable but is reasonably possible, or is probable but cannot be estimated, then the nature of the contingent liability, together with an estimate of the range of possible loss if determinable and material would be disclosed. Loss contingencies considered to be remote by management are generally not disclosed unless they involve guarantees, in which case the guarantee would be disclosed.

STOCKHOLDERS' EQUITY

STOCKHOLDERS' EQUITY	12 Months Ended
	Dec. 31, 2016
STOCKHOLDERS' EQUITY
STOCKHOLDERS' EQUITY	3. STOCKHOLDERS’ EQUITY At December 31, 2016, the Company had authorized 10,000,000 shares of preferred stock at $0.001 par value, 5,000,000 of which are designated as “Series A Convertible Preferred Stock” at $0.001 par value and 100,000,000 authorized shares of common stock at $0.001 par value (“Common Stock”). As of December 31, 2016 and 2015 there were 23,110,000 and 20,835,100 shares of Common Stock issued and outstanding, respectively, including 15,000,000 shares issued in exchange for proprietary assets contributed by our President and a third-party vendor (Note 5). Shares of Series A Convertible Preferred Stock have a $0.001 par value, do not accumulate dividends, and are convertible into shares of Common Stock on a one-for-one basis. Additionally, each share entitles the holder to 100 votes and, with respect to dividend and liquidation rights, the shares rank pari passu with the Company’s Common Stock. On December 1, 2015, the Company entered into an Exchange Agreement with Tiger Trade and its Stockholders (Note 1). Under the terms and conditions of the Exchange Agreement, the Company offered and sold Seventeen Million Nine Hundred Thousand (17,900,000) newly issued shares of Company Common Stock and Five Million (5,000,000) newly issued shares of Company Series A Convertible Preferred Stock in consideration for all the issued and outstanding shares of Tiger Trade capital stock. The effect of the issuance was that Tiger Trade stockholders acquired approximately 85.91% of the issued and outstanding shares of Company Common Stock and 100% of the issued and outstanding shares of Company Series A Convertible Preferred Stock. Tiger Trade became a wholly owned subsidiary of the Company as a result of the Exchange Agreement transaction. Tiger Trade was subsequently merged with and into the Company on February 9, 2016, at which time all of the outstanding shares of capital stock of Tiger Trade outstanding immediately before the effective date were canceled, retired and ceased to exist. On February 10, 2016, the Company entered into a Stock Cancellation Agreement with Gust C. Kepler, a Director, President, Chief Executive Officer, Chief Financial Officer and Secretary of the Company, pursuant to which Mr. Kepler cancelled and forfeited 835,010 shares of the Company’s Common Stock. During the year ended December 31, 2016, the Company issued a total of 3,310,000 shares of Common Stock at a cash price of $0.50 per share for a total of $1,655,000. However, the Company subsequently honored a request by one investor to rescind the purchase of 200,000 of such shares of Common Stock on October 28, 2016.

STOCK OPTIONS AND WARRANTS

STOCK OPTIONS AND WARRANTS	12 Months Ended
	Dec. 31, 2016
STOCK OPTIONS AND WARRANTS
STOCK OPTIONS AND WARRANTS	4. STOCK OPTIONS AND WARRANTS Costs attributable to the issuance of stock options and share purchase warrants are measured at fair value at the date of issuance and offset with a corresponding increase in ‘Additional Paid in Capital’ at the time of issuance. When the options or warrants are exercised, the receipt of consideration is an increase in stockholders’ equity. There was no stock option or warrant activity during the years ended December 31, 2016 and 2015 and as of March 21, 2017, no options or warrants were outstanding.

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	12 Months Ended
	Dec. 31, 2016
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS	5. RELATED PARTY TRANSACTIONS During the year ended December 31, 2016, Gust C. Kepler, a Director, President, Chief Executive Officer, Chief Financial Officer and Secretary of the Company was advanced $150,925 by the Company and repaid $108,235. The remaining advance of $42,690 is unsecured and bears no interest. During the period April 28, 2014 through March 31, 2016, the Company (and its predecessor, Tiger Trade) engaged the services of Karma Black Box LLC (“Karma”), which became a Company stockholder as a result of the Exchange Agreement (Note 1 and 3), for application development services of the Company’s Blackbox System technology. Karma was issued 5,000,000 shares of Tiger Trade common stock in exchange for some of the services valued at $5,000. Karma’s Tiger Trade shares were exchanged for Company Common Stock on a one-for-one basis under the terms of the Exchange Agreement. During the years ended December 31, 2016 and 2015, Karma was paid $46,500 and $22,556 for services, respectively. G2 International, Inc. (“G2”), which does business as IPA Tech Group (“IPA”) (Note 8), is a company wholly owned by Gust C. Kepler, a Director, President, Chief Executive Officer, Chief Financial Officer and Secretary of the Company, and the Company’s controlling stockholder. During the years ended December 31, 2016 and 2015, G2 provided software development services to the Company in exchange for fees totaling $0 and $3,000, respectively. In 2016 G2/IPA refunded $117,800 of prepayments for marketing services leaving a prepaid balance of $36,700 as of December 31, 2016. In addition, during the years ended December 31, 2016 and 2015 the Company incurred $0 and $82,456 of management fees and related expenses with G2, respectively. At December 31, 2016 and 2015, there were no accounts payable owed to G2.

