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Give it up already. We're going in circles. From page 10 of the 10-Q...
I think BTZI is in a lot better shape than anyone expects and has been holding back some news for a bigger impact. A few months ago no one would have given OBTX much chance of succeedng either. We'll just have to wait and see.
Rest assured, I know what accumulated deficit and retained earnings are. I was following the accounting explanation in my post #475...
I almost forgot about this PR from early June...
EVERYTHING BLOCKCHAIN ANNOUNCES REVENUE AND EARNINGS FOR MAY, 2021
You still don't get it. They got the revenue from their programming/consulting services and invested the cash they got into crypto currencies or received payment of the amount invoiced in crypto on the day payment was made. On that day they received $1.081 million in value from a customer as payment for services not from appreciation of crypto. This shows as "Revenue From Services" on their Consolidated Statement of Operations (aka Income Statement). They ended the month with over $2 million in crypto assets as a result of appreciation and additional crypto purchases.
Been waiting for the news on Bots. I held off making a big investment in OBTX because I figured I got enough exposure to Everything Blockchain via my big Bots investment since they owned about half of the company. I was a bit bummed when Bots sold off half their investment.
Anyway, who/what is ATH?
Interesting possibility. It could explain their July 7, 2021 PR...
I did show it to you. You're just not paying attention, although the pps today should be proof enough. Look at the yellow on the Statement of Cash Flows...
Note that the revenue number from the Income statement is already included in the net profit number $767,000 at the top of the page. The Cash Flows From Investing Activities shows they spent $1,953,000 for "Acquisition of cryptocurrencies, net". On the Balance Sheet, this is added to the $214,000 in assets from the previous quarter to show "Total Current Assets" of $2,218,000 as of April 30, 2021. Again, this is a picture of their accounts on that day.
You can see the source for that valuation later in the 10-Q...
Their 250,000 Preferred shares of OBTX briefly almost reached $50,000,000 (2,500,000 common shares when converted at a high for the day of $19.90/share). The value is currently hovering around $30,000,000. I'd say that's a pretty good reason for the pps to spike.
Minor correction to post #504...
The gain from the sale of cryptocurrencies is included in "Other Revenue" of $72,000 not "Other Income" on the Consolidated Statemet of Operations"
People need to keep in mind that the Float for OBTX is only 745,601 shares. The total number of outstanding shares is only 7,459,126 (roughly 21 million shares if all the Preferreds were converted two years from now). It doesn't take much revenue to make their shares more valuable.
Their last reported earnings were $.13/share. That translates to a PE ratio of 51.5x ($6.70 / $.13). According to the Stern School of Business analysis of business statistics, the average current PE accross all business categories is 103.33x.
Applying that to OBTX, the company should be valued at roughly $13.43/share (103.33 x $.13).
If you use the average for Software (System & Application) which is 193.65x, OBTX would be priced at $25.17/share (193.65 x $.13)
Bots still owns 250,000 series B shares of OBTX which can convert to 2,500,000 common shares. However, voting control has shifted to Mike Hawkins via Overwatch Partners and Epic Industries which together own 150,000 shares of OBTX Series A Preferred stock that converts to 7,500,000 shares of common stock in two years but until then exercises 1,000 votes per share (i.e. 150,000,000 votes total). The Series B shares exercise 50 votes/share
There are currently
Common shares: 7,459,126
Plus the conversion value of:
150,000 Series A Preferred = 7,500,000 common shares at 50/1
650,000 Series B Preferred = 6,500,000 common shares at 10/1
Total common shares after conversion of preferreds = 21,459,126 shares
The Series A Preferreds automatically convert after 2 years. The Series B preferreds are not allowed to convert before 2 years after issuence.
Bot's currently owns about 11.7% of OBTX (2,500,000 shares/21,459,126 potential common shares)
LOL, From your lips to gods ears. How about presenting a legitimate basis/argument for that claim.
From...
OTCBB FAQ's
Bots announced their entry into bitcoin mining back on February 18 of this year. At the time they also announced an alliance with DMG Blockchain Solutions Inc....
Bots Inc issues purchase order to acquire one thousand next generation bitcoin miners for four million dollars expanding further into lucrative bitcoin mining business
There was a typo on point 3 of my last post. It should read...
I have nothing to base a revenue projection on at this point. We'll just have to wait and be surprised. Keep in mind that we're looking at annual revenue through 4/30/2021 and they had no revenue to report through the first three quarters of FY2021 as they were restructuring their business plan from Marijuana to Crypto and Blockchain. I'm not expecting much, if any, revenue for 4FQ21. It's more likely we'll see revenue on their next quarterly financial for 1FQ22 (thru July 31, 2021) due on September 14, 2021.
