UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

~~[X]~~ ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES ~~EXCHANGE ACT OF 1934~~

~~For~~EXCHANGE ACT ~~the~~OF ~~quarterly~~1934 ~~period ended December 31, 2020~~

For the quarterly period ended June 30, 2021

~~[ ]~~ ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES ~~EXCHANGE ACT OF 1934~~

EXCHANGE ACT OF 1934

For the transition period from: _____________ to _____________

KYTO TECHNOLOGY AND LIFE SCIENCE, INC.

(Exact name of registrant as specified in its charter)

DELAWARE	000-50390	65-1086538
(State or Other Jurisdiction	(Commission	(I.R.S. Employer
of Incorporation)	File Number)	Identification No.)

13050 Paloma Road, Los Altos Hills, CA 94022 (Address of Principal Executive Office) (Zip Code) (650) 204 7896 (Registrant’s telephone number, including area code) (Former name, former address and former fiscal year, if changed since last report)

(Address of Principal Executive Office) (Zip Code)

(650) 204 7896

(Registrant’s telephone number, including area code)

(Former name, former address and former fiscal year, if changed since last report)

Title of each class		Trading Symbol		Exchange
Common stock		KBPH		OTC QB

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. ~~[X]~~☒ Yes ~~[ ]~~☐ No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (ss. 232.405 of this chapter) during the preceding 12 (or for such shorter period that the registrant was required to submit such files). ~~[X]~~ ☐Yes ~~[ ]~~☒ No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and "“emerging growth company"” in Rule 12b-2 of the Exchange Act.

Large accelerated filer [☐ ] Accelerated filer [☐ ] Non-accelerated filer [☐ ] Smaller reporting company ~~[X]~~☒ Emerging growth company ~~[ ]~~☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ~~[ ]~~ ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). ~~[ ]~~☐ Yes ~~[X]~~☒ No

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.

913,~~801~~287,~~832~~621 Common Shares - $.01 Par Value - as of September 28, 2021

Common Shares - $.01 Par Value - as of February 12, 2021

KYTO Technology and Life Science, Inc.

For the quarterly period ended ~~December~~June 3130, ~~2020~~2021

INDEX

	PART I. FINANCIAL INFORMATION
Item 1.	Financial Statements	3
	Condensed Balance Sheets as of December 31, 2020 (Unaudited) and March 31, 2020	3
	Condensed Statements of Asset and Liabilities as of June 30, 2021 (Unaudited) and March 31, 2021	3
	Unaudited Condensed Statements of Operations for the Three and Nine Months Ended December 31, 2020 and 2019	4
	Unaudited Condensed Statements of Operations for the Three Months Ended June 30, 2021 and 2020	4
	Unaudited Condensed Statements of Changes in Net Assets for the Three and Nine Months Ended December 31, 2020 and 2019	5
	Unaudited Condensed Statements of Changes in Net Assets for the Three Months Ended June 30, 2021 and 2020	5
	Unaudited Condensed Statements of Cash Flows for the Nine Months Ended December 31, 2020 and 2019	7
	Unaudited Condensed Statements of Cash Flows for the Three Months Ended June 30, 2021 and 2020	6
	Schedule of Investments as of December 31, 2020 (Unaudited) and March 31, 2020	8
	Condensed Schedule of Investments as of June 30, 2021 (Unaudited) and March 31, 2021	7
	Notes to Unaudited Condensed Financial Statements	10
	Notes to Unaudited Interim Condensed Financial Statements	12
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations.	2325
Item 3.	Quantitative and Qualitative Disclosures About Market Risk.	2629
Item 4.	Controls and Procedures.	2629
	PART II. OTHER INFORMATION
Item 1.	Legal Proceedings.	2730
Item 1A.	Risk Factors.	2730
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds.	2730
Item 3.	Defaults Upon Senior Securities.	2730
Item 4.	Mine Safety Disclosures	2730
Item 5.	Other Information	2730
Item 6.	Exhibits	2930
	Signatures	32

~~ITEM~~PART I 1.- FINANCIAL ~~STATEMENTS~~INFORMATION

~~PART~~ITEM I1. - FINANCIAL ~~INFORMATION~~STATEMENTS

Kyto Technology and Life Science, Inc.

