The Crypto Company (CRCW) 10-Q 21 May 18 2018 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2018	May 21, 2018
Document And Entity Information
Entity Registrant Name	Crypto Co
Entity Central Index Key	1,688,126
Document Type	10-Q
Document Period End Date	Mar. 31, 2018
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		21,156,795
Trading Symbol	CRCW
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2,018

Condensed Consolidated Balance

Condensed Consolidated Balance Sheet - USD ($)	Mar. 31, 2018	Dec. 31, 2017
CURRENT ASSETS
Cash and cash equivalents	$ 3,678,730	$ 8,950,244
Accounts receivable, net	152,103	500
Loan receivable, related party	194,380
Investment in cryptocurrency at fair value	1,689,600	2,917,627
Prepaid expenses	48,854	33,294
Contract asset for commissions and incentives, current portion	98,906
Total Current Assets	6,917,326	11,901,665
Equipment, net of accumulated depreciation	218,632	68,320
Contract asset for commissions and incentives, net of current portion	27,234
Goodwill	10,325,631
Other assets	35,109	1,500
TOTAL ASSETS	17,523,932	11,971,485
CURRENT LIABILITIES
Accounts payable and accrued expenses	1,128,373	697,609
Common stock payable	24,988
Income tax payable	800	800
Value-added taxes payable	116,608
Contract liabilities, current portion	3,033,817
Total Current Liabilities	4,304,586	698,409
Contract liabilities, net of the current portion	1,433,858
TOTAL LIABILITIES	5,738,444	698,409
STOCKHOLDERS’ EQUITY
Preferred stock, $0.001 par value; 10,000,000 shares authorized, none issued and outstanding
Common stock, $0.001 par value; 50,000,000 shares authorized, 20,954,283 and 20,458,945 shares issued and outstanding, respectively	20,955	20,459
Additional paid-in-capital	23,048,011	19,020,176
Accumulated deficit	(10,926,505)	(7,767,559)
Accumulated other comprehensive income	5,828
TOTAL CRYPTO COMPANY EQUITY	12,148,289	11,273,076
Noncontrolling interests	(362,801)
TOTAL STOCKHOLDERS’ EQUITY	11,785,488	11,273,076
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	17,523,932	11,971,485
CoinTracking [Member]
CURRENT ASSETS
Investment in cryptocurrency at fair value	$ 1,054,753

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheet (Parenthetical) - USD ($)	Mar. 31, 2018	Dec. 31, 2017
Investment cost	$ 2,331,326	$ 1,131,885
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred Stock, shares issued
Preferred Stock, shares outstanding
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	50,000,000	50,000,000
Common Stock, shares issued	20,954,283	20,458,945
Common Stock, shares outstanding	20,954,283	20,458,945
CoinTracking [Member]
Investment cost	$ 1,528,027

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($)	1 Months Ended	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2018
REVENUE
Net realized gain on investment in cryptocurrency		$ 1,072,598
Subscription revenue, net		456,697
Other income		295
Total Revenue, net		1,529,590
COST OF SUBSCRIPTION SALES		65,061
GROSS PROFIT		1,464,529
OPERATING EXPENSES
General and administrative expenses	80,016	2,788,058
Share-based compensation	580,000	(708,139)
Total Operating Expenses	660,016	2,079,919
OPERATING LOSS	(660,016)	(615,390)
NET CHANGE IN UNREALIZED DEPRECIATION ON INVESTMENT IN CRYPTOCURRENCY
Net change in unrealized depreciation on investment in cryptocurrency		(2,905,557)
LOSS BEFORE PROVISION FOR INCOME TAXES	(660,016)	(3,520,947)
PROVISION FOR INCOME TAXES		800
NET LOSS	(660,016)	(3,521,747)
OTHER COMPREHENSIVE INCOME
Foreign currency translation adjustment		5,828
COMPREHENSIVE LOSS	(660,016)	(3,515,919)
COMPREHENSIVE LOSS ATTRIBUTABLE TO NONCONTROLLING INTERESTS		(362,801)
COMPREHENSIVE LOSS ATTRIBUTABLE TO THE CRYPTO COMPANY	$ (660,016)	$ (3,153,118)
Net loss per common share - basic and diluted	$ (0.06)	$ (0.15)
Weighted average common shares outstanding - basic and diluted	11,335,000	20,864,198

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	1 Months Ended	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2018
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss	$ (660,016)	$ (3,521,747)
Adjustments to reconcile net loss to net cash used by operating activities:
Net change in unrealized depreciation on investment in cryptocurrency		2,905,557
Net realized gain on investment in cryptocurrency		(1,072,598)
Customer payments received in cryptocurrency		(544,340)
Depreciation		17,101
Share-based compensation	580,000	(708,139)
Changes in operating assets and liabilities:
Accounts receivable		62,954
Prepaid expenses		(71,581)
Accounts payable and accrued liabilities	80,000	44,662
Income tax payable		5,526
Contract liabilities		850,951
Net cash used by operating activities	(16)	(2,031,654)
CASH FLOWS FROM INVESTING ACTIVITIES
Cash paid in acquisition of CoinTracking, net of cash acquired of $1,547,097		(3,189,303)
Purchases of other asset		(23,843)
Purchases of equipment		(32,612)
Net cash used by investing activities		(3,245,758)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from common stock issuance	400,000
Proceeds from exercised stock options		70
Net cash provided by financing activities	400,000	70
EFFECT OF FOREIGN EXCHANGE RATE CHANGES ON CASH		5,828
NET CHANGE IN TOTAL CASH AND CASH EQUIVALENTS	399,984	(5,271,514)
CASH AND CASH EQUIVALENTS, beginning of period		8,950,244
CASH AND CASH EQUIVALENTS, end of period	399,984	3,678,730
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION
Cash paid for interest		564
Noncash investment activities:
Shares of common stock issued in exchange for investments in cryptocurrency	100,000
Issues of common stock for acquisition of CoinTracking		$ 4,736,400

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Cash Flows (Unaudited) (Parenthetical)	3 Months Ended
	Mar. 31, 2018USD ($)
Statement of Cash Flows [Abstract]
Cash acquired from acquisition	$ 1,547,097

The Company

The Company	3 Months Ended
	Mar. 31, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
The Company	NOTE 1 - THE COMPANY The Crypto Company (the “Company”, “Crypto”, “we”, “us” or “our”) was incorporated in the State of Nevada on March 9, 2017 (“Inception”), and is engaged in the business of building technological infrastructure, a proprietary investment portfolio and strategic alliances to facilitate the exchange of value in the digital asset market and, specifically, to assist third parties with investing in, trading and managing digital assets. We also invest in technologies and tokens in a manner that diversifies exposure to the growing class of digital assets. From time to time, we may seek strategic acquisitions either by integrating third party teams and technology with our core business or by funding third party teams in which we may have interest. On January 26, 2018, CoinTracking, LLC (“CoinTracking”), a Nevada limited liability company and wholly owned subsidiary of The Crypto Company, acquired 50.1% of CoinTracking GmbH, and the remaining 49.9% of CoinTracking GmbH is owned by Kachel Holding GmbH, a private limited liability company (Gesellschaft mit beschränkter Haftung) organized under the laws of the Federal Republic of Germany. CoinTracking, GmbH, was incorporated in December 2017, and operates as a SAAS platform, which allows users to track and manage value, profit, loss and other information regarding their investments in cryptocurrencies available via web-based or mobile application. Prior to December 2017, CoinTracking, GmbH operated as a sole proprietorship starting in 2013. Technology The Company is developing proprietary technology, including trading management and auditing software, tools and processes to assist both our own operations and traditional companies, from start-up businesses to well-established companies. We may consider using our technology to build additional units around our existing platform, or selling or licensing our technology to third party institutions for a fee. Media and Ongoing Education The Company also engages in public discourse on an ongoing basis and regularly host roundtable webinars to educate the public about the cryptocurrency market.

