Quarterly report pursuant to Section 13 or 15(d)

Note 2 - Restatement of Financial Statements (Details) - Schedule of Restatement of Financial Statements

v3.10.0.1
Note 2 - Restatement of Financial Statements (Details) - Schedule of Restatement of Financial Statements - USD ($)
 3 Months Ended 9 Months Ended
Jan. 17, 2018
May 31, 2018
Feb. 28, 2018
Nov. 30, 2017
May 31, 2017
May 31, 2018
May 31, 2017
Aug. 31, 2017
Error Corrections and Prior Period Adjustments Restatement [Line Items]                
Current assets - discontinued operations   $ 9,415       $ 9,415    
Total current assets   322,685       322,685   $ 16,324
Total Assets   322,685       322,685   16,324
Accounts payable and accrued liabilities   65,192       65,192   132,566
Derivative liability   2,160,805       2,160,805   312,878
Current liabilities - discontinued operations   17,235,997       17,235,997   0
Total current liabilities   19,714,161       19,714,161   1,199,198
Additional paid-in capital   3,349,808       3,349,808   1,852,743
Accumulated deficit   (22,821,772)       (22,821,772)   (3,108,472)
Total stockholders' equity (deficit)   (19,391,476)       (19,391,476)   (1,182,874)
Total liabilities and stockholders' equity (deficit)   322,685       322,685   $ 16,324
Interest expense   (366,791)     $ (274,693) (885,987) $ (658,758)  
Gain (loss) on restructuring of debt   1,172,993     0 1,027,260 0  
Gain (loss) on conversion of debt   (139,325)   $ (122,878) 0 (474,649) 0  
Change in fair value of derivative liability   (948,132)     (75,998) (1,489,748) (342,270)  
Total other income (expense), net   (281,255)     (350,691) (1,823,124) (1,001,028)  
Net loss from continuing operations   (520,764)     (465,671) (2,214,091) (1,421,384)  
Net income (loss) from discontinued operations   (17,499,209)     0 (17,499,209) 0  
Consolidated Net loss   $ (18,019,973)     $ (465,671) $ (19,713,300) $ (1,421,384)  
Net loss per share - continuing operations: basic and diluted (in Dollars per share)   $ (0.01)     $ (0.01) $ (0.03) $ (0.02)  
Net loss per share - discontinued operations: basic and diluted   $ (0.22)     $ (0.01) $ (0.22) $ (0.02)  
Weighted average shares outstanding - basic and diluted (in Shares)   79,683,842     77,875,973 79,039,656 77,816,280  
Net loss - continuing operations           $ (2,214,091) $ (1,421,384)  
Derivative expense $ (396,611)         1,937,428 342,270  
Amortization of discount on convertible debt           350,860 625,853  
Gain on note exchange   $ (1,172,993)     $ 0 (1,027,260) 0  
Loss on conversion of debt   139,325   122,878 $ 0 474,649 0  
Accounts payable and accrued liabilities           (267,756) 73,563  
Net cash used in operating activities - continuing operations           (705,211) (87,713)  
Net cash used in operating activities - discontinued operations           1,455 0  
Net increase in cash and cash equivalents           296,289 (8,713)  
Net increase in cash and cash equivalents           1,455 $ 0  
Previously Reported [Member]                
Error Corrections and Prior Period Adjustments Restatement [Line Items]                
Current assets - discontinued operations   3,897,293       3,897,293    
Total current assets   4,210,563       4,210,563    
Total Assets   4,210,563       4,210,563    
Accounts payable and accrued liabilities   182,726       182,726    
Derivative liability   880,192       880,192    
Current liabilities - discontinued operations   5,594,700       5,594,700    
Total current liabilities   6,909,785       6,909,785    
Additional paid-in capital   6,444,585       6,444,585    
Accumulated deficit   (9,224,295)       (9,224,295)    
Total stockholders' equity (deficit)   (2,699,222)       (2,699,222)    
Total liabilities and stockholders' equity (deficit)   4,210,563       4,210,563    
Interest expense   (797,258)       (1,702,312)    
Gain (loss) on restructuring of debt   10,226       149,549    
Gain (loss) on conversion of debt   0       0    
Change in fair value of derivative liability   (456,043)       (601,048)    
Total other income (expense), net   (1,243,075)       (2,153,811)    
Net loss from continuing operations   (1,482,586)       (2,544,780)    
Net income (loss) from discontinued operations   (3,571,043)       (3,571,043)    
Consolidated Net loss   $ (5,053,629)       $ (6,115,823)    
Net loss per share - continuing operations: basic and diluted (in Dollars per share)   $ (0.02)       $ (0.03)    
Net loss per share - discontinued operations: basic and diluted   $ (0.04)       $ (0.05)    