LOL an order for 2 machines is probably easier to fill than an order for 1,000. You can probably buy two from the inventory at your local elctronics store.
Their next financial is the annual 10-K. It's due July 29 with an extension available up to August 13.
They also had previously recorded losses in Crypto Assets that had lost value or become untradeable. The gains would have zeroed out those losses and any additional unrealized gain might be added to to the Deffered Revenue line on the balance sheet. However, if we take the quote from my post #475 literally and the offsetting entry is in the Equity section of the Balance sheet, it's more likely that it was applied against the Accumulated Deficit since previous crypto losses would have increased this category.
I have not had any contact with Paul or anyone at Bots for over 8 months. I have no inside information. For all you or I know, they could already be receiving patent revenue.
No news isn't necessarily bad news. For all you know they could be holding things close to the vest for competitive reasons or to make a big splash announcement. It's also possible that they've had trouble obtaining the necessary equipment. If so, it wouldn't be a big surprise. This was published January 22...
Bitcoin miners facing chip shortage amid skyrocketing demand
The answer to your question revolves around the treatment of an intangible asset with an indefinite life. Examples of Indefinite -life intangibles are goodwill, trademarks, and perpetual franchises. That is how the company treats its cryptocurrency assets. Such assets are re-evaluated at least annually (quarterly for OBTX). Loss of value is treated as an impairment. An increase would result in a reversal of impairment loss The following link gives a basic explanation of the concepts and accounting...
Intangible Asset Impairment
I'm not a CPA but it appears to me that when an invoice is produced, a sale is recorded and entered into accounts receivable as it normally would. When the recievable is paid in Crypto, they would have to record it as cash received, then it would be credited to Acquisition of Crypto Currencies (i.e. a subtraction) and debited to Current Cryptocurrency, Net (i.e. an addition). Keep in mind that something can be invoiced in one quarter and not paid until the following quarter.
Profit or Loss from the appreciation/depreciation of the crypto isn't realized or recorded in the financials until the crypto is sold. From the last 10-Q..
Read it again. It simply says that when they received let's say HEX as payment for an invoice of let's say $10,000, no matter what the cost was at any other point in time when they received the funds or what the cost was on any particular exchange, they recorded the cost basis of the HEX they received at the "definitive agreement" of the invoice amount (i.e. $10,000). When the transaction (sale) of the HEX occurred, they would use that cost basis for calculating their crypto sale revenue or loss posted on that transaction (sale) date.
As for the consulting and services revenue, $10,000 would have been recorded there on the date of the invoice and $10,000 would be added to accounts receivable until payment was received.
The quote doesn't say where the revenue or loss from the (cryto sale) transactions was recorded. I have shown you in post #463 that it was recorded as "Crypto Asset Sales Revenue". What seems to confuse you is that they only show $61,000 in that category. While they only show crypto sales revenue of $61,000, if you look at their balance sheet their crypto assets (e.g. HEX) grew from $123,000 to $2,073,000 last quarter. In other words, they received the HEX and didn't sell it. Hence no crypto sales revenue occurred, only asset growth. We also have no indication here of how much crypto was sold at a loss or written off as unsaleable and thus offset any gains.
They've conducted a two year pilot program. The pilot users, assuming they're satisfied, will probably now convert to regular customers and pay for the software (probably at a discount) and be used as demo sites.
Also note that the Cyber Security Group blog site seems to be pretty active with messages and members...
Cyber Security Group blog site
Nice of you to try to make up an explanation, unfortunately you're totally off the mark.
The warning about being careful to know which "BIT" your purchasing had nothing to do with Bots. First Bitcoin developed and issued the first coin using the name "BIT", long before they purchased Bots. Cryptocurrency has no regulatory body that negotiates or approves crypto names. Consequently, a number of other coins were later developed that also used "Bit" in their name. The warning is simply that, a warning to be careful that you're actually viewing, researching or buying their coin and not something else.
There's no reason they couldn't mine BIT coins with their own miners. There's no reference to their miners in that PR. This is total fabrication on your part. The section you highlighted points out that BIT (not to be confused with Bitcoin - BTC or Bit Rewards Token - also BIT) started out on it's own blockchain. If you bought BIT, the main way your investment grew was if you kept your wallet open and participated in the mining of new BIT coins (i.e. your investment grew with the value of BIT). Later, they added the ability to hold BIT coins on an Etherium blockchain (i.e. one bit was held as a fraction of an etherium coin). This not only allowed your investment to grow with the value of BIT, but also with the value of Etherium (ETH).
The PR provides instructions for converting from the original BIT blockchain to the Etherium (ETH) blockchain through Uniswap or Binance. Binance is not available in the US or UK.