Pulse Evolution (PLFX) 10-Q 20 Aug 15 2015 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Dec. 31, 2014	Aug. 20, 2015
Document And Entity Information
Entity Registrant Name	Pulse Evolution Corp
Entity Central Index Key	1,583,138
Document Type	10-Q
Document Period End Date	Dec. 31, 2014
Amendment Flag	false
Current Fiscal Year End Date	--06-30
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		135,434,069
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2,015

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($)	Dec. 31, 2014	Jun. 30, 2014
Current assets:
Cash	$ 4,854	$ 1,539,719
Prepaid legal fees	47,288	134,675
Prepaid deposits and other assets	548,855	66,856
Total current assets	600,997	1,741,250
Property and equipment, net	38,618	22,886
Intangible assets and other assets	1,829,050	3,167
Total assets	2,468,665	1,767,303
Current liabilities:
Accounts payable	926,491	341,055
Accrued expenses	611,831	$ 676,520
Related party note payable	300,000
Total current liabilities	1,838,322	$ 1,017,575
Redeemable common stock, $0.001 par value, 2,800,000 and 0 issued and outstanding at December 31, 2014 and June 30, 2014, respectively	$ 1,000,000
Shareholders' equity:
Preferred stock, 100,000,000 shares authorized at par value of $0.001 per share, no shares issued and outstanding at December 31, 2014
Common stock, 300,000,000 shares authorized at par value of $0.001 per share, 135,434,440 and 109,627,349 issued and outstanding at December 31, 2014 and June 30, 2014, respectively	$ 135,435	$ 109,627
Subscription receivable	(1,253)	(153,276)
Additional paid in capital	14,756,183	9,116,789
Accumulated deficit	(14,976,602)	(8,465,066)
Total Pulse Evolution Corporation equity	(86,237)	608,074
Noncontrolling interests	(283,420)	141,654
Total liabilities and equity	$ 2,468,665	$ 1,767,303

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Dec. 31, 2014	Jun. 30, 2014
Statement of Financial Position [Abstract]
Redeemable common stock par value	$ 0.001	$ 0.001
Redeemable common stock, issued	2,800,000	0
Redeemable common stock, outstanding	2,800,000	0
Preferred stock, shares authorized	100,000,000	100,000,000
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, shares authorized	300,000,000	300,000,000
Common stock, par value	$ 0.001	$ .001
Common stock, shares issued	135,434,440	109,627,349
Common stock, shares outstanding	135,434,440	109,627,349

Condensed Consolidated Statemen

Condensed Consolidated Statement of Operations (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2014
Statement of Operations
Revenues			$ 88,151
Costs and expenses	$ 3,452,673	$ 219,209	7,024,761
Net operating loss	(3,452,673)	(219,209)	(6,936,610)
Loss before income taxes	$ (3,452,673)	$ (219,209)	$ (6,936,610)
Income tax expense
Net loss before non-controlling interests	$ (3,452,673)	$ (219,209)	$ (6,936,610)
Net loss attributable to non-controlling interests	160,300		425,074
Net loss attributable to common shareholders	$ (3,292,373)	$ (219,209)	$ (6,511,536)
Basic and Diluted loss per share attributable to Pulse Evolution Corporation common shareholders	$ (0.03)	$ 0	$ (0.05)
Weighted average number of common shares outstanding:
Basic and Diluted	129,948,852	86,718,357	121,534,413

Condensed Consolidated Stateme5

Condensed Consolidated Statement of Cash Flows (Unaudited) - USD ($)	3 Months Ended	6 Months Ended
	Dec. 31, 2013	Dec. 31, 2014
Cash flows from operating activities
Net loss	$ (219,209)	$ (6,936,610)
Adjustments to reconcile net loss to net cash used by operating activities:
Depreciation and amortization		151,972
Share-based compensation expense		488,552
Changes in operating assets and liabilities:
Prepaid legal fees		87,387
Prepaid deposits and other assets	$ (4,700)	18,918
Purchase of licensing rights	(701,489)	(1,000,000)
Accounts payable	69,985	1,032,778
Accrued expenses	86,535	(14,689)
Net cash used by operating activities	$ (768,878)	(6,171,692)
Cash flows from investing activities:
Purchase of property and equipment		(18,504)
Net cash used in investing activities:		(18,504)
Cash flows from financing activities:
Net proceeds from sales of common stock	$ 3,210,648	4,405,331
Net proceeds from loan		250,000
Net cash provided by investing activities:	$ 3,210,648	4,655,331
Net increase (decrease) in cash and cash equivalents	$ 2,441,770	(1,534,865)
Cash and cash equivalents, beginning of period		1,539,719
Cash and cash equivalents, end of period	$ 2,441,770	4,854
Supplement cash flow information:
Payment of payable in common stock		456,653
Exchange warrant option issued to acquire licensing rights		476,000
Issuance of redeemable common stock for licensing rights		$ 1,000,000