Weighted average shares outstanding - basic and diluted (in Shares)   79,683,842       79,039,656    
Net loss - continuing operations           $ (2,544,780)    
Derivative expense           1,056,966    
Amortization of discount on convertible debt           1,033,549    
Gain on note exchange   $ (10,226)       (149,549)    
Loss on conversion of debt   0       0    
Accounts payable and accrued liabilities           226,426    
Net cash used in operating activities - continuing operations           (336,429)    
Net cash used in operating activities - discontinued operations           (367,327)    
Restatement Adjustment [Member]                
Error Corrections and Prior Period Adjustments Restatement [Line Items]                
Current assets - discontinued operations [1]   (3,887,878)       (3,887,878)    
Total current assets [1]   (3,887,878)       (3,887,878)    
Total Assets [1]   (3,887,878)       (3,887,878)    
Accounts payable and accrued liabilities [2]   (117,534)       (117,534)    
Derivative liability [3]   1,280,613       1,280,613    
Current liabilities - discontinued operations [4]   11,641,297       11,641,297    
Total current liabilities [5]   12,804,376       12,804,376    
Additional paid-in capital [6]   (3,094,777)       (3,094,777)    
Accumulated deficit [7]   (13,597,477)       (13,597,477)    
Total stockholders' equity (deficit) [8]   (16,692,254)       (16,692,254)    
Total liabilities and stockholders' equity (deficit) [9]   (3,887,878)       (3,887,878)    
Interest expense   430,467 [10]       816,325 [11]    
Gain (loss) on restructuring of debt   1,162,767 [12]       877,711 [13],[14]    
Gain (loss) on conversion of debt   (139,325) [15]       (474,649) [16],[17]    
Change in fair value of derivative liability   (492,089) [18]       (888,700) [19]    
Total other income (expense), net   (961,820) [20]       (330,687) [21]    
Net loss from continuing operations   (961,820) [22]       (330,687) [23]    
Net income (loss) from discontinued operations [18]   (13,928,166)       (13,928,166)    
Consolidated Net loss [20]   $ (12,966,344)       $ (13,597,477)    
Net loss per share - continuing operations: basic and diluted (in Dollars per share)   $ (0.01)       $ (0.01)    
Net loss per share - discontinued operations: basic and diluted   $ (0.17)       $ (0.18)    
Weighted average shares outstanding - basic and diluted (in Shares)   0       0    
Net loss - continuing operations [23]           $ 330,689    
Derivative expense   $ (880,462) $ (259,491) $ (111,281)   880,462 [24]    
Amortization of discount on convertible debt [25]           (682,689)    
Gain on note exchange   (1,162,767) [12]       (877,711) [13],[14]    
Loss on conversion of debt   $ 139,325 [15]       474,649 [16],[17]    
Accounts payable and accrued liabilities [17]           (494,182)    
Net cash used in operating activities - continuing operations [26]           (368,782)    
Net cash used in operating activities - discontinued operations [26]           368,782    
Continuing Operations [Member]                
Error Corrections and Prior Period Adjustments Restatement [Line Items]                
Net increase in cash and cash equivalents           296,289    
Continuing Operations [Member] | Previously Reported [Member]                
Error Corrections and Prior Period Adjustments Restatement [Line Items]                
Net increase in cash and cash equivalents           665,071    
Continuing Operations [Member] | Restatement Adjustment [Member]                
Error Corrections and Prior Period Adjustments Restatement [Line Items]                
Net increase in cash and cash equivalents [26]           (368,782)    
Discontinued Operations [Member]                
Error Corrections and Prior Period Adjustments Restatement [Line Items]                
Net increase in cash and cash equivalents           1,455    
Discontinued Operations [Member] | Previously Reported [Member]                
Error Corrections and Prior Period Adjustments Restatement [Line Items]                
Net increase in cash and cash equivalents           (367,327)    
Discontinued Operations [Member] | Restatement Adjustment [Member]                
Error Corrections and Prior Period Adjustments Restatement [Line Items]                
Net increase in cash and cash equivalents [26]           $ 368,782    
[1] $3,887,878: Write-off of the balance of the note receivable related to discontinued operations recorded during the period ended May 31, 2018 in the financial statements as originally filed, not recorded during the period ended May 31, 2018 as amended.