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2018
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of presentation The results of operations for interim periods are not necessarily indicative of the results to be expected for future quarters or for the full year. The accompanying unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Annual Report on Form 10-K for the period from March 9, 2017 (“Inception”), through December 31, 2017, filed with the Securities and Exchange Commission on April 2, 2018. Consolidation Liquidity Use of estimates Cash and cash equivalents Investments - Equipment Impairment of long lived assets - Business combination - Goodwill The Company assesses whether goodwill impairment exists using both the qualitative and quantitative assessments. The qualitative assessment involves determining whether events or circumstances exist that indicate it is more likely than not that the fair value of a reporting unit is less than its carrying amount, including goodwill. If based on this qualitative assessment the Company determines it is more likely than not that the fair value of a reporting unit is less than its carrying amount, or if the Company elects not to perform a qualitative assessment, a quantitative assessment is performed to determine whether a goodwill impairment exists at the reporting unit. Based on its analysis, the Company’s management believes that no impairment of the carrying value of its goodwill existed at March 31, 2018. There can be no assurance however, that market conditions will not change or demand for the Company’s products and services will continue which could result in impairment of goodwill in the future. Foreign Currency Translation Income taxes - When tax returns are filed, it is highly certain that some positions taken would be sustained upon examination by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position that would be ultimately sustained. The benefit of a tax position is recognized in the financial statements in the period during which, based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination, including the resolution of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions. Tax positions that meet the more-likely-than-not recognition threshold are measured as the largest amount of tax benefit that is more than 50 percent likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated with tax positions taken that exceeds the amount measured as described above is reflected as a liability for unrecognized tax benefits along with any associated interest and penalties that would be payable to the taxing authorities upon examination. Fair value measurements Level 1 Inputs are unadjusted, quoted prices for identical assets or liabilities in active markets at the measurable date. Level 2 Inputs, other than quoted prices included in Level 1 that are observable for the asset or liability through corroboration with market data at the measurement date. Level 3 Unobservable inputs that reflect management’s best estimate of what participants would use in pricing the asset or liability at the measurement date. The carrying amounts of the Company’s financial assets and liabilities, including cash, accounts payable, and accrued liabilities approximate fair value because of the short maturity of these instruments. Revenue recognition The Company also has subscription revenues through its subsidiary Coin Tracking LLC and significantly minimal amounts of consulting revenue. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers. ASU No. 2014-09 supersedes nearly all existing revenue recognition guidance under GAAP. The Company adopted ASU No. 2014-09 as of January 1, 2018 using the modified retrospective transition method for contracts as of the date of initial application. There is no cumulative impact to the Company’s retained earnings at January 1, 2018. See “Note 5 - Revenue Recognition” for additional information on the impact to the Company. Stock-based compensation Equity instruments (“instruments”) issued to non-employees are recorded on the basis of the fair value of the instruments, as required by ASC 718. ASC No. 505, Equity Based Payments to Non-Employees (“ASC 505”), defines the measurement date and recognition period for such instruments. In general, the measurement date is (a) when a performance commitment, as defined, is reached or (b) when the earlier of (i) the non-employee performance is complete and (ii) the instruments are vested. The compensation cost is remeasured at fair value at each reporting period when the award vests. As a result, stock option-based payments to non-employees can result in significant volatility in compensation expense. The Company accounts for its stock based compensation using the Black-Scholes model to estimate the fair value of stock option awards. Using this model, fair value is calculated based on assumptions with respect to the (i) expected volatility of the Company’s common stock price, (ii) expected life of the award, which for options is the period of time over which employees and non-employees are expected to hold their options prior to exercise, and (iii) risk-free interest rate. Risks and uncertainties - The prices of cryptocurrency could materially and adversely affect an investment in the shares of the Company. The prices of the cryptocurrencies have a limited history. During such history, the cryptocurrencies’ prices have been volatile and subject to influence by many factors including the levels of liquidity. If the cryptocurrency’s markets continue to experience significant price fluctuations, the Company may experience losses. Several factors may affect the prices of the cryptocurrencies, including, but not limited to, global cryptocurrency supply and demand, and competition from other forms of digital currency or payments services. There is currently no clearing house for cryptocurrency, nor is there a central or major depository for the custody of cryptocurrency. There is a risk that some or all of the Company’s cryptocurrencies could be lost or stolen. The Company does not have insurance protection on its cryptocurrency which exposes the Company and its shareholders to the risk of loss of the Company’s cryptocurrency. Further, cryptocurrency transactions are irrevocable. Stolen or incorrectly transferred of cryptocurrency may be irretrievable. As a result, any incorrectly executed cryptocurrency transactions could adversely affect an investment in the Company. To the extent private keys for the cryptocurrency’s addresses are lost, destroyed or otherwise compromised and no backup of the private keys are accessible, the Company may be unable to access the cryptocurrency held in the associated address and the private key will not be capable of being restored by the cryptocurrency network. The processes by which cryptocurrency transactions are settled are dependent on the cryptocurrency peer-to-peer network, and as such, the Company is subject to operational risk. A risk also exists with respect to previously unknown technical vulnerabilities, which may adversely affect the value of the cryptocurrencies. Net loss per common share Marketing expense -

Recent Accounting Pronouncement

Recent Accounting Pronouncements	3 Months Ended
	Mar. 31, 2018
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
Recent Accounting Pronouncements	NOTE 3 - RECENT ACCOUNTING PRONOUNCEMENTS In July 2017, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2017-11 , Earnings Per Share (Topic 260), Distinguishing Liabilities from Equity (Topic 480) and Derivatives and Hedging (Topic 815): I. Accounting for Certain Financial Instruments with Down Rounds and II. Replacement of the Indefinite Deferral for Mandatorily Redeemable Financial Instruments of Certain Nonpublic Entities and Certain Mandatorily Redeemable Noncontrolling Interests with a Scope Exception. In May 2017, the FASB issued ASU No. 2017-09, Compensation - Stock Compensation (Topic 718): Scope of Modification Accounting, which provides guidance about which changes to the terms or conditions of a share-based payment award require an entity to apply modification accounting. Essentially, an entity will not have to account for the effects of a modification if: (1) The fair value of the modified award is the same immediately before and after the modification; (2) the vesting conditions of the modified award are the same immediately before and after the modification; and (3) the classification of the modified award as either an equity instrument or liability instrument is the same immediately before and after the modification. The new standard became effective for us on January 1, 2018. The Company has evaluated the impact of Topic 718 on its financial statements and the adoption of this guidance will not have a material impact on the Company’s consolidated financial statements and related disclosures. FASB ASU 2017-01 “Clarifying the Definition of a Business (Topic 805)” FASB ASU 2017-04 “Simplifying the Test for Goodwill Impairment (Topic 350)” – In January 2017, the FASB issued 2017-04. The guidance removes “Step Two” of the goodwill impairment test, which required a hypothetical purchase price allocation. A goodwill impairment will now be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. The ASU is effective for annual reporting periods beginning after December 15, 2019, and for interim periods within those years, with early adoption permitted. We do not currently expect this ASU to have a significant impact on our consolidated financial statements and related disclosures. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842), which, among other things, requires lessees to recognize most leases on their balance sheets related to the rights and obligations created by those leases. The new standard also requires new disclosures to help financial statement users better understand the amount, timing, and uncertainty of cash flows arising from leases. The new standard becomes effective for us on January 1, 2019. Early adoption is permitted. The amendments in this update should be applied under a modified retrospective approach. We are evaluating the effect that ASU No. 2016-02 will have on our consolidated financial statements and related disclosures.