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Dec. 31, 2014
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Business Pulse Evolution Corporation was incorporated on May 31, 2013, under the laws of the State of Nevada under the name QurApps, Inc., initially announcing plans to develop software applications for mobile devices. In anticipation of a change of control transaction, which closed on May 15, 2014, the Company changed its name to Pulse Evolution Corporation effective May 8, 2014. The Company is a recognized pioneer and leading developer of hyper-realistic digital humans for holographic live performances, virtual reality, augmented reality and artificial intelligence. Founded by the producers of the world’s most globally recognized digital humans, the Company is initially focused on the development of computer-generated digital humans for entertainment and media applications, such as live and holographic concerts, virtual reality, advertising, feature films and branded content. In this regard, the Company is principally focused on generating revenues from key agreements with the leading celebrity estates of Michael Jackson, Elvis Presley and Marilyn Monroe. The Company believes that digital humans will be ubiquitous in society, culture and industry. They will not only perform on stage or in film, as has already been witnessed, but they will also represent us individually as digital likeness avatars, in realistic and fantasy form, appearing on our behalf, and interacting in electronic and mobile communication, social media, video games and virtual reality. The Company believes digital humans will ultimately provide a relatable human interface for artificial intelligence applications, ‘thinking’ machine systems that, through the technology, will appear as realistic communicating humans through mobile devices, digital signage, classrooms and through lightweight wearable augmented reality glasses and virtual reality headsets. Beyond the Company’s immediate focus on entertainment, the Company is devoting significant resources to developing the role of digital humans in virtual reality and in artificial intelligence. In the first quarter of our fiscal year 2016, the Company entered into a contract services relationship, developing digital humans and content, for a leading virtual reality industry company. Though there are no plans to pursue a business model of contract services, the project has enabled the Company to further develop its proprietary human animation technologies and efficiently enter into the high-growth virtual reality industry. The Company has also recently consummated its first joint venture with an artificial intelligence company. Pursuant to the terms of this agreement, SpaceBoy, a leading Japan-based artificial intelligence company, made a direct equity investment into Company common stock, while also providing the Company with an opportunity to build ‘thinking’ digital humans based on SpaceBoy’s ‘AI Inside’ technology. It is the Company’s goal to be the ‘face’ of artificial intelligence, to provide a human form to interactive artificially intelligent computer beings. The Company believes the experience and vision of our leadership team, combined with existing and growing business relationships, have positioned the Company to be a leading pioneer in the worlds of virtual reality and artificial intelligence. The Company’s media and entertainment business model is focused on participation in intellectual property through the development, production and ownership of entertainment properties featuring globally recognized animated virtual performers and through multiyear revenueshare relationships with living celebrities and late celebrity estates. In late 2013, Pulse Entertainment Corporation (“Pulse Entertainment”), now a wholly-owned subsidiary of the Company, entered into a multiyear agreement with the estate of Michael Jackson to produce a photorealistic digital likeness of the late celebrity and to participate in a share of revenues that could be realized through performances of the ‘Virtual Michael Jackson’ in diverse entertainment and media applications. In August 2014, the Company entered into a multiyear agreement with ABG EPE IP, LLC (“ABG”), the principal owner of rights related to the estate of the late celebrity Elvis Presley to produce a photorealistic digital likeness of the late celebrity and to participate in a share of revenues that could be realized through performances of the ‘Virtual Elvis Presley’ in diverse entertainment and media applications. In October 2014, the Company entered into a multiyear agreement with the estate of the late celebrity Marilyn Monroe to produce a photorealistic digital likeness of the late celebrity and to participate in a share of revenues that could be realized through performances of the ‘Virtual Marilyn Monroe’ in diverse entertainment and media applications. Acquisition of Pulse Entertainment In May 2014, the Company signed a letter of intent to exchange at least a majority of its unissued shares of common stock for 100% of the outstanding common stock of Pulse Entertainment Corporation, a related party. The Company entered into a share exchange agreement on September 26, 2014 (the “Share Exchange Agreement”) with Pulse Entertainment in which the Company agreed to issue up to 58,362,708 shares of its unregistered common stock, $0.001 par value (the “Common Stock”) to the shareholders of Pulse Entertainment holding 21,535,252 shares of its issued and outstanding common stock (the “Share Exchange”), such shares representing 100% of the issued and outstanding common stock of Pulse Entertainment. Upon closing of the transaction, Pulse Entertainment will become a subsidiary of the Company and the total shares of common stock outstanding are expected to be 146,280,014. On September 30, 2014, the Company completed the initial closing under the Share Exchange Agreement pursuant to which it agreed to issue 35,827,309 shares of its unregistered Common Stock, net of cancellations, to the shareholders of Pulse Entertainment in exchange for 17,466,383 shares of its common stock. During the three months ended December 31, 2014, the Company exchanged additional shares under the Share Exchange Agreement pursuant to which it agreed to issue 15,135,973 shares of its unregistered Common Stock, net of cancellations, to the shareholders of Pulse Entertainment in exchange for 2,732,869 shares of its common stock. As part of the Share Exchange, certain of the Company’s shareholders who are also shareholders of Pulse Entertainment canceled 60,910,113 shares of the Company’s common stock previously issued to them in connection with the Share Exchange. Upon completion of the initial closing, Pulse Entertainment became a subsidiary of the Company in which the Company owned a 93.8% interest at December 31, 2014. The remaining 1,336,000 shares of Pulse Entertainment common stock were exchanged in June 2015 and July 2015 by the Pulse Entertainment Shareholders pursuant to the Share Exchange Agreement for 7,399,426 shares of the Company’s unregistered common stock. In the event these shares are exchanged, Pulse Entertainment will become a wholly owned subsidiary of the Company. Recapitalization The Company’s acquisition of Pulse Entertainment was accounted for as a recapitalization of Pulse Entertainment since the shareholders of Pulse Entertainment obtained voting and managing control of the Company. Pulse Entertainment was the acquirer for financial reporting purposes and Pulse Evolution was the acquired company. Consequently, the consolidated financial statements after completion of the acquisition include the assets and liabilities of both Pulse Evolution and Pulse Entertainment, the historical operations of Pulse Entertainment and their consolidated operations from the September 30, 2014 closing date of the acquisition. Pulse Entertainment retroactively applied its recapitalization pursuant to the terms of the Share Exchange Agreement for all periods presented in the accompanying consolidated financial statements for the three and six months ended December 31, 2014 and for the period from October 10, 2013 through December 31, 2013. Because Pulse Entertainment is the acquirer for financial reporting purposes, comparative prior year data is presented for the period from October 10, 2013 through December 31, 2013 due to Pulse Entertainment’s incorporation occurring on October 10, 2013 in the state of Delaware. Liquidity The Company has been highly dependent on raising capital to fund its startup and growth strategies. To date, the Company has raised capital from the sales of its common stock without restrictive covenants from institutional investors and strategic partners (See Note 8 Capitalization). On September 30, 2014, the Company and Pulse Entertainment completed an initial closing under the terms of a share exchange agreement they entered into whereby Pulse Entertainment became a subsidiary of the Company. As of December 31, 2014, the Company owns 93.8% of Pulse Entertainment. The Company’s core business is the acquisition from estates and other rights holders of certain intellectual property rights to create virtual celebrities, and the right to present, and license to others to present, those virtual performers in live, and a variety of livevirtual and commercial formats. In execution of its business plan, the Company has considered various models for executing its business plan. Originally, the Company intended to focus on providing virtual performers for appearances and collecting royalties when the Company has an ownership interest in the intellectual property rights for the virtual performer (the “Talent Model”). Under the Talent Model, the Company would permit other producers to create performances that make use of virtual performers created by the Company. In addition to being available for performances in entertainment productions, the virtual performers would also be available for diverse other appearances, such as television commercials, print advertising campaigns, short-form content and downloadable apps. Under the Talent Model, the Company is positioned to earn revenues from its virtual performers, and through its revenue share agreements with celebrity estates, in a manner that is consistent with how the ‘actual’ celebrities would earn revenues through their direct performances and appearances. The Company has also considered a traditional visual effects services model, principally in response to requests by third-parties that would like to build computer generated, digital humans depicting actual historical figures, living celebrities and fictional fantasy characters. To the extent the Company has available human resources, whether between production contracts or otherwise, the Company believes such services projects represent an opportunity to generate additional high-margin revenue, based on our human animation specialization, and also the opportunity to see additional benefits of the services work as ‘funded research and development’. Additionally, certain of these projects also have the potential to strengthen the Company’s reputation as a leader in the field of human animation. Subsequently, the Company decided to explore and develop opportunities to act as a producer of events (the “Producer Model”), thereby enabling the company to exert significant creative and technological control over the performance productions, and to capture significantly greater portions of the realizable economic value created by the virtual performance. Under both models, the Company expects to generate revenues and/or positive operating cashflow on all digital construction, animation, and production services that it provides, plus royalties and performance fees when the work involves intellectual property rights held by the Company. Under both models, the Company has significant discretion to determine to what extent the creative and production resources, which are primarily labor costs, are engaged on an asneeded basis for each project or production (“Contract Staffing”), and to what extent the Company carries a concentration of creative and production resources inhouse (“InHouse Staffing”). While execution of the Producer Model enables the Company to capture more of the value created by the virtual performers, it also requires the Company to raise significant amounts of production capital, which is similar to project financed equity or nonrecourse debt into production subsidiaries. Executing this model with Inhouse Staffing gives the Company certain strategic advantages and flexibility in the development of new concepts and application of new technologies, yet it also requires a higher employee headcount and the related operating overhead. The Company’s ability to fund its operations and meet its obligations on a timely basis is dependent on its ability to match the available financial resources to its operating model (Talent vs. Producer) and its execution strategy (Contract Staffing vs. InHouse Staffing). The decisions the Company makes with regard to operating model and execution strategy drive the capital and liquidity requirements. The Company is currently operating under the Producer Model with significant InHouse Staffing resources. Consequently, the Company is heavily reliant upon raising equity capital to finance our operations, meet our working capital requirements and finance productions. To the extent that full development of the Company’s growth opportunities also requires forming strategic alliances, the Company is prepared to do so. If, however, the Company is unable to successfully raise sufficient additional capital and generate cash flow from operations, the Company would likely have to curtail its activities as a production company, reduce its dependence on InHouse Staffing resources and downsize the scale of its operations in a manner consistent with the Talent Model. Basis of Presentation and Consolidation These unaudited condensed consolidated interim financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) in accordance with the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”) for interim financial information. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, these financial statements contain all adjustments, consisting of normal recurring adjustments, necessary to present fairly the financial position, results of operations and cash flows for the periods presented. The results of operations for the interim periods presented are not necessarily indicative of the results that may be expected for the full year. These financial statements should be read in conjunction with the financial statements included in Form 8-K filed with the SEC on October 10, 2014. The accompanying condensed consolidated financial statements include the accounts of Pulse Evolution Corporation, its majorityowned subsidiary Pulse Entertainment Corporation and its whollyowned subsidiary The Kopp Initiative, LLC. All significant intercompany accounts and transactions have been eliminated in consolidation. The Company retroactively applied its recapitalization per the Share Exchange Agreement for all periods presented in the accompanying unaudited condensed consolidated financial statements. Reclassifications The accompanying condensed consolidated financial statements include certain reclassifications of amounts in the June 30, 2014 financial statements in order to conform to the December 31, 2014 presentation. Prepaid and Other Assets The Company had paid a launch fee of $1,000,000 for the multiyear agreement with ABG, as described in Note 4 Intangibles and Other Assets. In April 2015 this agreement was amended to reduce the launch fee to $500,000 and use the remaining payment made by the Company to fund the $500,000 service contract when expenses are incurred. The Company reclassified $500,000 of the launch fee to prepaid expenses as of December 31, 2014. Revenue Recognition The Company has entered into a production services agreement with the estate of a deceased celebrity that provide revenues based on certain production services. Revenue is recognized on a straightline basis over each contract period, as defined in each agreement. As the production services are rendered, revenue is recognized. Stockbased Compensation Accounting Standard Codification (“ASC”) 718, “CompensationStock Compensation” requires recognition in the financial statements of the cost of employee services received in exchange for an award of equity instruments over the period the employee is required to perform the services in exchange for the award (presumptively the vesting period). The Company measures the cost of employee services received in exchange for an award based on the grantdate fair value of the award. The Company accounts for nonemployee sharebased awards based upon ASC 50550, “EquityBased Payments to NonEmployees.” ASC 50550 requires the costs of goods and services received in exchange for an award of equity instruments to be recognized using the fair value of the goods and services or the fair value of the equity award, whichever is more reliably measurable. The fair value of the equity award is determined on the measurement date, which is the earlier of the date that a performance commitment is reached or the date that performance is complete. Generally, the Company’s awards do not entail performance commitments. When an award vests over time such that performance occurs over multiple reporting periods, the Company estimates the fair value of the award as of the end of each reporting period and recognize an appropriate portion of the cost based on the fair value on that date. When the award vests, the Company adjusts the cost previously recognized so that the cost ultimately recognized is equivalent to the fair value on the vesting date, which is presumed to be the date performance is complete. Income Taxes The Company uses the asset and liability method of accounting for income taxes. Under this method, deferred income taxes 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 be applied to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred taxes of a change in tax rates is recognized in income in the period that includes the enactment date. Earnings per Share Basic earnings per share are computed based upon the weightedaverage number of shares outstanding, including nominal issuances of common share equivalents, for each period presented. Fullydiluted, earnings per share is computed based upon the weightedaverage number of shares and dilutive share equivalents outstanding for each period presented. Due to the Company’s net losses for the three and six months ended December 31, 2014, the inclusion of dilutive common share equivalents in the calculation of diluted earnings per share would be antidilutive. Thus, the common share equivalents have been excluded from the computation of diluted earnings per share for the three and six months ended December 31, 2014. These common stock equivalents include warrants for shares of the Company’s common stock and rights to exchange shares of Pulse Entertainment Corporation common stock for shares of the Company’s common stock. The potential dilutive securities outstanding that were excluded from the computation of diluted net loss per share for the three and six months ended December 31, 2014, because their inclusion would have had an antidilutive effect, are summarized as follows: Three Months Ended Six Months Ended December 31, 2014 December 31, 2014 Share exchange right of subsidiary shareholders 7,399,426 22,535,399 Unvested restricted stock 1,152,000 1,152,000 Warrants 2,800,000 2,800,000 Total 11,351,426 26,487,399 Recent Accounting Pronouncements On May 28, 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update No. 201409 (ASU 201409), Revenue from Contracts with Customers. ASU 201409 will eliminate transaction and industryspecific revenue recognition guidance under current U.S. GAAP and replace it with a principle based approach for determining revenue recognition. ASU 201409 will require that companies recognize revenue based on the value of transferred goods or services as they occur in the contract. The ASU also will require additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. ASU 201409 is effective for reporting periods beginning after December 15, 2016, and early adoption is not permitted. Entities can transition to the standard either retrospectively or as a cumulativeeffect adjustment as of the date of adoption. Management is currently evaluating the impact, if any, on adopting ASU 201409 on our results of operations or financial condition. In August 2014, the FABS issued ASU No. 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern (“ASU 2014-15”). ASU 2014-15 will explicitly require management to assess an entity’s ability to continue as a going concern, and to provide related footnote disclosure in certain circumstances. The new standard will be effective for all entities in the first annual period ending after December 15, 2016. Earlier adoption is permitted. The Company is currently evaluating the impact of the adoption of ASU 2014-15.