[2] ($117,534): Accrued interest on the loan payable related to discontinued operations charged to continuing operations in the financial statements as originally filed, charged to discontinued operations in the financial statements as amended.
[3] $1,280,613: (i) $570,953: A derivative liability associated with a convertible note payable was charged to additional paid-in capital in the financial statements as originally filed, and charged to derivative liability in the financial statements as amended; (ii) $177,499: A derivative liability associated with the issuance of 500,000 warrants was not recorded in the financial statements as originally filed, and charged to derivative liability in the financial statements as amended; (iii) $532,161: mark to market of the derivative liability associated with 2,054,405 warrants not recorded in the financial statements as originally filed, charged to derivative liability in the financial statements as amended.
[4] $11,641,297: (i) $7,988,090: Fair value of derivative liabilities in connection with 25,000,000 warrants were charged to additional paid-in capital in the financial statements as originally filed, charged to derivative liability in the financial statements as amended; (ii) $3,535,673: Revaluation of the derivative liability associated with the 25,000,000 warrants not recorded in the financial statements as originally filed, charged to derivative liability in the financial statements as amended; (iii) $117,534: Accrued interest on the loan payable related to discontinued operations charged to continuing operations in the financial statements as originally filed, charged to discontinued operations as amended.
[5] $12,804,376: Net of (2), (3), and (4) above.
[6] $3,094,777: (i) $570,953: Fair value of the derivative liability associated with a convertible note payable was charged to additional paid-in capital in the financial statements as originally filed, and charged to derivative liability in the financial statements as amended; (ii) $7,988,090: Fair value of a derivative liability in connection with 25,000,000 warrants in the amount of was charged to additional paid-in capital in the financial statements as originally filed, and charged to derivative liability in the financial statements as amended; (iii) $6,387,081: Fair value of 15,000,000 warrants cancelled in August, 2018, charged to additional paid-in capital in the financial statements as originally filed; not recorded in the financial statements as amended; (iv) net effect of changes in connection with accounting for conversion of convertible notes payable and accrued interest to equity, and restructure of certain convertible notes: $922,815.
[7] $13,597,477: (i) $4,490,270 write-off of note receivable associated with discontinued operations in the amended financial statement, not in the financial statements as filed; (ii) $3,535,673 revaluation of derivative liability related to 25,000,000 warrants as of May 31, 2018 in the amended financial statements, not in the financial statements as originally filed; (iii) $177,499 derivative expense - excess value of the derivative liability associated with 500,000 warrants in the amended financial statements, not in the financial statements as originally filed; (iv) $532,161 mark to market 2,054,405 warrants in the amended financial statements, not in the financial statements as originally filed; (v) $602,392: revaluation of Bitcoin at August 21, 2018 made in original financial statements, not in amended financial statements; (vi) $6,387,081: gain on cancellation of 15,000,000 warrants recorded in the financial statements as originally filed, not in the amended financial statements; (vii) net effect of changes in connection with accounting for conversion of convertible notes payable and accrued interest to equity, and restructure of certain convertible notes: $922,815.