Acquisition

Acquisition	3 Months Ended
	Mar. 31, 2018
Business Combinations [Abstract]
Acquisition	NOTE 4 - ACQUISITION On January 26, 2018, CoinTracking LLC, a wholly-owned subsidiary of the Company, acquired 50.1% of the equity interest in CoinTracking GmbH, for (i) $4,736,400 in cash and (ii) 473,640 shares of common stock of the Company at $10 per share for total purchase price valued at $9,472,800. CoinTracking, with its newly acquired subsidiary, provides its customers with access to cryptocurrency token tracking, portfolio management, and tax calculation and reporting. The acquisition was to increase our presence in the digital asset industry and build strategic alliances. The combined statements of operations were prepared using the acquisition method of accounting in accordance with Financial Accounting Standards Board Accounting Standards Codification (“ASC”) Topic 805, Business Combinations Accordingly, consideration paid by the Company to complete the acquisition was allocated to the identifiable assets and liabilities of CoinTracking, GmbH based on estimated fair values as of the closing date. We made a preliminary allocation of the consideration transferred to the assets acquired and liabilities assumed based on the information available and preliminary valuation of the fair value of tangible and intangible assets acquired and liabilities assumed. Acquisition-related costs were expensed as incurred and were not considered to be significant. We expect to include the final purchase price allocation related to this acquisition in our Quarterly Report on Form 10-Q for the period ended June 30, 2018. Therefore, the valuation of certain assets and liabilities in the CoinTracking, GmbH acquisition is preliminary and subject to change. The table below summarizes the fair values of the assets acquired and liabilities assumed at the date of acquisition: CoinTracking Cash and cash equivalents $ 1,547,097 Investment in cryptocurrency 1,115,345 Other current assets 479,057 Goodwill 10,325,631 Other assets 144,566 Total assets $ 13,611,696 Current liabilities $ 522,172 Contract liabilities, short term 2,686,858 Contract liabilities, long term 929,866 Total liabilities 4,138,896 Net assets acquired $ 9,472,800 The purchase price was based on the expected financial performance of CoinTracking, GmbH and not on the value of the net identifiable assets at the time of acquisition. This resulted in a significant portion of the purchase price being attributed to goodwill. As a result, the Company recognized $10,325,631 of goodwill on the acquisition. Based on its analysis, the Company’s management believes that no impairment of the carrying value of its goodwill existed at March 31, 2018. There can be no assurance however, that market conditions will not change or demand for the Company’s products and services will continue which could result in impairment of goodwill in the future. Unaudited pro forma financial information The unaudited pro forma financial information in the table below presents the combined results of the Company and Coin Tracking as if these acquisitions had occurred on January 1, 2018. The unaudited pro forma financial information includes adjustments required under the acquisition method of accounting and is presented for informational purposes only and is not necessarily indicative of the results that would have been achieved had the acquisitions actually occurred on January 1, 2018. For the three months ended March 31, 2018: Revenue $ 1,645,260 Net loss $ (3,229,423 ) Basic and diluted loss per share: Basic $ (0.15 ) Diluted $ (0.15 )

Subscription Revenue Recognitio

Subscription Revenue Recognition	3 Months Ended
	Mar. 31, 2018
Subscription Revenue Recognition
Subscription Revenue Recognition	NOTE 5 – SUBSCRIPTION REVENUE RECOGNITION Revenue Recognition CoinTracking accounts for a contract when it has approval and commitment from all parties, the rights of the parties and payment terms are identified, the contract has commercial substance and collectability of consideration is probable. Revenue is recognized when control of the promised services is transferred to our customers, and in an amount that reflects the consideration the Company is contractually due in exchange for those services. Most of the Company’s contracts with customers are single, or have few distinct performance obligations, the transaction price is allocated to each performance obligation using the stand-alone selling price. CoinTracking’s revenue is primarily derived directly from users in the form of subscriptions. Subscription revenue is presented net of credits and credit card chargebacks. Subscribers pay in advance, primarily by Paypal or cryptocurrencies, and, subject to certain conditions identified in our terms and conditions. Revenue is initially deferred and is recognized using the straight-line method over the terms of the applicable subscription period, which primarily range from one to three years. Transaction Price The objective of determining the transaction price is to estimate the amount of consideration the Company is due in exchange for services, including amounts that are variable. CoinTracking has a standalone sales price for each subscription service. Further, The Company excludes from the measurement of transaction price all taxes assessed by governmental authorities that are both (i) imposed on and concurrent with a specific revenue-producing transaction and (ii) collected from customers. Accordingly, such tax amounts are not included as a component of revenue or cost of revenue. Estimates of certain revenue Revenue collected in advance for subscriptions ranging 1 or 2 years or lifetime packages are deferred and recognized as revenue on a straight-line basis over the terms of the applicable subscription period or performance obligation period. For “lifetime” revenue packages, where the customer has access to the website for unlimited length of time, the Company has elected to recognize revenue on a straight-line basis over three years. We believe that based on the short history of customer data, customer relationship period, and number of available alternative providers, and anticipation of future changes to the blockchain industry, a measure of three years of performance obligation to our customers appears to be appropriate. The Company intends to re-evaluate the length of the performance obligation period for lifetime revenue packages periodically based on historical and industry data and adjust it as deemed necessary. Net Revenue and Charge-back Reserves CoinTracking does not maintain an allowance for doubtful accounts because the customer prepays for subscription in advance before access is provided to Coin Tracking’s website. The Company also maintains allowances to reserve for potential credits issued to consumers or other revenue adjustments primarily through Paypal reserves. We recorded a reserve of $160,436 at March 31, 2018 which is based primarily upon historical experience. Contract Liabilities Contract liabilities are recorded when payments are received or due in advance of performing our service obligations and is recognized over the service period, which primarily relates to prepayments of subscription revenue. At the acquisition date of Jan 26, 2018, CoinTracking’s total contract liabilities were $3,616,724, and we recognized revenue of $456,922 as of March 31, 2018. As of March 31, 2018, $3,033,817, of current contract liabilities were recorded and $1,433,858 of long term contract liabilities were recorded, respectively. As of December 31, 2017, we did not have consolidated contract liabilities. Assets Recognized from the Costs to Obtain a Contract with a Customer CoinTracking has determined that certain costs, primarily referral commissions or affiliate payments paid to customers pursuant to certain sales incentive programs, meet the requirements to be capitalized as a cost of obtaining a contract. Affiliate expenses are paid in Bitcoins, as a sales incentive programs and are amortized over the subscription period. For sales incentive programs where the subscription period is one year, the Company has elected the practical expedient to expense the costs as incurred. The Company generally capitalizes over the term of the applicable subscription. During the three months ended March 31, 2018, the Company recognized expense of $30,654 related to the amortization of these costs. The aggregate contract asset balance at March 31, 2018 is $126,140.

Segment Information

Segment Information	3 Months Ended
	Mar. 31, 2018
Segment Reporting [Abstract]
Segment Information	NOTE 6 - SEGMENT INFORMATION The Company has organized its operations into two segments: trading in cryptocurrencies and subscription in CoinTracking’s, web-based platform. The trading segment primarily consists of amounts earned through trading activities of cryptocurrencies and costs are operating expenses that consists of general and administrative costs in North America. CoinTracking’s segment primarily consists of amounts earned through subscriptions to the CoinTracking website. Operating expense related to this segment is technology infrastructure and general administrative costs primarily incurred in Germany. There are no intercompany internal revenue transactions between our reportable segments. These segments reflect the way our chief operating decision maker evaluates the Company’s business performance and manages its operations. The following table summarizes the Company’s operating income by segment for the three-month period ended March 31, 2018: Three months ended 3/31/2018 Trading Subscription Total Revenue, net $ 1,072,598 $ 456,992 $ 1,529,590 Costs and Expenses (1,439,020 ) (705,960 ) (2,144,980 ) Operating Loss $ (366,422 ) $ (248,968 ) $ (615,390 ) The trading segment’s costs and expenses were offset by a favorable impact of share-based compensation of $708,139 as of March 31, 2018. This $708,139 was recorded as an offset to operating expenses in the accompanying statement of operations and comprehensive loss for the quarter ended March 31, 2018 and was a result in the decline of the estimated value of the Company’s common stock during the three months ended March 31, 2018. The following table summarizes the Company’s operating income by segment for the period from Inception, March 9, 2017 to March 31, 2017: Inception to 3/31/2017 Trading Subscription Total Revenue $ - $ - $ - Costs and Expenses (660,016 ) - (660,016 ) Operating Income $ (660,016 ) $ - $ (660,016 )

Investment in Cryptocurrency

Investment in Cryptocurrency	3 Months Ended
	Mar. 31, 2018
Investments [Abstract]
Investment in Cryptocurrency	NOTE 7 - INVESTMENT IN CRYPTOCURRENCY The investment in cryptocurrency is classified as a Level 2 asset because inputs are from cryptocurrency exchanges with price variability. The following table summarizes the Company’s investments at fair value for the three-month period ended March 31, 2018: Level 1 Level 2 Level 3 Investment in cryptocurrency $ - $ 2,426,724 $ 317,629 The Company establishes processes and procedures to ensure that the valuation methodologies that are categorized within Level 3 are fair, consistent and verifiable. Valuation of the Company’s Level 3 investments are for Initial Coin Offerings (“ICO’s”) for which there is no active market at March 31, 2018. These ICO’s are valued at cost which approximates fair value at March 31, 2018. At the time that the ICO’s have an available market exchange, the investments will be reclassified to Level 2. The following table sets forth a summary of changes in the fair value of the Company’s Level 3 investments for the three-month period ended March 31, 2018: Level 3 Cryptocurrency Balance at December 31, 2017 $ 167,818 Transfers to Level 2 investments (50,189 ) Purchases, sales, issuances, and settlement, net 200,000 Balance, March 31, 2018 $ 317,629 The following table summarizes the cryptocurrencies, other than ICO’s, held as of March 31, 2018: Bitcoin $ 1,344,914 Ethereum 106,123 Polymath 83,928 Ripple 78,336 Litecoin 69,244 Bitcoin Cash 56,283 blockVEE 48,495 Cardano 37,955 Dash 31,484 EOS 35,858 Various other currencies 534,104 $ 2,426,724