NOTES PAYABLE

NOTES PAYABLE	12 Months Ended
	Dec. 31, 2016
NOTES PAYABLE
NOTES PAYABLE	6. NOTES PAYABLE On April 29, 2016 a third party advanced $50,000 to the Company in exchange for a six-month promissory note accruing interest at a rate of 10% per annum and secured by all assets and personal property of the Company. The principal and accrued interest on the note of $2,500 was paid in full as of December 31, 2016.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	12 Months Ended
	Dec. 31, 2016
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES	7. COMMITMENTS AND CONTINGENCIES The Company entered into a sublease agreement with G2 International effective July 1, 2015 subject to the terms and conditions of the office lease between G2 International and Teachers Insurance and Annuity Association of America for approximately 1,502 square feet of office space at 5430 LBJ Freeway, Dallas, Texas. The sublease agreement expires March 31, 2020. Future minimum rental payments under this sublease are: 2017 $41,680 2018 $43,182 2019 $44,684 2020 $11,265 During the years ended December 31, 2016 and 2015 we incurred $40,177 and $19,526, respectively, in office rental expense. The Company is not currently a defendant in any material litigation or any threatened litigation that could have a material effect on the Company’s financial statements

INCOME TAXES

INCOME TAXES	12 Months Ended
	Dec. 31, 2016
Income Taxes:
Income Tax Disclosure	8. INCOME TAXES The Company has established deferred tax assets and liabilities for the recognition of future deductions or taxable amounts and operating loss carry forwards. Deferred federal income tax expense or benefit is recognized as a result of the change in the deferred tax asset or liability during the year using the currently enacted tax laws and rates that apply to the period in which they are expected to affect taxable income. Valuation allowances are established, if necessary, to reduce deferred tax assets to the amounts that will more likely than not be realized. During the years ended December 31, 2016 and 2015, a reconciliation of income tax expense at the statutory rate of 34% to income tax expense at the Company’s effective tax rate is as follows: 2016 2015 Income tax benefit at statutory rate $ 276,000 $ 144,000 Permanent differences ( -) ( -) Change in valuation allowance (276,000 ) (144,000 ) Provision for federal income taxes $ — $ — At December 31, 2016 and 2015, the Company had approximately $1,433,000 and $620,000, respectively, of unused net operating loss carry forwards. Unused net operating loss carry forwards may provide future tax benefits, although there can be no assurance that these net operating losses will be realized in the future. These losses may be used to offset future taxable income and, if not fully utilized, expire in the year 2036.

Accounting Policies (Policies)