[8] $16,692,254: Net of (6) and (7) above.
[9] $3,887,878: Net of (5) and (8) above.
[10] $430,467: (i) $117,534 interest on note payable charged to continuing operations in the financial statements as originally filed, moved to discontinued operations in the amended financial statements; (ii) $177,499: derivative in excess of principal amount of note associated with 500,000 warrants in amended financial statements, not recorded in financial statements as originally filed; (iii) net effect of changes in connection with accounting for conversion of convertible notes payable and accrued interest to equity, and restructure of certain convertible notes: $490,432.
[11] $816,325: (i) $117,534 interest on note payable charged to continuing operations in the financial statements as originally filed, moved to discontinued operations in the amended financial statements; (ii) $177,499: derivative in excess of principal amount of note associated with 500,000 warrants in amended financial statements, not recorded in financial statements as originally filed; (iii) net effect of changes in connection with accounting for conversion of convertible notes payable and accrued interest to equity, and restructure of certain convertible notes: $876,290.
[12] $1,162,767: net effect of changes in connection with accounting for conversion of convertible notes payable and accrued interest to equity, and restructure of certain convertible notes: $1,162,767.
[13] $877,711: net effect of changes in connection with accounting for conversion of convertible notes payable and accrued interest to equity, and restructure of certain convertible notes: $877,711.
[14] $877,711: Net change attributable to accounting change for gain or loss due to conversion of convertible notes payable and accrued interest to equity, and restructure of certain convertible notes.
[15] $139,325: net effect of changes in connection with accounting for conversion of convertible notes payable and accrued interest to equity, and restructure of certain convertible notes: $139,325.
[16] $474,649: net effect of changes in connection with accounting for conversion of convertible notes payable and accrued interest to equity, and restructure of certain convertible notes: $474,649.
[17] $494,181: Amount transferred to discontinued operations in the financial statements as amended.
[18] $492,089: (i) $119,964 revaluation of derivative liability associated with 500,000 warrants in the amended financial statement, not in the financial statements as originally filed; (ii) $412,197 revaluation of derivative liability associated with 1,554,405 warrants in the amended financial statement, not in the financial statements as originally filed; (iii) net effect of changes in connection with accounting for conversion of convertible notes payable and accrued interest to equity, and restructure of certain convertible notes: $40,072.
[19] $888,700: (i) $119,964 revaluation of derivative liability associated with 500,000 warrants in the amended financial statement, not in the financial statements as originally filed; (ii) $412,197 revaluation of derivative liability associated with 1,554,405 warrants in the amended financial statement, not in the financial statements as originally filed; (iii) net effect of changes in connection with accounting for conversion of convertible notes payable and accrued interest to equity, and restructure of certain convertible notes: $356,539.
[20] $961,820: Net of (10), (11), (12), and (13) above.
[21] $330,687: Net of (10a), (11a), (12a), and (13a) above.
[22] $961,820: Same as (14) above.
[23] $330,687: Same as (15a) above.
[24] $880,462: (i) $111,281 revaluation of non-warrant derivative liabilities at 11.30.17; (ii) $259,491: revaluation of non-warrant derivative liabilities at 02.28.18; (iii) $119,964: $119,964 revaluation of derivative liability associated with 500,000 warrants in the amended financial statement, not in the financial statements as originally filed; (iv) $412,197: revaluation of derivative liability associated with 1,554,405 warrants in the amended financial statement, not in the financial statements as originally filed; derivative in excess of principal amount of note associated with 500,000 warrants in amended financial statements, not recorded in financial statements as originally filed; (v) $22,592: net change attributable to accounting change for gain or loss due to conversion of convertible notes payable and accrued interest to equity, and restructure of certain convertible notes.
[25] $682,689: Net change attributable to accounting change for gain or loss due to conversion of convertible notes payable and accrued interest to equity, and restructure of certain convertible notes.
[26] $368,782: Sum of (15a), (18), (19), (20), (21), and (22) above.