iQSTEL Inc (IQST)

[peterpanwasjusthere]

As a refresher per IQST's September 30, 2021 Form 10-Q:

NOTE 8 - STOCKHOLDERS' EQUITY
During the nine months ended September 30, 2021, the Company issued 45,878,526 shares of common stock, valued at fair market value on issuance as follows;
· 35,862,500 shares issued for cash of $3,586,250
· 2,230,394 shares, valued at $2,056,530, issued for settlement of debt of $1,516,667
· 1,260,000 shares issued to our management for compensation valued at $1,010,738
· 6,080,632 shares issued for conversion of debt of $422,295
· 195,000 shares for services valued at $284,700
· 250,000 shares for forbearance of debt valued at $49,925

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Without having access to the actual terms & conditions under which each of these common share allotments were issued, it's very difficult for me to have any clear or confident sense as to what lockup/restrictive provisions may be in effect to govern how these shares could be sold into the market other than guessing at possible volume caps based on percentage type governors. Also, since the OTC Markets website data currently shows 5,107,321 IQST common shares as "Restricted" (as of 4/4/22), I question how much of these ~46 million common shares balance remains held by the parties to whom they were issued vs is/has been getting sold into the public float.

Here's some what-if musings on my part, and this is pure speculation: Given IQST's daily trading volume tends to average in the one million shares per day range, if one assumes for the sake of this hypothetical exercise that there is a 5% volume cap of the volume per each trading session on the sale of these aforementioned ~46 million shares, then one could make a guess at a possible ~50,000+/- of these shares being sold into the public float on a daily basis. [Quick question - why has IQST's public float balance of 131,363,757 common shares not been updated on the OTC Markets website in almost a year?] If this guestimate is even close to accurate, that's over 900 trading sessions (assuming one million shares trading volume per day) for these shares to be absorbed into the market. Also, it could provide one possible explanation as to why IQST's share price appears weak on a more than occasional basis as it trades into the 4pm et close.

For me, getting significant institutional volume buying into IQST's common stock is critical for the share price to move substantially north and wash away the drag of these cheap shares (eg, 10 cents basis for many). I've highlighted this point multiple times before. I have zero insights into what IQST management is working on behind the scenes to potentially set the table for a wave of hopeful institutional buying in scale, but I hope and pray it's happening in an effective manner. Without this, I struggle to understand how the stock price moves north to the $2+ NASDAQ zip code we all long for without another possible year or two of trading given current retail investor appetite.

A material/sizeable purchase of Company stock (ie, over a million+ shares) by Leandro and/or other members of IQST's executive team would make a strong statement to the market and potentially change the buyside dynamics currently in play. There are reference points in the current market environment to support this suggestion. I would hope the IQST C-Suite officers would give this serious consideration.

Just some random musings as I await IQST's 2021 year end Form 10-K.