Property & Equipment

Property & Equipment	6 Months Ended
	Dec. 31, 2014
Property, Plant and Equipment [Abstract]
Property & Equipment	NOTE 2. PROPERTY & EQUIPMENT Property and equipment as of December 31, 2014 and June 30, 2014 consist of the following: December 31, 2014 June 30, 2014 Computers and other equipment $ 28,309 $ 9,805 Furniture and fixtures 14,061 14,061 Total property and equipment, cost 42,370 23,866 Less accumulated depreciation (3,752 ) (980 ) Total property and equipment, net $ 38,618 $ 22,886 The range of estimated useful lives for property and equipment at December 31, 2014, and June 30, 2014 was five to seven years. Depreciation expense on property and equipment totaled $1,711 and $2,772 for the three and six months ended December 31, 2014, respectively.

Intangible and Other Assets

Intangible and Other Assets	6 Months Ended
	Dec. 31, 2014
Goodwill and Intangible Assets Disclosure [Abstract]
Intangible and Other Assets	NOTE 3. INTANGIBLE AND OTHER ASSETS In August 2014, the Company entered into a multiyear agreement with ABG to develop for ABG, entertainment projects to utilize a realistic computergenerated image of Elvis Presley. The likeness will be used to create entertainment and branding revenue opportunities for the Company, generated from holographic performances in live shows and commercials. There was a launch fee valued at $500,000 paid for in cash and an additional warrant issued. The warrant was valued based on the fair value at the time of issuance. The Company determines the fair value of its financial instruments using the BlackScholes option pricing model and utilized the following assumptions for determination of the fair value of its financial instrument as of December 31, 2014: Fair value of exchange warrants option December 31, 2014 June 30, 2014 Number of shares 2,800,000 Fair value of option $ 476,000 - Term in years 1.61 - Riskfree interest rate 3.4 % - Volatility 76.63 % - Dividend rate 0.00 % - The initial value has been capitalized and is being amortized over the length of the agreement. At December 31, 2014, fiftyfive months remain unamortized on the agreement. The net value of the intangible asset is $876,800 at December 31, 2014. In October 2014, the Company entered into a multiyear agreement with the Estate of Marilyn Monroe, LLC (“the Monroe Estate”) to develop for the Monroe Estate entertainment projects to utilize a realistic computergenerated image of Marilyn Monroe. The likeness will be used to create entertainment and branding revenue opportunities for the Company, generated from holographic performances in live shows and commercials. The Monroe Estate holds the likeness, appearance, and publicity rights of Marilyn Monroe. Under the terms of the agreement, the Company issued 2,800,000 shares of common stock to the Monroe Estate. The initial value has been capitalized and is being amortized over the length of the agreement. At December 31, 2014, fifty-seven months remain unamortized on the agreement. The net value of the intangible asset is $950,000 at December 31, 2014. Additionally, the Company’s agreement with the Monroe Estate included a provision where the Company was to cause the 2,800,000 shares issued to be registered by a specified date. If this did not occur, the Company would be liable to the Monroe Estate for $1,000,000 in order to pay them back for the shares issued. The shares are redeemable at the option of the Monroe Estate and the date to register had passed as of April 1, 2015. Since these shares are redeemable at the option of the holder, they have been classified outside of permanent equity. Also see the Subsequent Events Note 11.

Accrued Liabilities

Accrued Liabilities	6 Months Ended
	Dec. 31, 2014
Payables and Accruals [Abstract]
Accrued Liabilities	NOTE 4. ACCRUED LIABILITIES Accrued liabilities as of December 31, 2014 and June 30, 2014 consist of the following: December 31, 2014 June 30, 2014 Payroll and payroll related liabilities $ 474,359 $ 132,732 Due to advisor - 456,653 Stock grant accrual 41,440 - Other accrued expenses 96,032 87,135 Total accrued expenses $ 611,831 $ 676,520