Equipment

Equipment	3 Months Ended
	Mar. 31, 2018
Property, Plant and Equipment [Abstract]
Equipment	NOTE 8 - EQUIPMENT Equipment consists of the following: March 31, 2018 December 31, 2017 Computer equipment $ 225,241 $ 69,241 Furniture equipment 15,167 3,754 240,408 72,995 Less accumulated depreciation (21,776 ) (4,675 ) $ 218,632 $ 68,320

Summary of Common Stock Transac

Summary of Common Stock Transactions	3 Months Ended
	Mar. 31, 2018
Equity [Abstract]
Summary of Common Stock Transactions	NOTE 9 - SUMMARY OF COMMON STOCK TRANSACTIONS On March 20, 2018, upon exercise of a stock option by a consultant of the Company, the Company issued 7,031 shares of common stock at an exercise price of $0.01 per share. On January 31, 2018, upon partial exercise of a stock option by an employee of the Company, the Company issued 14,667 shares of common stock as a cashless exercise. During the quarter ended March 31, 2018, an employee exercised a stock option for 12,494 shares of common stock at an exercise price of $2.00 per share. As of March 31, 2018, these shares have not yet been issued and, as a result, there is a common stock payable of $24,988 at March 31, 2018 in the accompanying balance sheet. On January 16, 2018, pursuant to an Equity Purchase Agreement (the “Agreement”) entered into on December 22, 2017 by and among the Company, CoinTracking, LLC, a Nevada limited liability company and wholly-owned subsidiary of the Company (“CoinTracking”), Kachel Holding GmbH, an entity formed under the laws of the Republic of Germany (“Kachel Holding”), and Dario Kachel, an individual, CoinTracking purchased from Kachel Holding 12,525 shares of CoinTracking GmbH, an entity formed under the laws of Germany (“CoinTracking GmbH”), representing 50.1% of the equity interests in CoinTracking GmbH, for a purchase price which consisted, in part, of 473,640 shares of common stock of the Company (the “CoinTracking Acquisition”). The transaction closed on January 26, 2018 (see Note 4).

Warrants for Common Stock

Warrants for Common Stock	3 Months Ended
	Mar. 31, 2018
Warrants For Common Stock
Warrants for Common Stock	NOTE 10 – WARRANTS FOR COMMON STOCK For the three-month period ended March 31, 2018, no stock purchase warrants were issued. As of March 31, 2018, outstanding warrants to purchase shares of common stock were as follows: Number of Shares Issuance Date Exercisable for Expiration Date Exercise Price Outstanding Under Warrants September 2017 Common Shares September 25, 2020 $ 2.00 168,125 The warrants expire on the third anniversary of their respective issuance dates. The exercise price of the warrants is subject to adjustment from time to time, as provided therein, to prevent dilution of purchase rights granted thereunder. The warrants are considered indexed to the Company’s own stock and therefore no subsequent remeasurement is required.

Summary of Stock Options

Summary of Stock Options	3 Months Ended
	Mar. 31, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Summary of Stock Options	NOTE 11 - SUMMARY OF STOCK OPTIONS On July 21, 2017, the Company’s board of directors adopted the 2017 Equity Incentive Plan (the “Plan), which was approved by its stockholders on August 24, 2017. The Plan is administered by the board of directors (the “Administrator”). Under the Plan, the Company may grant equity awards to eligible participants which may take the form of stock options (both incentive stock options and non-qualified stock options) and restricted stock awards. Awards may be granted to officers, employees, nonemployee directors (as defined in the Plan) and other key persons (including consultants and prospective employees). The term of any stock option award may not exceed 10 years and may be subject to vesting conditions, as determined by the Administrator. Options granted generally vest over eighteen months. Incentive stock options may be granted only to employees of the Company or any subsidiary that is a “subsidiary corporation” within the meaning of Section 424(f) of the Internal Revenue Code. 5,000,000 shares of the Company’s common stock are reserved for issuance under the Plan. For the three-month period ended March 31, 2018, there are outstanding stock option awards issued from the Plan covering a total of 807,031 shares of the Company’s common stock and there remain reserved for future awards 4,171,271 shares of the Company’s common stock. The weighted average exercise price of the outstanding stock options is $3.46 per share, and the remaining contractual term is 9.45 years. During the three-month period ended March 31, 2018, the Company granted 150,000 options to nonemployees. Weighted Weighted Average Aggregate Average Remaining Intrinsic Number Exercise Contractual Value of Shares Price Term (years) (in thousands) Options outstanding, at December 31, 2017 644,531 $ 2.32 9.61 $ 11,421 Options granted 150,000 $ 8.00 9.83 6,600 Options exercised 37,858 $ 1.63 9.37 1,907 Options outstanding, at March 31, 2018 756,668 $ 3.46 9.45 $ 36,729 Vested and exercisable and expected to vest, end of period 160,834 $ 2.93 9.35 $ 7,892 During the three-month period ended March 31, 2018 and the period from Inception, March, 9, 2017 through March 31, 2017 the Company had not granted any restricted stock awards. As of March 31, 2018, approximately $118,094 of total unrecognized compensation costs related to stock options is expected to be recognized over a weighted average period of approximately 2 years. The determination of the fair value of stock-based compensation awards utilizing the Black-Scholes model is affected by the Company’s stock price and a number of complex and subjective assumptions, including stock price, volatility, expected life of the equity award, forfeitures rates if any, risk-free interest rates and expected dividends. Volatility is based on the historical volatility of comparable companies measured over the most recent period, generally commensurate with the expected life of the Company’s stock options, adjusted for future expectations given the Company’s limited historical share price data. The risk-free rate is based on implied yields in effect at the time of the grant on U.S. Treasury zero-coupon bonds with remaining terms equal to the expected term of the stock options. The expected dividend is based on the Company’s history and expectation of dividend payouts. Forfeitures are recognized when they occur. The range of assumptions used for the three-month period ended March 31, 2018 are as follows: March 31, 2018 Ranges Weighted-average volatility 36-75 % Expected dividends 0 % Expected term (in years) 5.71-10 years Risk-free rate 1.91-2.40 % During the three months ended March 31, 2018, there was a decline of the estimated value of the Company’s common stock. As a result, at March 31, 2018, the credit balance of $708,139 share based compensation represents an adjustment to offset the previously recorded stock compensation costs during 2017, as stock options issued to nonemployees are revalued at each vesting tranche and/or reporting date in accordance with ASC 505.

Related Party Transactions

Related Party Transactions	3 Months Ended
	Mar. 31, 2018
Related Party Transactions [Abstract]
Related Party Transactions	NOTE 12 - RELATED PARTY TRANSACTIONS On March 9, 2017, Crypto Sub issued 125,000 shares of common stock of Crypto Sub to an employee of Crypto Sub, in exchange for an initial investment made in the form of cryptocurrency, valued at $100,000, based on the fair value of the investment on the date of such investment. In addition, based on the fair value of the shares of common stock of the Company at the time of issuance, the Company recorded an additional $100,000 of share based compensation expense related to the transaction. On March 9, 2017, Crypto Sub issued 300,000 shares of common stock of Crypto Sub to James Gilbert, the Chairman, Chief Executive Officer and President of the Company, in exchange for $200,000. In addition, based on the fair value of the shares of common stock of the Company at the time of issuance, the Company recorded an additional $280,000 of share based compensation expense related to the transaction. On March 9, 2017, Crypto Sub issued (i) 125,000 shares of common stock of Crypto Sub to Redwood Fund LP (“Redwood”) in exchange for $200,000; and (ii) 125,000 shares of common stock of Crypto Sub to Imperial Strategies, LLC (“Imperial Strategies”) in exchange for certain services rendered, valued at $200,000, as of the date of such issuance. Michael Poutre, the Chief Executive Officer of the Company, and Ron Levy, the Chief Operating Officer of the Company, are Chief Executive Officer and Chief Operating Officer, respectively, of Ladyface Capital, LLC, the General Partner of Redwood, and, as a result, had an indirect material interest in the shares owned by Redwood. The Company has a services agreement with Full Stack Finance for CFO and Accounting outsource services. Ivan Ivankovich, CFO of the Company, is the Co- Managing Director of Full Stack Finance. Emad Boulos, an employee of Full Stack Finance, serves as The Crypto Company’s Controller. The Company paid a total of $138,259 in fees to Full Stack Finance during the three-month period ended March 31, 2018, and as of March 31, 2018, there was a balance of $68,000 due to Full Stack Finance, which is included in accounts payable and accrued expenses on the accompanying balance sheet. The Company has a loan receivable from an officer of CoinTracking GmbH as of March 31, 2018 totaling $194,380. The loan is due upon demand and it bears interest at 2%. During the quarter ended March 31, 2018 and the period from March 9, 2017 to March 31, 2017 interest income accrued for this loan was $295 and $0, respectively, which is included in other income on the accompanying statement of operations.