Accounting Policies (Policies)	12 Months Ended
	Dec. 31, 2016
Accounting Policies (Policies)
Basis of Presentation	Basis of Presentation . The accompanying financial statements were prepared in conformity with generally accepted accounting principles in the United States (“GAAP”).
Use of Estimates	Use of Estimates . Blackboxstocks’ financial statement preparation requires that management make estimates and assumptions which affect the reporting of assets and liabilities and the related disclosure of contingent assets and liabilities in order to report these financial statements in conformity with accounting principles generally accepted in the United States of America. Actual results could differ from those estimates.
Cash	Cash . Cash includes all highly liquid investments that are readily convertible to known amounts of cash and have original maturities at the date of purchase of three months or less.
Fair Value of Financial Instruments	Fair Value of Financial Instruments . The Financial Accounting Standards Board’s (FASB) Accounting Standards Codification (ASC) Topic 820, Fair Value Measurement
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements . During the years ended December 31, 2016 and 2015, there were several new accounting pronouncements issued by the Financial Accounting Standards Board (“FASB”). Each of these pronouncements, as applicable, has been or will be adopted by the Company. Management does not believe the adoption of any of these accounting pronouncements has had or will have a material impact on the Company’s financial statements.
Property and Equipment	Property and Equipment . The Company’s property and equipment consists of computer servers and related equipment to facilitate the Blackbox System software, which was acquired during 2015 and placed in service effective January 1, 2016 and depreciated on the straight-line basis over an estimated useful life of three years.
Long-Lived Assets	Long-Lived Assets . The Company's accounting policy regarding the assessment of the recoverability of the carrying value of its long-lived assets, including property, equipment and purchased intangible assets with finite lives, is to review the carrying value of the assets if the facts and circumstances suggest that they may be impaired. If this review indicates that the carrying value will not be recoverable, as determined based on the projected undiscounted future cash flows, the carrying value is reduced to its estimated fair value.
Income Taxes	Income Taxes . The Company will recognize deferred tax assets and liabilities based on differences between the financial reporting and tax basis of assets and liabilities using the enacted tax rates and laws that are expected to be in effect when the differences are expected to be recovered. The Company provides a valuation allowance for deferred tax assets for which it does not consider realization of such assets to be more likely than not. Management evaluates the probability of the realization of its deferred income tax assets. Management determined that because the Company has not yet generated taxable income, it is unlikely that a tax benefit will be realized from these operating loss carry forwards and deductible temporary differences. Accordingly, the deferred income tax asset is offset by a full valuation allowance. In accordance with ASC Topic 740, Income Taxes
Earnings or (Loss) Per Share	Earnings or (Loss) Per Share . Basic earnings per share (or loss per share), is computed by dividing the earnings (loss) for the period by the weighted average number of common stock shares outstanding for the period. Diluted earnings per share reflects the potential dilution of securities by including other potentially issuable shares of common stock, including shares issuable upon conversion of convertible securities or exercise of outstanding stock options and warrants, in the weighted average number of common shares outstanding for the period. Therefore, because including shares issuable upon conversion of convertible securities and/or exercise of outstanding options and warrants would have an anti-dilutive effect on the loss per share, only the basic earnings (loss) per share is reported in the accompanying financial statements. At December 31, 2016 and 2015, the potential dilution would be 5,000,000 shares of common stock in the event the issued and outstanding shares of Series A Convertible Preferred Stock are converted.
Share-Based Payment	Share-Based Payment . Under ASC Topic 718, Compensation - Stock Compensation
Revenue Recognition	Revenue Recognition . The Company recognizes revenue from the sale of subscriptions for the use of the Blackbox System web application, when persuasive evidence of an arrangement exists, delivery and collectability is probable. Revenue generally is recognized net of allowances for returns and any taxes collected from customers and subsequently remitted to governmental authorities. During the quarter ended September 30, 2016 the Company launched its Blackbox System web application and began generating subscription sales revenues.
Software Development Costs	Software Development Costs . The Company is engaged in the development of its proprietary Blackbox System technology, an algorithm driven system, through a combination of in-house system analysts and outside contractors. Under the guidelines of ASC Topic 985, Software
Contingencies	Contingencies . Certain conditions may exist as of the date the financial statements are issued, which may result in a loss to the Company but which will only be resolved when one or more future events occur or fail to occur. The Company’s management and legal counsel assess such contingent liabilities, and such assessment inherently involves judgment. In assessing loss contingencies related to legal proceedings that are pending against the Company or unasserted claims that may result in such proceedings, the Company’s legal counsel evaluates the perceived merits of any legal proceedings or unasserted claims as well as the perceived merits of the amount of relief sought or expected to be sought. If the assessment of a contingency indicates it is probable that a material loss has been incurred and the amount of the liability can be estimated, then the estimated liability would be accrued in the Company’s financial statements. If the assessment indicates that a potential material loss contingency is not probable but is reasonably possible, or is probable but cannot be estimated, then the nature of the contingent liability, together with an estimate of the range of possible loss if determinable and material would be disclosed. Loss contingencies considered to be remote by management are generally not disclosed unless they involve guarantees, in which case the guarantee would be disclosed.

Schedule of Commitments and Con

Schedule of Commitments and Contingencies (Tables)	12 Months Ended
	Dec. 31, 2016
Schedule of Commitments and Contingencies
Schedule of Commitments and Contingencies	The sublease agreement expires March 31, 2020. Future minimum rental payments under this sublease are: 2017 $41,680 2018 $43,182 2019 $44,684 2020 $11,265

Schedule of Income Taxes (Table

Schedule of Income Taxes (Tables)	12 Months Ended
	Dec. 31, 2016
Schedule of Income Taxes
Schedule of Effective Income Tax Rate Reconciliation	During the years ended December 31, 2016 and 2015, a reconciliation of income tax expense at the statutory rate of 34% to income tax expense at the Company’s effective tax rate is as follows: 2016 2015 Income tax benefit at statutory rate $ 276,000 $ 144,000 Permanent differences ( -) ( -) Change in valuation allowance (276,000 ) (144,000 ) Provision for federal income taxes $ — $ —