Non-Controlling Interests

Non-Controlling Interests	6 Months Ended
	Dec. 31, 2014
Noncontrolling Interest [Abstract]
Non-Controlling Interests	NOTE 5. NONCONTROLLING INTERESTS Changes in the noncontrolling interest amounts of our subsidiaries for the three and six months ended December 31, 2014 were as follows: Balance at June 30, 2014 $ 141,654 Net loss attributable to noncontrolling interests (516,853 ) Balance at September 30, 2014 (375,199 ) Adjust for share exchange 252,079 Net loss attributable to noncontrolling interests (160,300 ) Balance at December 31, 2014 $ (283,420 ) During the three and six months ended December 31, 2014, the Company’s subsidiary Pulse Entertainment realized a net loss of $2,585,484, and $5,320,158 respectively. Pursuant to the requirements under FASB ASC Topic 810, Consolidation, the Company allocates Pulse Entertainment’s earnings to noncontrolling interests based on the percentage of common stock of Pulse Entertainment not owned by the Company. Intercompany transactions are eliminated in consolidation but impact the net earnings of each of the respective entities and as such affect amounts allocated to noncontrolling interests. During the three and six months ended December 31, 2014, $2,585,484, and $5,320,158, respectively, of Pulse Entertainment’s net loss was allocated to accumulated deficit representing the Company’s proportionate holdings in Pulse Entertainment’s common stock outstanding. During the three months ended December 31, 2014, the Company completed additional closings under the Share Exchange Agreement pursuant to which it agreed to issue 15,135,973 shares of its unregistered Common Stock, net of cancellations, to the shareholders of Pulse Entertainment in exchange for 2,732,869 shares of its common stock. As part of the Share Exchange, certain of the Company’s shareholders who are also shareholders of Pulse Entertainment canceled 60,910,113 shares of the Company’s common stock previously issued to them in connection with the Share Exchange. Upon completion of the initial closing, Pulse Entertainment became a subsidiary of the Company in which the Company owned a 93.8% interest at December 31, 2014. There was an increase of $252,079 to the allocation of Pulse Entertainment’s net loss after the share exchanges that occurred during the three months ended December 31, 2014. The Pulse Entertainment’s net loss allocated to non-controlling interests were $329,850 and $160,300 for the three and six months ended December 31, 2014, respectively.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Dec. 31, 2014
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	NOTE 6. COMMITMENTS AND CONTINGENCIES Operating Leases The Company leases office space in Florida under a non-cancellable operating lease with an expiration date of March 31, 2015. The Company negotiated a monthtomonth lease commencing on March 1, 2015. The monthly lease expense through March 1, 2015 was approximately $12,000. Beginning on March 1, 2015, the negotiated rate is $6,000 each month. The Company also leases office space on a monthtomonth basis for its production operations. Monthly lease expense is approximately $7,300. On January 1, 2015, the Company signed an operating sub-lease with an expiration date of December 31, 2015. The monthly lease expense beginning on January 1, 2015 is approximately $14,000. Total rent expense for the three and six months ended December 31, 2014 was approximately $60,900 and $101,671, respectively. Advisory Agreements The Company’s majorityowned subsidiary, Pulse Entertainment Corporation, entered into an Investor Introduction Agreement (“the Agreement”) with an international advisory services group (“the Advisor”) in March 2014. The Advisor is to support the Company in its fund raising process through introductions of potential investors and to assist the Company in developing its investor relations strategy. The Agreement calls for the Advisor to be paid a success fee in cash equal to six percent of all investments introduced by the Advisor. In addition the Advisor shall be entitled to shares equal to three percent of the underlying shares issued in any such transactions. As of June 30, 2014, the Advisor had earned 488,830 shares of Pulse Entertainment common stock, of which 224,869 shares of common stock were issued. A liability had been recognized by Pulse Entertainment for the portion of shares not issued as of June 30, 2014 totaling $456,653. In September 2014, the Company issued 1,461,946 shares of its common stock in payment of the liability as if Pulse Entertainment had paid the Advisor in its shares, and the Advisor immediately exchanged the shares in the company’s stock under the Share Exchange Agreement as further described in Note 9 Capitalization Pulse Entertainment entered into a business development advisory agreement (the “Business Development Agreement”) with a consulting firm (the “Consultant”) in May 2014, wherein the Consultant agreed to provide certain production and promotion services to Pulse Entertainment in exchange for consideration including cash, equity, an operating budget and production credits as specified in the Business Development Agreement. The Business Development Agreement provides for certain performance milestones and for termination by either party with 30 days’ notice. The maximum potential equity consideration is comprised of up to 200,000 stock options with an exercise price of $1.73 per share as follows: ● 100,000 options immediately upon execution of the Agreement ● Up to 50,000 options each quarter for the following two quarters, beginning three months from the date of the Agreement, if certain performance targets are achieved. The Business Development Agreement was terminated in September 2014. As of December 2014, 125,000 stock options to the Consultant in Pulse Entertainment were vested but not yet issued. In September 2014, the Company entered into an exclusive financial services and advisory agreement with a consultant to assist the Company in its capital market strategies. Under the terms of the agreement, the Company is to pay the consultant three nonrefundable monthly payments of $30,000, and quarterly restricted stock grants equal to onehalf of one percent of the outstanding shares of common stock of the Company each quarter to a maximum of two and onehalf percent of the outstanding shares of common stock. The agreement also calls for a ten percent fee in the event that a qualified financing transaction, as defined in the agreement, is closed. The fee is payable equally in cash and stock. This agreement has been terminated as of December 31, 2014. In October 2014, the Company entered into a consulting agreement with a third party to provide executive leadership in the formation of a new division of the Company. Under the terms of the agreement, the consultant will provide services in the development of a business plan, technology planning, and fundraising. Under the term of the agreement, the consultant is to provide services for six months and is to be paid a monthly base payment of $10,000, with additional amounts to be paid under certain performance conditions. If certain performance targets, as defined in the agreement, are met, the Company would create a newly formed subsidiary and the consultant would become the Chief Executive Officer of the newly developed subsidiary. Additionally, beginning upon the execution of this agreement, the consultant became a member of the Company’s advisory board and was granted 1,152,000 shares of the Company’s restricted common stock which vest quarterly in equal installments over a two year period. As of December 31, 2014 there were no shares issued related to this contract. Contractual Commitments The Company has entered into a productionrelated contract with ABG. Under the terms of the contract, the Company is required to make an initial payment to the third party as well as commitments to profit sharing requiring minimum future payments to the third party ratably over the next five years beginning at the end of calendar 2015. At December 31, 2014, the future minimum payments due for future profit sharing under the contract are $4,000,000. The Company has entered into a productionrelated contract with the Estate of Marilyn Monroe. Under the terms of the contract, the Company is required to make an initial payment to the third party as well as commitments to profit sharing requiring minimum future payments to the third party ratably over the next five years beginning at the end of calendar 2015. At December 31, 2014, the future minimum payments due for future profit sharing under the contract are $2,100,000. The Company had entered into a one year contract with the former Chief Financial Officer through April 30, 2015. His employment was terminated on January 30, 2015. Although the Company believes that no amounts are owed in connection with this contract, the Company accrued approximately $133,000 at the time of his termination, representing its estimate of the Company’s maximum total cash exposure, should the former employee elect to exercise his contractual right to dispute such amount through arbitration. As of the date of this filing, the Company has received no notice of a filing for arbitration. Litigation On May 29, 2014, Hologram USA, Inc., Musion Das Hologram Limited and Uwe Maass (the “Plaintiffs”) filed an amended complaint in the U.S. District Court for the District of Nevada (Case No. 2:14cv00772GMNNJK). The complaint alleges that Plaintiffs own, or control, certain patents related to the projection illusion technique, historically known as “Pepper’s Ghost.” The Plaintiffs further allege that Pulse Evolution Corporation, Pulse Entertainment Corporation, John Textor, Dick Clark Productions, Inc., John Branca and John McClain, as executors of the Estate of Michael J. Jackson, MJJ Productions, Inc. Musion Events, Ltd. Musion 3D, Ltd., William James Rock and Ian Christopher O’Connell (collectively, the “Defendants”) infringed on the Plaintiffs’ patent rights by using the Plaintiffs’ projection illusion system to project the visual imagery developed and conceived by our company in connection with the a musical performance at the 2014 Billboard Music Awards in Las Vegas Nevada featuring an image of the late Michael Jackson. The Plaintiffs have not alleged that the Company’s core business, the production of visual effects or human animation imagery infringes their intellectual property rights. The complaint sought an order of the Court temporarily and permanently enjoining the Defendants from carrying out the Michael Jackson performance, a judgment for infringement, damages, attorneys’ fees and costs. The Plaintiffs’ Emergency Motion for Temporary Restraining Order filed in connection with its May 15, 2014 complaint was denied on May 16, 2014 as the Court found that the Plaintiffs’ failed to establish that they are likely to succeed on the merits of their patent infringement claims and that they are likely to suffer irreparable harm. On January 9, 2015, the Court modified the Revised Discovery Plan and Scheduling Order confirming both the discovery cutoff date as December 22, 2015 and the deadline for dispositive motions as January 29, 2016. The Court did not set a trial date. Motions to Dismiss made pursuant to FRCP Rule 12(b)(6) and 12(b)(3) filed by Pulse Evolution Corporation, Pulse Entertainment Corporation and John Textor remain pending. The defendants anticipate filing a Motion for Summary Judgment as soon as is practicable. The Company believes that its claims and defenses in this case are substantial because the visual imagery the Company develops and conceives is distinct from the Plaintiffs’ projection system allowing the Company to use a variety of projection systems in its productions. Litigation is, however, inherently unpredictable. The outcome of this lawsuit is subject to significant uncertainties and, therefore, determining the likelihood of a loss and/or the measurement of any loss is complex. Consequently, the Company is unable to estimate the range of reasonably possible loss. The Company’s assessments are based on estimates and assumptions that have been deemed reasonable by management, but the assessment process relies heavily on estimates and assumptions that may prove to be incomplete or inaccurate, and unanticipated events and circumstances may occur that might cause the Company to change those estimates and assumptions. The Company is involved from time to time in routine litigation arising in the ordinary course of conducting its business. In the opinion of the Company’s management, no pending routine litigation will have a material adverse effect on the Company’s financial condition, results of operations or cash flows.

Capitalization

Capitalization	6 Months Ended
	Dec. 31, 2014
Capitalization
Capitalization	NOTE 7. CAPITALIZATION Common Stock Issued in Private Placements For the three and six months ended December 31, 2014, the Company sold 3,471,829 and 8,391,185, respectively, shares of its common stock at an average price of $0.62 and $0.52 per share for proceeds of $2,096,588 and $4,253,309 which are net of fees of $46,470 and $114,750 for the three and six months ended December 31, 2014, respectively. Common Stock Issued in Share Exchange On September 30, 2014, the Company completed the initial closing under the Share Exchange Agreement pursuant to which it agreed to issue 35,827,309 shares of its unregistered Common Stock, net of cancellations, to the shareholders of Pulse Entertainment in exchange for 17,466,383 shares of its common stock. As part of the Share Exchange, certain of the Company’s shareholders who are also shareholders of Pulse Entertainment agreed to cancel 60,910,113 shares of the Company’s common stock issuable to them in connection with the Share Exchange. Upon completion of the initial closing, Pulse Entertainment became a subsidiary of the Company in which the Company owned a 93.8% interest at December 31, 2014. The remaining 1,366,000 shares of Pulse Entertainment common stock may be exchanged by the Pulse Entertainment shareholders pursuant to the Share Exchange Agreement for 7,399,426 shares of the Company’s unregistered common stock. In the event these shares are exchanged, Pulse Entertainment will become a wholly owned subsidiary of the Company. Common Stock Issued in Payment of Subsidiary Payable Pulse Entertainment Corporation, entered into an Investor Introduction Agreement (“the Agreement”) with an international advisory services group (“the Advisor”) in March 2014. The Advisor is to support the Company in its fund raising process through introductions of potential investors and to assist the Company in developing its investor relations strategy. The Agreement calls for the Advisor to be paid a success fee in cash equal to six percent of all investments introduced by the Advisor. In addition the Advisor shall be entitled to shares equal to three percent of the underlying shares issued in any such transactions. As of June 30, 2014, the Advisor had earned 488,830 shares of Pulse Entertainment common stock, of which 224,869 shares of common stock were issued. A liability had been recognized by Pulse Entertainment for the portion of shares not issued as of June 30, 2014 totaling $456,653. In September 2014, the Company issued 1,461,946 shares of its common stock in payment of the liability as if Pulse Entertainment had paid the Advisor in its shares, and the Advisor immediately exchanged the shares in the company’s stock under the Share Exchange Agreement described above. As of December 31, 2014, the Company recorded the par value of the stock at $1,462 and additional paid in capital of $455,191. In September 2014, the Advisor had earned 30,000 shares of the Company’s common stock under the terms of the Agreement. Common Stock Issued to Service Providers In determining the fair value of the services rendered by third parties, the Company uses the value of the services or the fair value of the common stock at the time the common stock was issued whichever is more readily determinable at the time the services are rendered. In September 2014, the Company entered into an exclusive financial services and advisory agreement with a consultant to assist the Company in its capital market strategies. Under the terms of the agreement, the Company is to pay the consultant three nonrefundable monthly payments of $30,000, and quarterly restricted stock grants equal to onehalf of one percent of the outstanding shares of common stock of the Company each quarter to a maximum of two and onehalf percent of the outstanding shares of common stock. The fee is payable equally in cash and stock. The Company recorded stock compensation expense of $368,305 upon issuance of 594,039 shares of its common stock. The agreement also calls for a ten percent fee in the event that a qualified financing transaction, as defined in the agreement, is closed. No such qualified financing transaction was contemplated as of December 31, 2014. This agreement has been terminated as of December 31, 2014. In November 2014, the Company issued 69,680 shares of its common stock to the Advisor in payment of the services provided under the Agreement. As of December 31, 2014, the Company recorded the par value of the stock at $70 and additional paid in capital of $43,132. In November 2014, the Company issued 124,268 shares of its common stock to a consultant in payment of the services to the Company’s fundraising efforts. As of December 31, 2014, the Company recorded the par value of the stock at $124 and additional paid in capital of $76,922.