Basic and Diluted Loss Per Shar

Basic and Diluted Loss Per Share	3 Months Ended
	Mar. 31, 2018
Earnings Per Share [Abstract]
Basic and Diluted Loss Per Share	NOTE 13 - BASIC AND DILUTED LOSS PER SHARE The following is a reconciliation of the numerator and denominator of the basic and diluted loss per share computations for the three-month period ended March 31, 2018: For the three months ended March 31, 2018 Numerator for basic and diluted income per share: Comprehensive loss attributable to The Crypto Company $ (3,153,118 ) Denominator for basic and diluted income per share: Weighted average shares (basic) 20,864,198 Common stock equivalents - Weighted average shares (diluted) 20,864,198 Basic and diluted income (loss) per share: Basic $ (0.15 ) Diluted $ (0.15 )

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2018
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	NOTE 14 - COMMITMENTS AND CONTINGENCIES Operating leases On January 18, 2018, the Company entered into a short-term lease agreement with Miramar Property Investment Co., for an office space on a month-to-month basis, requiring monthly rents of $3,024 expiring through September 30, 2018. Facility rent expense for the three-month period ended March 31, 2018 and the period from March 9, 2017 to March 31, 2017 was $25,023 and $0, respectively. Legal Indemnities and guarantees

Subsequent Events

Subsequent Events	3 Months Ended
	Mar. 31, 2018
Subsequent Events [Abstract]
Subsequent Events	NOTE 15 – SUBSEQUENT EVENTS On April 3, 2018, CoinTracking, LLC, a Nevada limited liability company and a wholly-owned subsidiary of the Company (“Borrower”), entered into a Loan Agreement (the “Loan Agreement”) with CoinTracking GmbH, a private limited liabilty company organized under the laws of the Federal Republic of Germany (“Lender”), pursuant to which Lender may provide a loan (the “CoinTracking Loan”) of up to $3,000,000 to Borrower, to be advanced to Borrower in one or more tranches, at such times and in such amounts as may be requested by Borrower from time to time, on or before the tenth anniversary of the Loan Agreement. The Company is deemed obligor of Borrower’s obligations under the Loan Agreement for United States Federal income tax purposes. Interest on the CoinTracking Loan will accrue at a rate per annum of the greater of (i) three percent (3%), or (ii) the interest rates published monthly by the United States Internal Revenue Service and in effect under section 1274(d) of the Internal Revenue Code in effect as of the date of issuance of any promissory note under the CoinTracking Loan, and will be payable quarterly. On April 3, 2018, pursuant to the Loan Agreement, Lender advanced $1,000,000 to Borrower in exchange for a promissory note (the “CoinTracking Note”) of equal principal amount. The CoinTracking Note will mature on the second anniversary thereof. The Borrower and Lender are consolidating entities, as such, the loan and advances are considered to be intercompany transactions and will be eliminated in consolidation. Effective as of April 17, 2018, Jeffrey Berman and Holly Ruxin were appointed directors of the Company, each for a term of six months from the effective date of appointment or until his or her earlier death, resignation or removal. The Company entered into a Director Services Agreement with each of Mr. Berman and Ms. Ruxin, pursuant to which each of Mr. Berman and Ms. Ruxin will be entitled to receive (i) a fee of $80,000 per annum, payable quarterly, and (ii) a ten-year option to purchase 100,000 shares of common stock of the Company at an exercise price of $10.00 per share, which option shall be fully vested on the six-month anniversary of the date of grant. Effective as of April 18, 2018, Anthony Strickland, Jeffrey Berman, and Holly Ruxin were appointed to the Audit Committee and Compensation Committee, with Ms. Ruxin serving as Chairperson of the Audit Committee and Mr. Strickland Serving as Chairperson of the Compensation Committee. On April 18, 2018, the Company issued to James Gilbert 202,512 shares of common stock of the Company, immediately vested, for certain services performed on behalf of the Company. Effective May 14, 2018, Michael Poutre, former Chief Executive Officer and a director of the Company, resigned from all of his current roles with the Company effective immediately. Mr. Poutre will remain as a consultant to the Company until November 2018. In connection with Mr. Poutre’s resignation from the Company, the Company entered into a Separation and Consulting Agreement and General Mutual Release (the “Separation and Consulting Agreement”), which was executed on May 9, 2018 and approved by the Board of Directors on May 14, 2018. The Separation and Consulting Agreement was not effective until May 17, 2018, following the end of the revocation period. The Separation and Consulting Agreement provides that the Company will pay Mr. Poutre a lump-sum cash payment of (i) his earned but unpaid base salary, (ii) his accrued but unpaid vacation time, and (iii) any outstanding requests for expense reimbursements that are approved pursuant to Company policy. Mr. Poutre will serve as a consultant of the Company for six months at a rate of $30,000 per month, payable in two separate tranches, though the Company may terminate his services for any reason. The Separation and Consulting Agreement contains other standard provisions contained in agreements of this nature including non-disparagement and a general release of any and all claims . Effective May 14, 2018, James Gilbert, the President of the Company, was appointed Chairman of the Company’s Board of Directors and Chief Executive Officer. The Company did not enter into any new employment agreement with Mr. Gilbert, and Mr. Gilbert has no family relationship with any director or executive officer of the Company.

