v3.26.1
COMMON STOCK OPTIONS, WARRANTS AND RESTRICTED STOCK UNITS
 3 Months Ended
Mar. 31, 2026
Equity [Abstract]  
COMMON STOCK OPTIONS, WARRANTS AND RESTRICTED STOCK UNITS

NOTE 5: COMMON STOCK OPTIONS, WARRANTS AND RESTRICTED STOCK UNITS

 

Common Stock Options

 

The Company recognizes in the financial statements compensation related to all stock-based awards, including stock options and warrants, based on their estimated grant-date fair value. The Company has estimated expected forfeitures and is recognizing compensation expense only for those awards expected to vest. All compensation is recognized by the time the award vests.

 

 

The following schedule summarizes the changes in the Company’s stock options:

 

   Options Outstanding   Weighted Average       Weighted Average 
   Number Of Shares   Exercise Price Per Share  

Remaining

Contractual Life

   Aggregate Intrinsic Value   Exercise Price Per Share 
Three Months Ended March 31, 2025                    
                     
Outstanding at January 1, 2025   2,252,809   $0.024-0.04    4.70 years   $174,855   $0.04 
Granted   -   $-    -        $- 
Exercised   -   $-    -        $- 
Expired/cancelled   -   $-    -        $- 
Outstanding at March 31, 2025   2,252,809   $0.024-0.04    4.45 years   $190,850   $0.04 
Exercisable at March 31, 2025   2,252,809   $0.024-0.04    4.45 years   $190,850   $0.04 
                          
Three Months Ended March 31, 2026                         
                          
Outstanding at January 1, 2026   2,252,809   $0.024-0.04    3.70 years   $71,226   $0.04 
Granted   -   $-    -        $- 
Exercised   -   $-    -        $- 
Expired/cancelled   -   $-    -        $- 
Outstanding at March 31, 2026   2,252,809   $0.024-0.04    3.45 years   $118,535   $0.04 
Exercisable at March 31, 2026   2,252,809   $0.024-0.04    3.45 years   $118,535   $0.04 

 

During the three months ended March 31, 2026 and 2025, the Company recognized $0 of stock-based compensation expense related to the vesting of stock options.

 

Common Stock Warrants

 

The following schedule summarizes the changes in the Company’s stock warrants:

 

   Warrants Outstanding   Weighted Average       Weighted Average 
   Number Of Shares   Exercise Price Per Share  

Remaining

Contractual Life

   Aggregate Intrinsic Value   Exercise Price Per Share 
Three Months Ended March 31, 2025                    
                     
Outstanding at January 1, 2025   11,465,000   $0.13    3 years   $123,690   $0.0827 
Granted   6,250,000   $0.15    -   $-   $- 
                          
Redeemed   -    -    -    -    - 
Exercised   -   $-    -   $-   $- 
Exchanged   -   $-    -   $-   $- 
                          
Expired/cancelled   -    -         -    - 
Outstanding at March 31, 2025   17,715,000   $0.075-0.15    2.93 years   $145,700   $0.13 
Exercisable at March 31, 2025   17,715,000   $0.075-0.15    2.93 years   $145,700   $0.13 
                          
Three Months Ended March 31, 2026                         
                          
Outstanding at January 1, 2026   16,115,000   $0.075-0.15    2.20 years   $-   $0.143 
Granted   17,000,000   $0.075    -   $-   $- 
Redeemed   -   $-    -   $-   $- 
Exercised   -   $-    -   $-   $- 
Exchanged   (7,950,000)  $-    -   $-   $- 
Expired/cancelled   -   $-    -   $-   $- 
Outstanding at March 31, 2026   25,165,000   $0.075-0.15    3.22 years   $297,255   $0.0905 
Exercisable at March 31, 2026   25,165,000   $0.075-0.15    3.22 years   $297,255   $0.0905 

 

 

Changes to these inputs could produce a significantly higher or lower fair value measurement. The fair value of each option/warrant is estimated using the Black-Scholes valuation model. The following assumptions were used for the periods as follows:

 

    Three Months Ended     Three Months Ended 
    March 31, 2026     March 31, 2025  
Expected term   0-    0- 
Expected volatility   -%   -%
Expected dividend yield   -    - 
Risk-free interest rate   -%   -%

 

The Company granted 6,250,000 warrants in February 2025, with an exercise price of $0.15 that expire June 30, 2028.

 

The Company granted 17,000,000 warrants in March 2026, with an exercise price of $0.075 that expire December 31, 2029. The Company exchanged 7,950,000 warrants into 7,950,000 shares of Common Stock, and repriced 1,450,000 warrants from $0.15 to $0.075 and extended the expiration date to December 31, 2029. The Company recorded a loss of $651,628 in these exchanges.

 

Restricted Stock Units

 

The following schedule summarizes the changes in the Company’s restricted stock units:

 

   Number Of Shares   Weighted Average
Grant Date Fair Value		 
Three Months Ended March 31, 2025          
           
Outstanding at January 1, 2025   11,825,000   $0.09 
Granted   -   $0.08 
Vested   (5,000,000)  $- 
Forfeited   -   $- 
Outstanding at March 31, 2025   6,825,000   $0.08 
           
Three Months Ended December 31, 2026          
           
Outstanding at January 1, 2026   900,000   $0.09 
Granted   -   $- 
Vested   -   $- 
Forfeited   -   $- 
Outstanding at December 31, 2026   900,000   $0.09 

 

During the three months ended March 31, 2026 and 2025, the Company recognized $0 and $361,500 in expense related to the vesting of its restricted stock units. As of March 31, 2026, the Company had $121,170 worth of expense yet to be recognized for restricted stock units not yet vested.

 

 

During the three months ended March 31, 2025, 5,000,000 restricted stock units vested. The Company’s Omnibus Plan expired on December 31, 2025 and they are in process of forming a new plan, subject to shareholder approval. On January 1, 2026, the Company entered into a new employment agreement with their CEO that provides for a grant of 20,000,000 RSUs. These RSUs have not been issued as of the date of this report as the new Omnibus plan is yet to be approved.