Income Taxes

Income Taxes	6 Months Ended
	Dec. 31, 2014
Income Tax Disclosure [Abstract]
Income Taxes	NOTE 8. INCOME TAXES Deferred income taxes reflect the net tax effects of temporary differences between the carrying amount of assets and liabilities for financial reporting purposes and for income tax purposes. A deferred income tax asset is recognized if realization of such asset is more likely than not, based upon the weight of available evidence which includes historical operating performance and the Company’s forecast of future operating performance. The Company evaluates the realizability of its deferred income tax assets and a valuation allowance is provided, as necessary. During this evaluation, the Company reviews its forecasts of income in conjunction with the positive and negative evidence surrounding the realizability of its deferred income tax assets to determine if a valuation allowance is needed. The Company files income tax returns in the U.S. federal jurisdiction, various U.S. states. Because of the Company’s history of tax losses, all income tax returns filed remain open to examination by U.S federal and state tax authorities. The Company believes that it has made adequate provision for all income tax uncertainties pertaining to these open tax years. No federal, state and local tax benefit was recorded during the three and six months ended December 31, 2014 for the Company’s pretax loss, because the future realizability of such benefits was not considered to be more likely than not and accordingly, a full valuation allowance against the tax benefit has been recorded.

Related Party Transactions

Related Party Transactions	6 Months Ended
	Dec. 31, 2014
Related Party Transactions [Abstract]
Related Party Transactions	NOTE 9. RELATED PARTY TRANSACTIONS Pulse Entertainment Corporation entered into an Asset Transfer and Assignment Agreement (the “Transfer Agreement”) with Tradition Studios I.P. Acquisition Inc., (“Tradition”) in April 2014. The agreement is effective as of the inception date of Pulse Entertainment and included the transfer of property and equipment with a historical cost of approximately $14,000 and general liabilities with a historical cost of approximately $81,100, resulting in a transfer of net liabilities of approximately $67,000. As of the effective date of the Transfer Agreement, the Executive Chairman of Pulse Entertainment had a majority control of Pulse Entertainment and also had majority control of Tradition. The transfer of assets and liabilities was considered a common control transaction in accordance with the accounting guidance in ASC Topic 60535, Business Combinations In August 2014, the Company’s board of directors approved payments of director fees for fiscal year 2015. All director fees for the fiscal year 2015 totaling $100,000 were paid as of December 31, 2014. On December 10, 2014, the Company entered into a secured promissory note with a related party. The Company received cash of $250,000 which bears interest at a rate of 8% a year. The note is collateralized by certain property owned by the Company. All remaining unpaid principal and accrued interest is due on January 31, 2015. The Company must also pay an additional $25,000 if paid before December 31, 2014 or an additional $50,000 if paid after December 31, 2014. As of December 31, 2014, the Company had unpaid principal and interest of $300,000 and $1,150.

Subsequent Events

Subsequent Events	6 Months Ended
	Dec. 31, 2014
Subsequent Events [Abstract]
Subsequent Events	NOTE 10. SUBSEQUENT EVENTS In March 2015, the Company entered into a revenue participation rights and stock purchase agreement with a third party, Holotrack AG of Switzerland, a special purpose company organized principally by a film and entertainment distribution company in Europe. Among the principal terms of the agreement is the right of Holotrack AG to participate in the revenue generated from the Company’s planned live theatrical show featuring the digital likeness of Elvis Presley, effectively as a distributor, in an amount equal to 10% of the Company’s participation as a producer of the Elvis show. The agreement also required Holotrack AG to fund development and operating expenses of the Company of $3,720,000, in six equal monthly installments of $620,000, from January to June of 2015, in exchange for 6,000,000 newly issued preferred shares and the right to exchange 12,848,184 of its affiliates’ common shares for preferred shares. All such installments have been received and Holotrack and its affiliates now hold a total of 18,848,184 preferred shares, the principal rights and benefits of which include a priority return of capital in the event of a liquidation or sale event, weighted average anti-dilution rights and the right to appoint one individual to the Company’s board of directors. Holders of preferred shares, who are also entitled to convert the preferred shares into an equal amount of common shares, are entitled to vote with the common class of shareholders, on any company matters requiring a vote of the shareholders, on an “as if converted” basis. In April 2015, an amendment to the Monroe Estate contract was entered into where the Company agreed to issue an additional 1,000,000 shares to the Monroe Estate due to the initial shares not being registered timely as well as an extension of the deadline to register the shares and an increase to $1,350,000 as the amount the Company would need to pay the Monroe Estate if the Company failed to meet the terms of the amended agreement. As of April 2015, the Monroe Estate has been issued a total of 3,800,000 shares. In April 2015, an amendment to the ABG contract was entered into with the Company to reduce the launch fee from $1,000,000 to $500,000. In April 2015, June 2015 and July 2015, under the terms of the Share Exchange Agreement as more fully disclosed in Note 8 – Capitalization, the Company issued 7,399,426 shares of its unregistered common stock to shareholders of Pulse Entertainment in exchange for 1,336,000 shares of its common stock raising its ownership percentage in Pulse Entertainment to 100%, or wholly owned. In July 2015, the Company entered into a stock purchase agreement with Mr. Taku Toguichi, Chairman and CEO of SpaceBoy, a Japan-based artificial intelligence company with which the Company intends to be engaged in the development of digital humans for artificial intelligence. Pursuant to the terms of this agreement, Mr. Toguichi funded $806,000 in exchange for 1,300,000 million shares of unregistered common stock. Subsequent to December 31, 2014 through August 20, 2015, the Company has issued 1,375,000 shares in exchange for cash, 597,387 shares in exchange for service and 7,399,426 shares issued from the share exchange. Subsequent to December 31, 2014, the Company granted share grants for services totaling 1,393,935 shares valued $0.62 per share and a vesting period up to 2 years. Additionally, the Company granted stock options for services totaling 1,402,006 with an exercise price ranging from $0.25-$0.62 per share and vesting over a two year term.