Summary of Significant Accoun22

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2018
Accounting Policies [Abstract]
Basis of Presentation	Basis of presentation The results of operations for interim periods are not necessarily indicative of the results to be expected for future quarters or for the full year. The accompanying unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Annual Report on Form 10-K for the period from March 9, 2017 (“Inception”), through December 31, 2017, filed with the Securities and Exchange Commission on April 2, 2018.
Consolidation	Consolidation
Liquidity	Liquidity
Use of Estimates	Use of estimates
Cash and Cash Equivalents	Cash and cash equivalents
Investments	Investments -
Equipment	Equipment
Impairment of Long Lived Assets	Impairment of long lived assets -
Business Combination	Business combination -
Goodwill	Goodwill The Company assesses whether goodwill impairment exists using both the qualitative and quantitative assessments. The qualitative assessment involves determining whether events or circumstances exist that indicate it is more likely than not that the fair value of a reporting unit is less than its carrying amount, including goodwill. If based on this qualitative assessment the Company determines it is more likely than not that the fair value of a reporting unit is less than its carrying amount, or if the Company elects not to perform a qualitative assessment, a quantitative assessment is performed to determine whether a goodwill impairment exists at the reporting unit. Based on its analysis, the Company’s management believes that no impairment of the carrying value of its goodwill existed at March 31, 2018. There can be no assurance however, that market conditions will not change or demand for the Company’s products and services will continue which could result in impairment of goodwill in the future.
Foreign Currency Translation	Foreign Currency Translation
Income Taxes	Income taxes - When tax returns are filed, it is highly certain that some positions taken would be sustained upon examination by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position that would be ultimately sustained. The benefit of a tax position is recognized in the financial statements in the period during which, based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination, including the resolution of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions. Tax positions that meet the more-likely-than-not recognition threshold are measured as the largest amount of tax benefit that is more than 50 percent likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated with tax positions taken that exceeds the amount measured as described above is reflected as a liability for unrecognized tax benefits along with any associated interest and penalties that would be payable to the taxing authorities upon examination.
Fair Value Measurements	Fair value measurements Level 1 Inputs are unadjusted, quoted prices for identical assets or liabilities in active markets at the measurable date. Level 2 Inputs, other than quoted prices included in Level 1 that are observable for the asset or liability through corroboration with market data at the measurement date. Level 3 Unobservable inputs that reflect management’s best estimate of what participants would use in pricing the asset or liability at the measurement date. The carrying amounts of the Company’s financial assets and liabilities, including cash, accounts payable, and accrued liabilities approximate fair value because of the short maturity of these instruments.
Revenue Recognition	Revenue recognition The Company also has subscription revenues through its subsidiary Coin Tracking LLC and significantly minimal amounts of consulting revenue. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers. ASU No. 2014-09 supersedes nearly all existing revenue recognition guidance under GAAP. The Company adopted ASU No. 2014-09 as of January 1, 2018 using the modified retrospective transition method for contracts as of the date of initial application. There is no cumulative impact to the Company’s retained earnings at January 1, 2018. See “Note 5 - Revenue Recognition” for additional information on the impact to the Company.
Stock-based Compensation	Stock-based compensation Equity instruments (“instruments”) issued to non-employees are recorded on the basis of the fair value of the instruments, as required by ASC 718. ASC No. 505, Equity Based Payments to Non-Employees (“ASC 505”), defines the measurement date and recognition period for such instruments. In general, the measurement date is (a) when a performance commitment, as defined, is reached or (b) when the earlier of (i) the non-employee performance is complete and (ii) the instruments are vested. The compensation cost is remeasured at fair value at each reporting period when the award vests. As a result, stock option-based payments to non-employees can result in significant volatility in compensation expense. The Company accounts for its stock based compensation using the Black-Scholes model to estimate the fair value of stock option awards. Using this model, fair value is calculated based on assumptions with respect to the (i) expected volatility of the Company’s common stock price, (ii) expected life of the award, which for options is the period of time over which employees and non-employees are expected to hold their options prior to exercise, and (iii) risk-free interest rate.
Risks and Uncertainties	Risks and uncertainties - The prices of cryptocurrency could materially and adversely affect an investment in the shares of the Company. The prices of the cryptocurrencies have a limited history. During such history, the cryptocurrencies’ prices have been volatile and subject to influence by many factors including the levels of liquidity. If the cryptocurrency’s markets continue to experience significant price fluctuations, the Company may experience losses. Several factors may affect the prices of the cryptocurrencies, including, but not limited to, global cryptocurrency supply and demand, and competition from other forms of digital currency or payments services. There is currently no clearing house for cryptocurrency, nor is there a central or major depository for the custody of cryptocurrency. There is a risk that some or all of the Company’s cryptocurrencies could be lost or stolen. The Company does not have insurance protection on its cryptocurrency which exposes the Company and its shareholders to the risk of loss of the Company’s cryptocurrency. Further, cryptocurrency transactions are irrevocable. Stolen or incorrectly transferred of cryptocurrency may be irretrievable. As a result, any incorrectly executed cryptocurrency transactions could adversely affect an investment in the Company. To the extent private keys for the cryptocurrency’s addresses are lost, destroyed or otherwise compromised and no backup of the private keys are accessible, the Company may be unable to access the cryptocurrency held in the associated address and the private key will not be capable of being restored by the cryptocurrency network. The processes by which cryptocurrency transactions are settled are dependent on the cryptocurrency peer-to-peer network, and as such, the Company is subject to operational risk. A risk also exists with respect to previously unknown technical vulnerabilities, which may adversely affect the value of the cryptocurrencies.
Net Loss Per Common Share	Net loss per common share
Marketing Expense	Marketing expense -

Acquisition (Tables)

Acquisition (Tables)	3 Months Ended
	Mar. 31, 2018
Business Combinations [Abstract]
Schedule of Fair Value of Assets Acquired and Liabilities Assumed	The table below summarizes the fair values of the assets acquired and liabilities assumed at the date of acquisition: CoinTracking Cash and cash equivalents $ 1,547,097 Investment in cryptocurrency 1,115,345 Other current assets 479,057 Goodwill 10,325,631 Other assets 144,566 Total assets $ 13,611,696 Current liabilities $ 522,172 Contract liabilities, short term 2,686,858 Contract liabilities, long term 929,866 Total liabilities 4,138,896 Net assets acquired $ 9,472,800
Schedule of Unaudited Pro Forma Financial Information	For the three months ended March 31, 2018: Revenue $ 1,645,260 Net loss $ (3,229,423 ) Basic and diluted loss per share: Basic $ (0.15 ) Diluted $ (0.15 )

Segment Information (Tables)

Segment Information (Tables)	3 Months Ended
	Mar. 31, 2018
Segment Reporting [Abstract]
Schedule of Operating Income (Loss) by Segment	The following table summarizes the Company’s operating income by segment for the three-month period ended March 31, 2018: Three months ended 3/31/2018 Trading Subscription Total Revenue, net $ 1,072,598 $ 456,992 $ 1,529,590 Costs and Expenses (1,439,020 ) (705,960 ) (2,144,980 ) Operating Loss $ (366,422 ) $ (248,968 ) $ (615,390 ) The following table summarizes the Company’s operating income by segment for the period from Inception, March 9, 2017 to March 31, 2017: Inception to 3/31/2017 Trading Subscription Total Revenue $ - $ - $ - Costs and Expenses (660,016 ) - (660,016 ) Operating Income $ (660,016 ) $ - $ (660,016 )

Investment in Cryptocurrency (T

Investment in Cryptocurrency (Tables)	3 Months Ended
	Mar. 31, 2018
Investments [Abstract]
Schedule of Fair Value of Investments in Cryptocurrency	The following table summarizes the Company’s investments at fair value for the three-month period ended March 31, 2018: Level 1 Level 2 Level 3 Investment in cryptocurrency $ - $ 2,426,724 $ 317,629 The following table sets forth a summary of changes in the fair value of the Company’s Level 3 investments for the three-month period ended March 31, 2018: Level 3 Cryptocurrency Balance at December 31, 2017 $ 167,818 Transfers to Level 2 investments (50,189 ) Purchases, sales, issuances, and settlement, net 200,000 Balance, March 31, 2018 $ 317,629
Summary of Cryptocurrencies Held	The following table summarizes the cryptocurrencies, other than ICO’s, held as of March 31, 2018: Bitcoin $ 1,344,914 Ethereum 106,123 Polymath 83,928 Ripple 78,336 Litecoin 69,244 Bitcoin Cash 56,283 blockVEE 48,495 Cardano 37,955 Dash 31,484 EOS 35,858 Various other currencies 534,104 $ 2,426,724

Equipment (Tables)

Equipment (Tables)	3 Months Ended
	Mar. 31, 2018
Property, Plant and Equipment [Abstract]
Schedule of Equipment	Equipment consists of the following: March 31, 2018 December 31, 2017 Computer equipment $ 225,241 $ 69,241 Furniture equipment 15,167 3,754 240,408 72,995 Less accumulated depreciation (21,776 ) (4,675 ) $ 218,632 $ 68,320

Warrants for Common Stock (Tabl

Warrants for Common Stock (Tables)	3 Months Ended
	Mar. 31, 2018
Warrants For Common Stock
Schedule of Outstanding Warrants to Purchase Shares of Common Stock	As of March 31, 2018, outstanding warrants to purchase shares of common stock were as follows: Number of Shares Issuance Date Exercisable for Expiration Date Exercise Price Outstanding Under Warrants September 2017 Common Shares September 25, 2020 $ 2.00 168,125

Summary of Stock Options (Table

Summary of Stock Options (Tables)	3 Months Ended
	Mar. 31, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Schedule of Stock Options Activity	During the three-month period ended March 31, 2018, the Company granted 150,000 options to nonemployees. Weighted Weighted Average Aggregate Average Remaining Intrinsic Number Exercise Contractual Value of Shares Price Term (years) (in thousands) Options outstanding, at December 31, 2017 644,531 $ 2.32 9.61 $ 11,421 Options granted 150,000 $ 8.00 9.83 6,600 Options exercised 37,858 $ 1.63 9.37 1,907 Options outstanding, at March 31, 2018 756,668 $ 3.46 9.45 $ 36,729 Vested and exercisable and expected to vest, end of period 160,834 $ 2.93 9.35 $ 7,892
Schedule of Stock Option Assumptions Used	The range of assumptions used for the three-month period ended March 31, 2018 are as follows: March 31, 2018 Ranges Weighted-average volatility 36-75 % Expected dividends 0 % Expected term (in years) 5.71-10 years Risk-free rate 1.91-2.40 %