Condensed Statements ~~Balance~~of ~~Sheets~~Assets and Liabilities

		December 31,		March 31,
		June 30,			March 31,
		2020		2020
		2021			2021
		(Unaudited)
ASSETS
Current Assets
Investments at fair value (cost of $6,952,145 and $5,686,545, respectively)		$	8,140,007		$	6,821,407
Cash	$	~~563,795~~	$481,506	~~33,756~~		1,437,868
Receivables		-		500
Deferred offering costs			170,889			169,891
Deferred fundraising expenses		36,409		-
Total Assets		$	8,792,402		$	8,429,166
Investments		5,882,441		2,665,499
LIABILITIES
Total Assets	$	6,482,645	$	2,699,755
Liabilities
LIABILITIES AND NET ASSETS
Accounts payable and accrued liabilities		$	182,951		$	193,141
Current Liabilities
Accrued liabilities - related parties			72,205			51,420
Accounts payable & accrued liabilities	$	75,102	$	26,394
Common stock subscription liability			-			1,191,442
Accrued liabilities & loans - related party		8,000		5,750
Total Liabilities			255,156			1,436,003
Total Current Liabilities		83,102		32,144
Commitments and Contingencies (Note 3)
Commitments and Contingencies		-		-
Net Assets
NET ASSETS
Preferred stock authorized but not designated, $.01 par value 19,800,000 shares, none issued and outstanding as of June 30, 2021 and March 31, 2021, respectively			-			-
Preferred stock authorized but not designated, $.01 par value
Series A preferred convertible stock, $.01 par value, 4,200,000 shares designated, 4,200,000 issued and outstanding as of June 30, 2021 and March 31, 2021, respectively			42,001			42,001
19,800,000 shares, none issued and outstanding as of
Series B preferred convertible stock, $0.01 par value, 6,000,000 shares designated, 4,320,156 and 3,628,906 issued and outstanding as of June 30, 2021 and March 31, 2021, respectively			43,202			36,289
December 31, 2020 and March 31, 2020		-		-
Common stock, $.01 par value, 40,000,000 shares authorized, 13,268,871 and 9,983,082 issued and outstanding as of June 30, 2021 and March 31 2021, respectively			132,689			99,831
Series A preferred convertible stock, $.01 par value, 4,200,000 shares
Additional paid-in capital			41,610,332			39,772,228
designated, 4,200,000 issued and outstanding
Accumulated deficit			(33,290,978	)		(32,957,186	)
as of December 31, 2020 and March 31, 2020		42,001		42,001
Total Net Assets			8,537,246			6,993,163
Series B preferred convertible stock, $0.01 par value, 6,000,000 shares
Total Liabilities and Net Assets		$	8,792,402		$	8,429,166
designated, 3,091,406 and 812,500 issued and outstanding as of
December 31, 2020 and March 31, 2020, respectively		30,914		8,125
Common stock, $.01 par value, 40,000,000 shares
authorized, 9,801,832 issued and outstanding as of
December 31, 2020 and March 31, 2020, respectively		98,018		58,368
Additional paid-in capital		39,337,610		35,943,369
Accumulated deficit		(33,109,000)		(33,384,252)
Total net assets		6,399,543		2,667,611
Total liabilities and net assets	$	6,482,645	$	2,699,755
The accompanying notes are an integral part of these unaudited condensed financial statements.

3The accompanying notes are an integral part of these condensed interim financial statements.

~~Kyto Technology and Life Science, Inc.~~3

~~Condensed~~Kyto Technology ~~Statements~~and ofLife ~~Operations~~Science, Inc.

~~(Unaudited)~~Condensed Statements of Operations

		For the Three months ended December 31,				For the Nine months ended December 31,
		2020		2019		2020		2019
INVESTMENT INCOME
Interest on bank accounts	$	5	$	-	$	5	$	-
Other interest and other income		-		9,000		500		17,950
Total investment income		5		9,000		505		17,950
EXPENSES
Management Fees		-		-		-		-
Interest expense		-		-		-		-
Banking and professional fees		91,669		9,063		168,212		38,015
Other operating expenses		241,047		90,242		363,983		331,191
Total expenses		332,716		99,305		532,195		369,206
Net investment loss		(332,711)		(90,305)		(531,690)		(351,256)
Net realized gain (loss) from investment		-		-		-		-
Net change in unrealized gain (loss) from investment		328,694		-		806,942		(61,046)
Net change in unrealized gain (loss) from hedging activities		-		-		-		-
Net realized and change in unrealized gain (loss) from investment and hedging activities	$	328,694	$	-	$	806,942	$	(61,046)
Net increase (decrease) in net assets resulting from operations	$	(4,017)	$	(90,305)	$	275,252	$	(412,302)
Basic earnings per share
Net increase (decrease) in net assets resulting from operations per share	$	(0.00)	$	(0.02)	$	0.04	$	(0.07)
Weighted average shares outstanding		8,528,007		5,836,832		6,737,152		5,836,832
Fully diluted earnings per share
Not calculated where result is anti dilutive
Net increase (decrease) in net assets resulting from operations per share	$	-	$	-	$	0.02	$	-
Weighted average shares outstanding		-		-		17,142,683		-
The accompanying notes are an integral part of these unaudited condensed financial statements.