Summary of Significant Accoun16

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Dec. 31, 2014
Accounting Policies [Abstract]
Nature of Business	Nature of Business Pulse Evolution Corporation was incorporated on May 31, 2013, under the laws of the State of Nevada under the name QurApps, Inc., initially announcing plans to develop software applications for mobile devices. In anticipation of a change of control transaction, which closed on May 15, 2014, the Company changed its name to Pulse Evolution Corporation effective May 8, 2014. The Company is a recognized pioneer and leading developer of hyper-realistic digital humans for holographic live performances, virtual reality, augmented reality and artificial intelligence. Founded by the producers of the world’s most globally recognized digital humans, the Company is initially focused on the development of computer-generated digital humans for entertainment and media applications, such as live and holographic concerts, virtual reality, advertising, feature films and branded content. In this regard, the Company is principally focused on generating revenues from key agreements with the leading celebrity estates of Michael Jackson, Elvis Presley and Marilyn Monroe. The Company believes that digital humans will be ubiquitous in society, culture and industry. They will not only perform on stage or in film, as has already been witnessed, but they will also represent us individually as digital likeness avatars, in realistic and fantasy form, appearing on our behalf, and interacting in electronic and mobile communication, social media, video games and virtual reality. The Company believes digital humans will ultimately provide a relatable human interface for artificial intelligence applications, ‘thinking’ machine systems that, through the technology, will appear as realistic communicating humans through mobile devices, digital signage, classrooms and through lightweight wearable augmented reality glasses and virtual reality headsets. Beyond the Company’s immediate focus on entertainment, the Company is devoting significant resources to developing the role of digital humans in virtual reality and in artificial intelligence. In the first quarter of our fiscal year 2016, the Company entered into a contract services relationship, developing digital humans and content, for a leading virtual reality industry company. Though there are no plans to pursue a business model of contract services, the project has enabled the Company to further develop its proprietary human animation technologies and efficiently enter into the high-growth virtual reality industry. The Company has also recently consummated its first joint venture with an artificial intelligence company. Pursuant to the terms of this agreement, SpaceBoy, a leading Japan-based artificial intelligence company, made a direct equity investment into Company common stock, while also providing the Company with an opportunity to build ‘thinking’ digital humans based on SpaceBoy’s ‘AI Inside’ technology. It is the Company’s goal to be the ‘face’ of artificial intelligence, to provide a human form to interactive artificially intelligent computer beings. The Company believes the experience and vision of our leadership team, combined with existing and growing business relationships, have positioned the Company to be a leading pioneer in the worlds of virtual reality and artificial intelligence. The Company’s media and entertainment business model is focused on participation in intellectual property through the development, production and ownership of entertainment properties featuring globally recognized animated virtual performers and through multiyear revenueshare relationships with living celebrities and late celebrity estates. In late 2013, Pulse Entertainment Corporation (“Pulse Entertainment”), now a wholly-owned subsidiary of the Company, entered into a multiyear agreement with the estate of Michael Jackson to produce a photorealistic digital likeness of the late celebrity and to participate in a share of revenues that could be realized through performances of the ‘Virtual Michael Jackson’ in diverse entertainment and media applications. In August 2014, the Company entered into a multiyear agreement with ABG EPE IP, LLC (“ABG”), the principal owner of rights related to the estate of the late celebrity Elvis Presley to produce a photorealistic digital likeness of the late celebrity and to participate in a share of revenues that could be realized through performances of the ‘Virtual Elvis Presley’ in diverse entertainment and media applications. In October 2014, the Company entered into a multiyear agreement with the estate of the late celebrity Marilyn Monroe to produce a photorealistic digital likeness of the late celebrity and to participate in a share of revenues that could be realized through performances of the ‘Virtual Marilyn Monroe’ in diverse entertainment and media applications.
Acquisition of Pulse Entertainment	Acquisition of Pulse Entertainment In May 2014, the Company signed a letter of intent to exchange at least a majority of its unissued shares of common stock for 100% of the outstanding common stock of Pulse Entertainment Corporation, a related party. The Company entered into a share exchange agreement on September 26, 2014 (the “Share Exchange Agreement”) with Pulse Entertainment in which the Company agreed to issue up to 58,362,708 shares of its unregistered common stock, $0.001 par value (the “Common Stock”) to the shareholders of Pulse Entertainment holding 21,535,252 shares of its issued and outstanding common stock (the “Share Exchange”), such shares representing 100% of the issued and outstanding common stock of Pulse Entertainment. Upon closing of the transaction, Pulse Entertainment will become a subsidiary of the Company and the total shares of common stock outstanding are expected to be 146,280,014. On September 30, 2014, the Company completed the initial closing under the Share Exchange Agreement pursuant to which it agreed to issue 35,827,309 shares of its unregistered Common Stock, net of cancellations, to the shareholders of Pulse Entertainment in exchange for 17,466,383 shares of its common stock. During the three months ended December 31, 2014, the Company exchanged additional shares under the Share Exchange Agreement pursuant to which it agreed to issue 15,135,973 shares of its unregistered Common Stock, net of cancellations, to the shareholders of Pulse Entertainment in exchange for 2,732,869 shares of its common stock. As part of the Share Exchange, certain of the Company’s shareholders who are also shareholders of Pulse Entertainment canceled 60,910,113 shares of the Company’s common stock previously issued to them in connection with the Share Exchange. Upon completion of the initial closing, Pulse Entertainment became a subsidiary of the Company in which the Company owned a 93.8% interest at December 31, 2014. The remaining 1,336,000 shares of Pulse Entertainment common stock were exchanged in June 2015 and July 2015 by the Pulse Entertainment Shareholders pursuant to the Share Exchange Agreement for 7,399,426 shares of the Company’s unregistered common stock. In the event these shares are exchanged, Pulse Entertainment will become a wholly owned subsidiary of the Company.
Recapitalization	Recapitalization The Company’s acquisition of Pulse Entertainment was accounted for as a recapitalization of Pulse Entertainment since the shareholders of Pulse Entertainment obtained voting and managing control of the Company. Pulse Entertainment was the acquirer for financial reporting purposes and Pulse Evolution was the acquired company. Consequently, the consolidated financial statements after completion of the acquisition include the assets and liabilities of both Pulse Evolution and Pulse Entertainment, the historical operations of Pulse Entertainment and their consolidated operations from the September 30, 2014 closing date of the acquisition. Pulse Entertainment retroactively applied its recapitalization pursuant to the terms of the Share Exchange Agreement for all periods presented in the accompanying consolidated financial statements for the three and six months ended December 31, 2014 and for the period from October 10, 2013 through December 31, 2013. Because Pulse Entertainment is the acquirer for financial reporting purposes, comparative prior year data is presented for the period from October 10, 2013 through December 31, 2013 due to Pulse Entertainment’s incorporation occurring on October 10, 2013 in the state of Delaware.
Liquidity	Liquidity The Company has been highly dependent on raising capital to fund its startup and growth strategies. To date, the Company has raised capital from the sales of its common stock without restrictive covenants from institutional investors and strategic partners (See Note 8 Capitalization). On September 30, 2014, the Company and Pulse Entertainment completed an initial closing under the terms of a share exchange agreement they entered into whereby Pulse Entertainment became a subsidiary of the Company. As of December 31, 2014, the Company owns 93.8% of Pulse Entertainment. The Company’s core business is the acquisition from estates and other rights holders of certain intellectual property rights to create virtual celebrities, and the right to present, and license to others to present, those virtual performers in live, and a variety of livevirtual and commercial formats. In execution of its business plan, the Company has considered various models for executing its business plan. Originally, the Company intended to focus on providing virtual performers for appearances and collecting royalties when the Company has an ownership interest in the intellectual property rights for the virtual performer (the “Talent Model”). Under the Talent Model, the Company would permit other producers to create performances that make use of virtual performers created by the Company. In addition to being available for performances in entertainment productions, the virtual performers would also be available for diverse other appearances, such as television commercials, print advertising campaigns, short-form content and downloadable apps. Under the Talent Model, the Company is positioned to earn revenues from its virtual performers, and through its revenue share agreements with celebrity estates, in a manner that is consistent with how the ‘actual’ celebrities would earn revenues through their direct performances and appearances. The Company has also considered a traditional visual effects services model, principally in response to requests by third-parties that would like to build computer generated, digital humans depicting actual historical figures, living celebrities and fictional fantasy characters. To the extent the Company has available human resources, whether between production contracts or otherwise, the Company believes such services projects represent an opportunity to generate additional high-margin revenue, based on our human animation specialization, and also the opportunity to see additional benefits of the services work as ‘funded research and development’. Additionally, certain of these projects also have the potential to strengthen the Company’s reputation as a leader in the field of human animation. Subsequently, the Company decided to explore and develop opportunities to act as a producer of events (the “Producer Model”), thereby enabling the company to exert significant creative and technological control over the performance productions, and to capture significantly greater portions of the realizable economic value created by the virtual performance. Under both models, the Company expects to generate revenues and/or positive operating cashflow on all digital construction, animation, and production services that it provides, plus royalties and performance fees when the work involves intellectual property rights held by the Company. Under both models, the Company has significant discretion to determine to what extent the creative and production resources, which are primarily labor costs, are engaged on an asneeded basis for each project or production (“Contract Staffing”), and to what extent the Company carries a concentration of creative and production resources inhouse (“InHouse Staffing”). While execution of the Producer Model enables the Company to capture more of the value created by the virtual performers, it also requires the Company to raise significant amounts of production capital, which is similar to project financed equity or nonrecourse debt into production subsidiaries. Executing this model with Inhouse Staffing gives the Company certain strategic advantages and flexibility in the development of new concepts and application of new technologies, yet it also requires a higher employee headcount and the related operating overhead. The Company’s ability to fund its operations and meet its obligations on a timely basis is dependent on its ability to match the available financial resources to its operating model (Talent vs. Producer) and its execution strategy (Contract Staffing vs. InHouse Staffing). The decisions the Company makes with regard to operating model and execution strategy drive the capital and liquidity requirements. The Company is currently operating under the Producer Model with significant InHouse Staffing resources. Consequently, the Company is heavily reliant upon raising equity capital to finance our operations, meet our working capital requirements and finance productions. To the extent that full development of the Company’s growth opportunities also requires forming strategic alliances, the Company is prepared to do so. If, however, the Company is unable to successfully raise sufficient additional capital and generate cash flow from operations, the Company would likely have to curtail its activities as a production company, reduce its dependence on InHouse Staffing resources and downsize the scale of its operations in a manner consistent with the Talent Model.
Basis of Presentation and Consolidation	Basis of Presentation and Consolidation These unaudited condensed consolidated interim financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) in accordance with the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”) for interim financial information. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, these financial statements contain all adjustments, consisting of normal recurring adjustments, necessary to present fairly the financial position, results of operations and cash flows for the periods presented. The results of operations for the interim periods presented are not necessarily indicative of the results that may be expected for the full year. These financial statements should be read in conjunction with the financial statements included in Form 8-K filed with the SEC on October 10, 2014. The accompanying condensed consolidated financial statements include the accounts of Pulse Evolution Corporation, its majorityowned subsidiary Pulse Entertainment Corporation and its whollyowned subsidiary The Kopp Initiative, LLC. All significant intercompany accounts and transactions have been eliminated in consolidation. The Company retroactively applied its recapitalization per the Share Exchange Agreement for all periods presented in the accompanying unaudited condensed consolidated financial statements.
Reclassifications	Reclassifications The accompanying condensed consolidated financial statements include certain reclassifications of amounts in the June 30, 2014 financial statements in order to conform to the December 31, 2014 presentation.
Prepaid and Other Assets	Prepaid and Other Assets The Company had paid a launch fee of $1,000,000 for the multiyear agreement with ABG, as described in Note 4 Intangibles and Other Assets. In April 2015 this agreement was amended to reduce the launch fee to $500,000 and use the remaining payment made by the Company to fund the $500,000 service contract when expenses are incurred. The Company reclassified $500,000 of the launch fee to prepaid expenses as of December 31, 2014.
Revenue Recognition	Revenue Recognition The Company has entered into a production services agreement with the estate of a deceased celebrity that provide revenues based on certain production services. Revenue is recognized on a straightline basis over each contract period, as defined in each agreement. As the production services are rendered, revenue is recognized.
Stock-based Compensation	Stockbased Compensation Accounting Standard Codification (“ASC”) 718, “CompensationStock Compensation” requires recognition in the financial statements of the cost of employee services received in exchange for an award of equity instruments over the period the employee is required to perform the services in exchange for the award (presumptively the vesting period). The Company measures the cost of employee services received in exchange for an award based on the grantdate fair value of the award. The Company accounts for nonemployee sharebased awards based upon ASC 50550, “EquityBased Payments to NonEmployees.” ASC 50550 requires the costs of goods and services received in exchange for an award of equity instruments to be recognized using the fair value of the goods and services or the fair value of the equity award, whichever is more reliably measurable. The fair value of the equity award is determined on the measurement date, which is the earlier of the date that a performance commitment is reached or the date that performance is complete. Generally, the Company’s awards do not entail performance commitments. When an award vests over time such that performance occurs over multiple reporting periods, the Company estimates the fair value of the award as of the end of each reporting period and recognize an appropriate portion of the cost based on the fair value on that date. When the award vests, the Company adjusts the cost previously recognized so that the cost ultimately recognized is equivalent to the fair value on the vesting date, which is presumed to be the date performance is complete.
Income Taxes	Income Taxes The Company uses the asset and liability method of accounting for income taxes. Under this method, deferred income taxes 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 be applied to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred taxes of a change in tax rates is recognized in income in the period that includes the enactment date.
Earnings Per Share	Earnings per Share Basic earnings per share are computed based upon the weightedaverage number of shares outstanding, including nominal issuances of common share equivalents, for each period presented. Fullydiluted, earnings per share is computed based upon the weightedaverage number of shares and dilutive share equivalents outstanding for each period presented. Due to the Company’s net losses for the three and six months ended December 31, 2014, the inclusion of dilutive common share equivalents in the calculation of diluted earnings per share would be antidilutive. Thus, the common share equivalents have been excluded from the computation of diluted earnings per share for the three and six months ended December 31, 2014. These common stock equivalents include warrants for shares of the Company’s common stock and rights to exchange shares of Pulse Entertainment Corporation common stock for shares of the Company’s common stock. The potential dilutive securities outstanding that were excluded from the computation of diluted net loss per share for the three and six months ended December 31, 2014, because their inclusion would have had an antidilutive effect, are summarized as follows: Three Months Ended Six Months Ended December 31, 2014 December 31, 2014 Share exchange right of subsidiary shareholders 7,399,426 22,535,399 Unvested restricted stock 1,152,000 1,152,000 Warrants 2,800,000 2,800,000 Total 11,351,426 26,487,399
Recent Accounting Pronouncements	Recent Accounting Pronouncements On May 28, 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update No. 201409 (ASU 201409), Revenue from Contracts with Customers. ASU 201409 will eliminate transaction and industryspecific revenue recognition guidance under current U.S. GAAP and replace it with a principle based approach for determining revenue recognition. ASU 201409 will require that companies recognize revenue based on the value of transferred goods or services as they occur in the contract. The ASU also will require additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. ASU 201409 is effective for reporting periods beginning after December 15, 2016, and early adoption is not permitted. Entities can transition to the standard either retrospectively or as a cumulativeeffect adjustment as of the date of adoption. Management is currently evaluating the impact, if any, on adopting ASU 201409 on our results of operations or financial condition. In August 2014, the FABS issued ASU No. 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern (“ASU 2014-15”). ASU 2014-15 will explicitly require management to assess an entity’s ability to continue as a going concern, and to provide related footnote disclosure in certain circumstances. The new standard will be effective for all entities in the first annual period ending after December 15, 2016. Earlier adoption is permitted. The Company is currently evaluating the impact of the adoption of ASU 2014-15.