Basic and Diluted Loss Per Sh29

Basic and Diluted Loss Per Share (Tables)	3 Months Ended
	Mar. 31, 2018
Earnings Per Share [Abstract]
Schedule of Earnings Per Share Basic and Diluted	The following is a reconciliation of the numerator and denominator of the basic and diluted loss per share computations for the three-month period ended March 31, 2018: For the three months ended March 31, 2018 Numerator for basic and diluted income per share: Comprehensive loss attributable to The Crypto Company $ (3,153,118 ) Denominator for basic and diluted income per share: Weighted average shares (basic) 20,864,198 Common stock equivalents - Weighted average shares (diluted) 20,864,198 Basic and diluted income (loss) per share: Basic $ (0.15 ) Diluted $ (0.15 )

The Company (Details Narrative)

The Company (Details Narrative)	Mar. 31, 2018	Jan. 26, 2018
CoinTracking GmbH [Member]
Ownership percentage	50.10%	50.10%
Kachel Holding GmbH [Member]
Ownership percentage		49.90%

Summary of Significant Accoun31

Summary of Significant Accounting Policies (Details Narrative) - USD ($)	1 Months Ended	3 Months Ended	13 Months Ended
	Mar. 31, 2017	Mar. 31, 2018	Mar. 31, 2018	Jan. 26, 2018	Dec. 31, 2017	Mar. 08, 2017
Proceeds from issuance of common stock	$ 400,000		$ 12,281,997
Cash balance	399,984	3,678,730	3,678,730		$ 8,950,244
Working capital		2,612,740	2,612,740
Consolidated investments		$ 2,744,353	$ 2,744,353
Percentage of volume of trades on exchanges		0.28%	0.28%
Investment in trading exchange on Bitcoin/USD per day		$ 105,000,000
Income tax payable		800	$ 800		$ 800
Marketing expenses	$ 0	$ 48,699
Minimum [Member]
Estimated useful life of equipment		3 years
Maximum [Member]
Estimated useful life of equipment		5 years
CoinTracking GmbH [Member]
Common stock ownership percentage		50.10%	50.10%	50.10%

Acquisition (Details Narrative)

Acquisition (Details Narrative) - USD ($)	Jan. 26, 2018	Mar. 31, 2017	Mar. 31, 2018	Dec. 31, 2017
Purchase price			$ 3,189,303
Goodwill on acquisition			$ 10,325,631
CoinTracking GmbH [Member]
Equity interests, percentage	50.10%		50.10%
Payments to acquire businesses in cash	$ 4,736,400
Number of common stock shares purchased	473,640
Business combination, purchase price per share	$ 10
Purchase price	$ 9,472,800
Goodwill on acquisition	$ 10,325,631

Acquisition - Schedule of Fair

Acquisition - Schedule of Fair Value of Assets Acquired and Liabilities Assumed (Details) - USD ($)	Mar. 31, 2018	Jan. 26, 2018	Dec. 31, 2017
Goodwill	$ 10,325,631
CoinTracking LLC [Member]
Cash and cash equivalents		$ 1,547,097
Investment in cryptocurrency		1,115,345
Other current assets		479,057
Goodwill		10,325,631
Other assets		144,566
Total assets		13,611,696
Current liabilities		522,172
Contract liabilities, short term		2,686,858
Contract liabilities, long term		929,866
Total liabilities		4,138,896
Net assets acquired		$ 9,472,800

Acquisition - Schedule of Unaud

Acquisition - Schedule of Unaudited Pro Forma Financial Information (Details)	3 Months Ended
	Mar. 31, 2018USD ($)$ / shares
Business Combinations [Abstract]
Revenue | $	$ 1,645,260
Net loss | $	$ (3,229,423)
Basic and diluted loss per share: Basic | $ / shares	$ (0.15)
Basic and diluted loss per share: Diluted | $ / shares	$ (0.15)

Subscription Revenue Recognit35

Subscription Revenue Recognition (Details Narrative) - USD ($)	1 Months Ended	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2018	Jan. 26, 2018	Dec. 31, 2017
Subscriptions of revenue, description		Revenue collected in advance for subscriptions ranging 1 or 2 years or lifetime packages are deferred and recognized as revenue on a straight-line basis over the terms of the applicable subscription period or performance obligation period. For “lifetime” revenue packages, where the customer has access to the website for unlimited length of time, the Company has elected to recognize revenue on a straight-line basis over three years.
Paypal reserve		$ 160,436
Subscription revenue		456,697
Contract liabilities, current		3,033,817
Contract liabilities, noncurrent		$ 1,433,858
Sales incentive programs subscription period		1 year
Amortization of sales incentive programs cost		$ 30,654
Aggregate contract asset		$ 126,140
CoinTracking LLC [Member]
Contract liabilities			$ 3,616,724

Segment Information (Details Na

Segment Information (Details Narrative)	3 Months Ended
	Mar. 31, 2018Segments
Segment Reporting [Abstract]
Number of operating segments	2

Segment Information - Schedule

Segment Information - Schedule of Operating Income (Loss) by Segment (Details) - USD ($)	1 Months Ended	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2018
Revenue, net		$ 1,529,590
Cost and Expenses	(660,016)	(2,144,980)
Operating Income Loss	(660,016)	(615,390)
Trading [Member]
Revenue, net		1,072,598
Cost and Expenses	(660,016)	(1,439,020)
Operating Income Loss	(660,016)	(366,422)
Subscription [Member]
Revenue, net		456,992
Cost and Expenses		(705,960)
Operating Income Loss		$ (248,968)

Investment in Cryptocurrency -

Investment in Cryptocurrency - Schedule of Fair Value of Investments in Cryptocurrency (Details)	3 Months Ended
	Mar. 31, 2018USD ($)
Investment in cryptocurrency, ending balance	$ 2,426,724
Level 1 [Member]
Investment in cryptocurrency, ending balance
Level 2 [Member]
Investment in cryptocurrency, ending balance	2,426,724
Level 3 [Member]
Investment in cryptocurrency, beginning balance	167,818
Transfers to Level 2 investments	(50,189)
Purchases, sales, issuances, and settlement, net	200,000
Investment in cryptocurrency, ending balance	$ 317,629

Investment in Cryptocurrency 39

Investment in Cryptocurrency - Summary of Cryptocurrencies Held (Details)	Mar. 31, 2018USD ($)
Investments	$ 2,426,724
Bitcoin [Member]
Investments	1,344,914
Ethereum [Member]
Investments	106,123
Polymath [Member]
Investments	83,928
Ripple [Member]
Investments	78,336
Litecoin [Member]
Investments	69,244
Bitcoin Cash [Member]
Investments	56,283
Block VEE [Member]
Investments	48,495
Cardano [Member]
Investments	37,955
Dash [Member]
Investments	31,484
EOS [Member]
Investments	35,858
Various Other Currencies [Member]
Investments	$ 534,104

Equipment - Schedule of Equipme

Equipment - Schedule of Equipment (Details) - USD ($)	Mar. 31, 2018	Dec. 31, 2017
Equipment, gross	$ 240,408	$ 72,995
Less accumulated depreciation	(21,776)	(4,675)
Equipment, net	218,632	68,320
Computer Equipment [Member]
Equipment, gross	225,241	69,241
Furniture Equipment [Member]
Equipment, gross	$ 15,167	$ 3,754

Summary of Common Stock Trans41

Summary of Common Stock Transactions (Details Narrative) - USD ($)	Mar. 20, 2018	Jan. 31, 2018	Jan. 26, 2018	Jan. 16, 2018	Mar. 31, 2018	Dec. 31, 2017
Number of common stock shares exercise of stock options					37,858
Stock option exercise price per share					$ 1.63
Common stock payable					$ 24,988
Kachel Holding GmbH [Member]
Equity interests, percentage			49.90%
CoinTracking GmbH [Member]
Number shares purchased			473,640
Equity interests, percentage			50.10%		50.10%
Equity Purchase Agreement [Member] | Kachel Holding GmbH [Member]
Number shares purchased				12,525
Equity Purchase Agreement [Member] | CoinTracking GmbH [Member]
Number shares purchased				473,640
Equity interests, percentage				50.10%
Employee [Member]
Number of common stock shares exercise of stock options		14,667			12,494
Stock option exercise price per share					$ 2
Consultant [Member]
Number of common stock shares exercise of stock options	7,031
Stock option exercise price per share	$ 0.01