EARNINGS OR (LOSS) PER SHARE (D

EARNINGS OR (LOSS) PER SHARE (DETAILS) - shares	Dec. 31, 2016	Dec. 31, 2015
EARNINGS OR (LOSS) PER SHARE Details
Potential dilution common shares	5,000,000	5,000,000

CAPITAL STOCK TRANSACTION (Deta

CAPITAL STOCK TRANSACTION (Details) - $ / shares	Dec. 31, 2016	Oct. 28, 2016	Feb. 10, 2016	Dec. 31, 2015	Dec. 02, 2015
CAPITAL STOCK TRANSACTION Details
Company had authorized shares of preferred stock	10,000,000
Company had authorized shares of preferred stock at par value	$ 0.001
Series A Convertible Preferred Stock	5,000,000
Series A Convertible Preferred Stock par value	$ 0.001
Authorized shares of common stock	100,000,000
Authorized shares of common stock par value	$ 0.001
Common shares have been issued	23,110,000			20,835,010
Common shares issued for proprietary assets contributed by President	15,000,000
Company offered and sold newly issued shares of Company Common Stock					17,900,000
Company offered newly issued shares of Series A Convertible Preferred Stock					5,000,000
Issued and outstanding shares of Company Common Stock					85.91%
Issued and outstanding shares of Company Preferred Stock					100.00%
Company, pursuant to which Mr. Kepler cancelled and forfeited shares of Company Common Stock			835,010
Company issued a total shares of common stock	3,310,000
Company issued a total shares of common stock cash price	$ 0.5
Company issued a total shares of common stock total	1,655,000
One investor to rescind the purchase of such shares of Common Stock		200,000

RELATED PARTY TRANSACTION (Deta

RELATED PARTY TRANSACTION (Details) - USD ($)	12 Months Ended		23 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Mar. 31, 2016
RELATED PARTY TRANSACTION Details
Chief Financial Officer and Secretary of the Company was advanced	$ 150,925
Chief Financial Officer and Secretary of the Company repaid	108,235
Issued shares of Tiger Trade common stock			5,000,000
Common stock in exchange for some of the services valued at			$ 5,000
Karma was paid for services	46,500	$ 22,556
G2 provided software development services to the Company in exchange for fees totaling	0	3,000
Prepaid marketing services	36,700	154,500
Refunded of these prepayments leaving a prepaid balance	117,800
Incurred management fees and related expenses with G2	$ 0	$ 82,456

ACCOUNTS PAYABLE (DETAILS)

ACCOUNTS PAYABLE (DETAILS) - USD ($)	Dec. 31, 2016	Dec. 31, 2015
ACCOUNTS PAYABLE Details
Accounts payable owed to G2	$ 0	$ 0

NOTES PAYABLE (Details)

NOTES PAYABLE (Details)	Apr. 29, 2016USD ($)
NOTES PAYABLE Details
Advanced to the Company in exchange for a six-month promissory note	$ 50,000
Accruing interest at a rate per annum	10.00%
Principal and accrued interest on the note	$ 2,500

FUTURE MINIMUM RENTAL PAYMENTS

FUTURE MINIMUM RENTAL PAYMENTS (DETAILS)	Dec. 31, 2016USD ($)
FUTURE MINIMUM RENTAL PAYMENTS Details
Minimum rental payments 2017	$ 41,680
Minimum rental payments 2018	43,182
Minimum rental payments 2019	44,684
Minimum rental payments 2020	$ 11,265

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (DETAILS) - USD ($)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
COMMITMENTS AND CONTINGENCIES Details
Office rental expense	$ 40,177	$ 19,526

INCOME TAX EXPENSE BENEFIT AT A

INCOME TAX EXPENSE BENEFIT AT A STATUTORY RATE (Details) - USD ($)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
INCOME TAX EXPENSE BENEFIT AT A STATUTORY RATE Details
Income tax benefit at statutory rate	$ 276,000	$ 144,000
Permanent differences	0
Change in valuation allowance	$ (276,000)	(144,000)
Provision for federal income taxes		$ 0

NET OPERATING LOSS CARRYFORWARD

NET OPERATING LOSS CARRYFORWARD (DETAILS) - USD ($)	Dec. 31, 2016	Dec. 31, 2015
NET OPERATING LOSS CARRYFORWARD Details
Net operating loss carryforward	$ 1,433,000	$ 620,000