Summary of Significant Accoun17

Summary of Significant Accounting Policies (Tables)	6 Months Ended
	Dec. 31, 2014
Accounting Policies [Abstract]
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share	Three Months Ended Six Months Ended December 31, 2014 December 31, 2014 Share exchange right of subsidiary shareholders 7,399,426 22,535,399 Unvested restricted stock 1,152,000 1,152,000 Warrants 2,800,000 2,800,000 Total 11,351,426 26,487,399

Property & Equipment (Tables)

Property & Equipment (Tables)	6 Months Ended
	Dec. 31, 2014
Property, Plant and Equipment [Abstract]
Schedule of Property & Equipment	Property and equipment as of December 31, 2014 and June 30, 2014 consist of the following: December 31, 2014 June 30, 2014 Computers and other equipment $ 28,309 $ 9,805 Furniture and fixtures 14,061 14,061 Total property and equipment, cost 42,370 23,866 Less accumulated depreciation (3,752 ) (980 ) Total property and equipment, net $ 38,618 $ 22,886

Intangible and Other Assets (Ta

Intangible and Other Assets (Tables)	6 Months Ended
	Dec. 31, 2014
Intangible And Other Assets Tables
Schedule of Fair Value Assumptions	Fair value of exchange warrants option December 31, 2014 June 30, 2014 Number of shares 2,800,000 Fair value of option $ 476,000 - Term in years 1.61 - Riskfree interest rate 3.4 % - Volatility 76.63 % - Dividend rate 0.00 % -

Accrued Liabilities (Tables)

Accrued Liabilities (Tables)	6 Months Ended
	Dec. 31, 2014
Payables and Accruals [Abstract]
Schedule of Accrued Liabilities	Accrued liabilities as of December 31, 2014 and June 30, 2014 consist of the following: December 31, 2014 June 30, 2014 Payroll and payroll related liabilities $ 474,359 $ 132,732 Due to advisor - 456,653 Stock grant accrual 41,440 - Other accrued expenses 96,032 87,135 Total accrued expenses $ 611,831 $ 676,520

Non-Controlling Interests (Tabl

Non-Controlling Interests (Tables)	6 Months Ended
	Dec. 31, 2014
Noncontrolling Interest [Abstract]
Schedule of Redeemable Noncontrolling Interest Considered Level Three	Balance at June 30, 2014 $ 141,654 Net loss attributable to noncontrolling interests (516,853 ) Balance at September 30, 2014 (375,199 ) Adjust for share exchange 252,079 Net loss attributable to noncontrolling interests (160,300 ) Balance at December 31, 2014 $ (283,420 )

Summary of Significant Accoun22

Summary of Significant Accounting Policies (Details Narrative) - USD ($)	Sep. 30, 2014	Sep. 26, 2014	Dec. 13, 2014	Dec. 31, 2014	Jun. 30, 2014	May. 31, 2014
Business acquisition percentage and Ownership interest rate						100.00%
Prepaid expense and other assets				$ 548,855	$ 66,856
Launch Fee [Member] | Multiyear Agreement With ABG [Member]
Prepaid expense and other assets				1,000,000
Launch Fee [Member] | Agreement Amended [Member]
Prepaid expense and other assets				500,000
Launch Fee [Member] | Agreement Amended [Member] | April 2015 [Member]
Prepaid expense and other assets				500,000
Service Contract Expense [Member] | Agreement Amended [Member] | April 2015 [Member]
Prepaid expense and other assets				$ 500,000
Unregistered Common Stock [Member]
Number of unregistered common stock issued during period			15,135,973
Number of unregistered common stock issued for cancellation			2,732,869
Pulse Entertainment Corporation [Member]
Business acquisition percentage and Ownership interest rate				93.80%
Equity issuance price per share		$ 0.001
Number of unregistered common stock issued during period	7,399,426	58,362,708
Number of shares issued and outstanding		21,535,252
Percentage of shares issued and outstanding		100.00%
Expected common stock outstanding		146,280,014
Number of unregistered common stock issued for cancellation	35,827,309
Exchange of cancellations stock common stock issued during period	17,466,383
Agreed to cancellations of stock for share exchange	60,910,113
Remaining shares exchanged for share exchange agreement	1,336,000

Summary of Significant Accoun23

Summary of Significant Accounting Policies - Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share (Details) - Dec. 31, 2014 - shares	Total	Total
Anti-dilutive securities outstanding excluded from computation of diluted net loss per share	11,351,426	26,487,399
Share Exchange Right of Subsidiary Shareholders [Member]
Anti-dilutive securities outstanding excluded from computation of diluted net loss per share	7,399,426	22,535,399
Warrant [Member]
Anti-dilutive securities outstanding excluded from computation of diluted net loss per share	1,152,000	1,152,000
Unvested Restricted Stock [Member]
Anti-dilutive securities outstanding excluded from computation of diluted net loss per share	2,800,000	2,800,000

Property & Equipment (Details N

Property & Equipment (Details Narrative) - USD ($)	3 Months Ended	6 Months Ended	9 Months Ended
	Dec. 31, 2014	Dec. 31, 2014	Jun. 30, 2014
Property, Plant and Equipment [Abstract]
Property and equipment estimated useful lives		5 years	7 years
Depreciation expense	$ 1,711	$ 2,772

Property & Equipment - Schedule

Property & Equipment - Schedule of Property & Equipment (Details) - USD ($)	Dec. 31, 2014	Jun. 30, 2014
Property, Plant and Equipment [Abstract]
Computers and other equipment	$ 28,309	$ 9,805
Furniture and fixtures	14,061	14,061
Total property and equipment, cost	42,370	23,866
Less accumulated depreciation	(3,752)	(980)
Total property and equipment, net	$ 38,618	$ 22,886

Intangible and Other Assets (De

Intangible and Other Assets (Details Narrative) - USD ($)	1 Months Ended	6 Months Ended
	Oct. 31, 2014	Dec. 31, 2014	Aug. 31, 2014	Jun. 30, 2014
Lunch fee value			$ 500,000
Due to related parties				$ 456,653
Estate Of Marilyn Monroe LLC [Member]
Number of stock issued during period	2,800,000	2,800,000
Due to related parties		$ 1,000,000
Fifty Five Months Remain Unamortized On Agreement [Member]
Intangible asset value		876,800
Fifty Seven Months Remain Unamortized On Agreement [Member]
Intangible asset value		$ 950,000

Intangible and Other Assets - S

Intangible and Other Assets - Schedule of Fair Value Assumptions (Details) - Warrant [Member] - USD ($)	6 Months Ended	9 Months Ended
	Dec. 31, 2014	Jun. 30, 2014
Number of shares	2,800,000
Fair value of option	$ 476,000
Term in years	1 year 7 months 10 days
Risk-free interest rate	3.40%
Volatility	76.63%
Dividend rate	0.00%

Accrued Liabilities - Schedule

Accrued Liabilities - Schedule of Accrued Liabilities (Details) - USD ($)	Dec. 31, 2014	Jun. 30, 2014
Payables and Accruals [Abstract]
Payroll and payroll related liabilities	$ 474,359	$ 132,732
Due to advisor		456,653
Stock grant accrual	$ 41,440
Other accrued expenses	96,032	87,135
Total accrued expenses	$ 611,831	$ 676,520

Noncontrolling Interests (Detai

Noncontrolling Interests (Details Narrative) - USD ($)	Sep. 30, 2014	Dec. 31, 2014	Sep. 30, 2014	Dec. 31, 2013	Dec. 31, 2014	May. 31, 2014
Net loss		$ (3,292,373)		$ (219,209)	$ (6,511,536)
Percentage of owned interest in subsidiary company						100.00%
Increase in allocation of net loss		252,079
Net income attributable to non-controlling interest		(160,300)	$ (516,853)		(425,074)
Pulse Entertainment Corporation [Member]
Net loss		2,585,484			5,320,158
Net loss allocated to accumulated deficit		$ 2,585,484			$ 5,320,158
Exchange of cancellations stock common stock issued during period	17,466,383
Agreed to cancellations of stock for share exchange	60,910,113
Percentage of owned interest in subsidiary company		93.80%			93.80%
Increase in allocation of net loss					$ 252,079
Net income attributable to non-controlling interest		$ 329,850			$ 160,300
Pulse Entertainment Corporation [Member] | Share Exchange Agreement [Member]
Number of unregistered common stock issued for cancellation	35,827,309	15,135,973
Exchange of cancellations stock common stock issued during period	17,466,383	2,732,869
Agreed to cancellations of stock for share exchange	60,910,113	60,910,113
Percentage of owned interest in subsidiary company		93.80%			93.80%