Warrants for Common Stock (Deta

Warrants for Common Stock (Details Narrative)	Mar. 31, 2018shares
Warrant [Member]
Number of stock purchase warrants issued

Warrants for Common Stock - Sch

Warrants for Common Stock - Schedule of Warrants Outstanding (Details) - Warrant [Member]	3 Months Ended
	Mar. 31, 2018$ / sharesshares
Issuance Date	September 2,017
Exercisable for	Common Shares
Expiration Date	Sep. 25, 2020
Exercise Price | $ / shares	$ 2
Number of Shares Outstanding Under Warrants | shares	168,125

Summary of Stock Options (Detai

Summary of Stock Options (Details Narrative) - USD ($)	Jul. 21, 2017	Mar. 31, 2017	Mar. 31, 2018	Dec. 31, 2017
Number of outstanding stock option awards			756,668	644,531
Stock options granted			150,000
Weighted average exercise price of outstanding stock options			$ 8
Stock option remaining contractual term			9 years 5 months 12 days
Restricted stock awards granted
Share based compensation		$ (580,000)	$ 708,139
Stock option [Member]
Unrecognized compensation costs			$ 118,094
Unrecognized compensation weighted average period			2 years
Non Employees [Member]
Stock options granted			150,000
2017 Equity Incentive Plan [Member]
Number of stock option remain reserved for future issuance			4,171,271
Number of outstanding stock option awards			807,031
Weighted average exercise price of outstanding stock options			$ 3.46
Stock option remaining contractual term			9 years 5 months 12 days
2017 Equity Incentive Plan [Member]
Number of stock option remain reserved for future issuance	5,000,000
2017 Equity Incentive Plan [Member] | Maximum [Member]
Stock option award vesting period	10 years

Summary of Stock Options - Sche

Summary of Stock Options - Schedule of Stock Options Activity (Details)	3 Months Ended
	Mar. 31, 2018USD ($)$ / sharesshares
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Number of Options Outstanding, Beginning Balance | shares	644,531
Number of Options Granted | shares	150,000
Number of Options Exercised | shares	37,858
Number of Options Outstanding, Ending Balance | shares	756,668
Number of Options Vested and Exercisable and Expected to Vest, End of Period | shares	160,834
Weighted Average Exercise Price, Options Outstanding, Beginning Balance | $ / shares	$ 2.32
Weighted Average Exercise Price, Options Granted | $ / shares	8
Weighted Average Exercise Price, Options Exercised | $ / shares	1.63
Weighted Average Exercise Price, Options Outstanding, Ending Balance | $ / shares	3.46
Weighted Average Exercise Price, Vested and Exercisable and Expected to Vest, End of Period | $ / shares	$ 2.93
Weighted Average Remaining Contractual Term, Options Outstanding, Beginning	9 years 7 months 10 days
Weighted Average Remaining Contractual Term, Options Granted	9 years 9 months 29 days
Weighted Average Remaining Contractual Term, Options Exercised	9 years 4 months 13 days
Weighted Average Remaining Contractual Term, Options Outstanding, Ending	9 years 5 months 12 days
Weighted Average Remaining Contractual Term, Vested and Exercisable and Expected to Vest, End of Period	9 years 4 months 6 days
Aggregate Intrinsic Value, Options Outstanding, Beginning Balance | $	$ 11,421
Aggregate Intrinsic Value, Options Granted | $	6,600
Aggregate Intrinsic Value, Options Exercised | $	1,907
Aggregate Intrinsic Value, Options Outstanding, Ending Balance | $	36,729
Aggregate Intrinsic Value, Vested and Exercisable and Expected to Vest, End of Period | $	$ 7,892

Summary of Stock Options - Sc46

Summary of Stock Options - Schedule of Stock Option Assumptions Used (Details)	3 Months Ended
	Mar. 31, 2018
Expected dividends	0.00%
Minimum [Member]
Weighted-average volatility	36.00%
Expected term (in years)	5 years 8 months 16 days
Risk-free rate	1.91%
Maximum [Member]
Weighted-average volatility	75.00%
Expected term (in years)	10 years
Risk-free rate	2.40%

Related Party Transactions (Det

Related Party Transactions (Details Narrative) - USD ($)	Mar. 10, 2017	Mar. 31, 2017	Mar. 31, 2018	Dec. 31, 2017
Related Party Transaction [Line Items]
Share based compensation expense		$ 580,000	$ (708,139)
Loans receivable			194,380
Redwood Fund LP [Member]
Related Party Transaction [Line Items]
Common stock issued for services, shares	125,000
Shares issued for service, value	$ 200,000
Imperial Strategies, LLC [Member]
Related Party Transaction [Line Items]
Common stock issued for services, shares	125,000
Shares issued for service, value	$ 200,000
Full Stack Finance [Member]
Related Party Transaction [Line Items]
Legal fees			138,259
Legal fees payable			68,000
CoinTracking GmbH [Member]
Related Party Transaction [Line Items]
Loans receivable			$ 194,380
Loan interest rate			2.00%
Accrued interest income		$ 0	$ 295
James Gilbert [Member]
Related Party Transaction [Line Items]
Common stock issued for services, shares	300,000
Shares issued for service, value	$ 200,000
Share based compensation expense	$ 280,000
Employee [Member]
Related Party Transaction [Line Items]
Common stock issued for services, shares	125,000
Shares issued for service, value	$ 100,000
Share based compensation expense	$ 100,000

Basic and Diluted Loss Per Sh48

Basic and Diluted Loss Per Share - Schedule of Earnings Per Share Basic and Diluted (Details) - USD ($)	1 Months Ended	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2018
Earnings Per Share [Abstract]
Numerator for basic and diluted income per share: Comprehensive loss attributable to The Crypto Company	$ (660,016)	$ (3,153,118)
Denominator for basic and diluted income per share: Weighted average shares (basic)		20,864,198
Denominator for basic and diluted income per share: Common stock equivalents
Denominator for basic and diluted income per share: Weighted average shares (diluted)		20,864,198
Basic and diluted income (loss) per share: Basic		$ (0.15)
Basic and diluted income (loss) per share: Diluted		$ (0.15)

Commitments and Contingencies (

Commitments and Contingencies (Details Narrative) - USD ($)	Jan. 18, 2018	May 15, 2017	Mar. 31, 2017	Mar. 31, 2018
Facility rent expense			$ 0	$ 25,023
Lease Agreement [Member] | Soba Living, LLC [Member]
Monthly rent		$ 6,000
Lease expiration date		Sep. 30, 2018
Short-Term Lease Agreement [Member] | Miramar Property Investment Co. [Member]
Monthly rent	$ 3,024
Lease expiration date	Sep. 30, 2018

Subsequent Events (Details Narr

Subsequent Events (Details Narrative) - USD ($)	Apr. 18, 2018	Apr. 17, 2018	Apr. 03, 2018	Mar. 10, 2017	Mar. 31, 2017	Mar. 31, 2018	May 14, 2018
Directors fee					$ 580,000	$ (708,139)
James Gilbert [Member]
Directors fee				$ 280,000
Common stock issued for services				300,000
Subsequent Event [Member] | James Gilbert [Member]
Common stock issued for services	202,512
Subsequent Event [Member] | Loan Agreement [Member] | CoinTracking Loan [Member] | Maximum [Member]
Loan			$ 3,000,000
Subsequent Event [Member] | Loan Agreement [Member] | CoinTracking Loan [Member] | Minimum [Member]
Debt interest rate, percentage			3.00%
Subsequent Event [Member] | Loan Agreement [Member] | CoinTracking Note [Member]
Advanced to related party exchange for promissory note			$ 1,000,000
Subsequent Event [Member] | Director Services Agreement [Member] | Mr. Berman [Member]
Directors fee		$ 80,000
Option term		10 years
Number of options granted to purchase common stock		100,000
Option exercise price		$ 10
Stock options vesting period		6 months
Subsequent Event [Member] | Director Services Agreement [Member] | Ms. Ruxin [Member]
Directors fee		$ 80,000
Option term		10 years
Number of options granted to purchase common stock		100,000
Option exercise price		$ 10
Stock options vesting period		6 months
Subsequent Event [Member] | Separation and Consulting Agreement [Member] | Michael Poutre [Member]
Deferred compensation amount							$ 30,000