Noncontrolling Interests - Sche

Noncontrolling Interests - Schedule of Change in Noncontrolling Interest (Details) - USD ($)	3 Months Ended			6 Months Ended
	Dec. 31, 2014	Sep. 30, 2014	Dec. 31, 2013	Dec. 31, 2014
Noncontrolling Interest [Abstract]
Balance at the beginning	$ (375,199)	$ 141,654		$ 141,654
Adjust for share exchange	252,079
Net loss attributable to non-controlling interests	(160,300)	(516,853)		(425,074)
Balance at the end	$ (283,420)	$ (375,199)		$ (283,420)

Commitments and Contingencies (

Commitments and Contingencies (Details Narrative) - USD ($)	Sep. 30, 2014	Jun. 30, 2014	Oct. 30, 2014	Sep. 30, 2014	Jul. 31, 2014	Dec. 31, 2014	Dec. 31, 2014
Office space leased under non-cancelable operating leases, expiration date							Mar. 31, 2015
Monthly lease expense						$ 14,000	$ 12,000
Remaining obligation under the lease							6,000
Total rent expense						60,900	101,671
Future minimum payments due for future profit sharing under the contract						4,000,000	4,000,000
Accrued compensation						133,000	133,000
Financial Services And Advisory Agreement [Member] | Consultant [Member]
Nonrefundable monthly payments				$ 30,000
ABG Contract [Member]
Future minimum payments due for future profit sharing under the contract						$ 2,100,000	$ 2,100,000
Pulse Entertainment Corporation [Member]
Liability recognized for portion of shares not issued		$ 456,653
Shares issued in payment of liability	1,461,946
Pulse Entertainment Corporation [Member] | Business Development Agreement [Member]
Maximum potential equity consideration					200,000
Stock options exercise price					$ 1.73
Number of stock option issued						100,000
Maximum number of stock option issued						50,000	50,000
Number of stock option shares vested but not yet granted						125,000	125,000
Pulse Entertainment Corporation [Member] | Consulting Agreement [Member]
Maximum number of stock option issued						1,152,000	1,152,000
Monthly base payment			$ 10,000
Pulse Entertainment Corporation [Member] | Advisor [Member]
Number of common stock shares earned		488,830
Number of common stock shares issued		224,869
Month-To-Month Basis for Production Operations [Member]
Monthly lease expense							$ 7,300

Capitalization (Details Narrati

Capitalization (Details Narrative)	Sep. 30, 2014shares	Jun. 30, 2014USD ($)$ / sharesshares	Nov. 30, 2014shares	Sep. 30, 2014USD ($)Paymentsshares	Dec. 31, 2014USD ($)$ / sharesshares	Dec. 31, 2013USD ($)	Dec. 31, 2014USD ($)$ / sharesshares	May. 31, 2014
Proceeds on sale of common stock | $						$ 3,210,648	$ 4,405,331
Ownership interest percentage								100.00%
Par value of stock | $ / shares		$ .001			$ 0.001		$ 0.001
Additional paid in capital | $		$ 9,116,789			$ 14,756,183		$ 14,756,183
Consultant [Member]
Par value of stock | $ / shares					$ 124		$ 124
Additional paid in capital | $					$ 76,922		$ 76,922
Number of common stock shares issued for services			124,268
Advisor [Member]
Par value of stock | $ / shares					$ 70		$ 70
Additional paid in capital | $					$ 43,132		$ 43,132
Number of common stock shares issued for services			69,680
Pulse Entertainment Corporation [Member]
Exchange of cancellations stock common stock issued during period	17,466,383
Agreed to cancellations of stock for share exchange	60,910,113
Ownership interest percentage					93.80%		93.80%
Remaining shares exchanged for share exchange agreement	1,336,000
Liability recognized for portion of shares not issued | $		$ 456,653
Shares issued in payment of liability	1,461,946
Pulse Entertainment Corporation [Member] | Advisor [Member]
Number of common stock shares earned		488,830
Number of common stock shares issued		224,869
Share Exchange Agreement [Member] | Pulse Entertainment Corporation [Member]
Number of unregistered common stock issued for cancellation	35,827,309				15,135,973
Exchange of cancellations stock common stock issued during period	17,466,383				2,732,869
Agreed to cancellations of stock for share exchange	60,910,113				60,910,113
Ownership interest percentage					93.80%		93.80%
Remaining shares exchanged for share exchange agreement	1,366,000
Common stock exchange for unregistered common stock	7,399,426
Share Exchange Agreement [Member] | Pulse Entertainment Corporation [Member] | Advisor [Member]
Number of common stock shares earned				30,000
Shares issued in payment of liability				1,461,946
Par value of stock | $ / shares					$ 1,462		$ 1,462
Additional paid in capital | $					$ 455,191		$ 455,191
Financial Services And Advisory Agreement [Member] | Consultant [Member]
Non-refundable monthly payments to consultant | $				$ 30,000
Number of non-refundable monthly payments | Payments				3
Payment to consultant description				Under the terms of the agreement, the Company is to pay the consultant three nonrefundable monthly payments of $30,000, and quarterly restricted stock grants equal to onehalf of one percent of the outstanding shares of common stock of the Company each quarter to a maximum of two and onehalf percent of the outstanding shares of common stock.
Stock compensation expense | $				$ 368,305
Stock compensation expense upon issuance of common stock				594,039
Private Placement [Member]
Number of common stock shares sold					3,471,829		8,391,185
Common stock at average price | $ / shares					$ 0.62		$ 0.62
Proceeds on sale of common stock | $					$ 2,096,588		$ 4,253,309
Private placements net of fees | $					$ 46,470		$ 114,750
Private Placement One [Member]
Common stock at average price | $ / shares					$ 0.52		$ 0.52

Income Taxes (Details Narrative

Income Taxes (Details Narrative) - Dec. 31, 2014 - USD ($) None in scaling factor is -9223372036854775296	Total	Total
Income Tax Disclosure [Abstract]
Federal income tax benefit
State and local tax benefits

Related Party Transactions (Det

Related Party Transactions (Details Narrative) - USD ($)	Dec. 10, 2014	Jul. 31, 2014	Apr. 30, 2014	Dec. 31, 2014
Secured promissory note face amount	$ 250,000
Secured promissory note bears interest rate	8.00%
Unpaid principal and accrued interest due date	Jan. 31, 2015
Unpaid principal amount				$ 300,000
Interest payable				1,150
Paid Before December 31, 2014 [Member]
Payment of period amount	$ 25,000
Paid After December 31, 2014 [Member]
Payment of period amount	$ 50,000
Board of Directors [Member]
Payment to related parties				$ 100,000
Pulse Entertainment Corporation [Member] | Asset Transfer and Assignment Agreement [Member]
Transfer of property and equipment with a historical cost			$ 14,000
Transfer of general liabilities with historical cost			81,100
Transfer of net liabilities			$ 67,000
Payment to related parties		$ 81,100

Subsequent Events (Details Narr

Subsequent Events (Details Narrative) - USD ($)	1 Months Ended			6 Months Ended	8 Months Ended
	Jul. 31, 2015	Apr. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Aug. 20, 2015	May. 31, 2014
Ownership interest percentage						100.00%
Subsequent Event [Member]
Number of stock converted shares issued					7,399,426
Number of stock converted					597,387
Number of common stock shares exchange for cash					1,375,000
Number of stock option issued for services granted				1,393,935
Common stock price per share				$ 0.62
Stock vesting period				2 years
Number of stock option shares granted				1,402,006
Stock option exercise price per share lower limit				$ 0.25
Stock option exercise price per share upper limit				$ 0.62
Subsequent Event [Member] | Stock Purchase Agreement [Member] | Mr. Taku Toguichi [Member]
Number of stock converted	1,300,000
Number of stock converted value issued	$ 806,000
Subsequent Event [Member] | Holotrack AG [Member] | Preferred Stock [Member]
Number of stock converted			18,848,184
Subsequent Event [Member] | Holotrack AG [Member] | Stock Purchase Agreement [Member]
Percentage of amount equal to participate in revenue generated			10.00%
Fund development and operating expenses			$ 3,720,000
Subsequent Event [Member] | Holotrack AG [Member] | Stock Purchase Agreement [Member] | Preferred Stock [Member]
Number of stock converted shares issued			6,000,000
Number of stock converted			12,848,184
Subsequent Event [Member] | Holotrack AG [Member] | Stock Purchase Agreement [Member] | January to June of 2015 [Member]
Fund development and operating expenses paid monthly installments			$ 620,000
Subsequent Event [Member] | Monroe Estate [Member]
Number of additional common stock shares issued due to extension of deadline to register the share		1,000,000
Number of additional common stock value issued due to extension of deadline to register the share		$ 1,350,000
Number of common stock shares issued		3,800,000
Subsequent Event [Member] | ABG Contract [Member] | Maximum [Member]
Launch fee		$ 1,000,000
Subsequent Event [Member] | ABG Contract [Member] | Minimum [Member]
Launch fee		$ 500,000
Subsequent Event [Member] | Pulse Entertainment Corporation [Member] | Share Exchange Agreement [Member] | April 2015, June 2015 and July 2015 [Member]
Number of stock converted shares issued				7,399,426
Number of stock converted				1,336,000
Ownership interest percentage				100.00%