(Unaudited)

	For the three months ended June 30,
	2021			2020
INVESTMENT INCOME

Interest and other income	$	-		$	-

Total investment income		-			-

EXPENSES
Professional fees		166,954			12,938
Other operating expenses		219,838			25,930

Total expenses		386,792			38,868

Net investment loss		(386,792	)		(38,868	)

Net change in unrealized gain from investments		53,000			-

Net decrease in net assets resulting from operations	$	(333,792	)	$	(38,868	)

Loss per Common Share, Basic and Fully diluted
Net decrease in net assets resulting from operations per common share	$	(0.03	)	$	(0.01	)

Weighted average common shares outstanding		13,268,871			5,836,832

~~Kyto~~The accompanying ~~Technology~~notes ~~and~~are ~~Life~~an ~~Science,~~integral ~~Inc~~part of these condensed interim financial statements.

~~Condensed Statements of Changes in Net Assets for the Three months and Nine months ended December 31, 2020~~4

~~(Unaudited)~~Kyto Technology and Life Science, Inc.

	Preferred A	Preferred A Stock		Preferred B		Preferred B Stock		Common		Common Stock		Additional Paid-in		Accumulated
	Stock #	Amount		Stock #		Amount		Stock #		Amount		Capital		Deficit		Total
Balance, September 30, 2020	4,200,000	$	42,001		2,337,500	$	23,375		5,836,832	$	58,368	$	37,211,970	$	(33,104,983)	$	4,230,731
Net investment loss	-		-		-		-		-		-		-		(332,711)		(332,711)
Net realized loss from investment	-		-		-		-		-		-		-		-		-
Net change in unrealized loss from investment	-		-		-		-		-		-		-		328,694		328,694
Net change in unrealized loss from hedging activities	-		-		-		-		-		-		-		-		-
Dividends and distributions	-		-		-		-		-		-		-		-		-
Sale of Series B Preferred stock at $0.80 per share	-		-		753,906		7,539		-		-		595,586		-		603,125
Common stock issued for warrants and options exercise	-		-		-		-		3,965,000		39,650		1,526,580		-		1,566,230
Compensation expense on stock options	-		-		-		-		-		-		3,474		-		3,474
Balance, December 31, 2020	4,200,000	$	42,001		3,091,406	$	30,914		9,801,832	$	98,018	$	39,337,610	$	(33,109,000)	$	6,399,543
Balance, March 31, 2020	4,200,000	$	42,001		812,500	$	8,125		5,836,832	$	58,368	$	35,943,369	$	(33,384,252)	$	2,667,611
Net investment loss	-		-		-		-		-		-		-		(531,690)		(531,690)
Net realized loss from investment	-		-		-		-		-		-		-		-		-
Net change in unrealized gain from investment	-		-		-		-		-		-		-		806,942		806,942
Net change in unrealized loss from hedging activities	-		-		-		-		-		-		-		-		-
Dividends and distributions	-		-		-		-		-		-		-		-		-
Sale of Series B Preferred stock at $0.80 per share	-		-		2,278,906		22,789		-		-		1,850,336		-		1,873,125
Common stock issued for warrants and options exercise	-		-		-		-		3,965,000		39,650		1,526,579		-		1,566,229
Compensation expense on stock options	-		-		-		-		-		-		17,326		-		17,326
Balance, December 31, 2020	4,200,000	$	42,001		3,091,406	$	30,914		9,801,832	$	98,018	$	39,337,610	$	(33,109,000)	$	6,399,543
The accompanying notes are an integral part of these unaudited condensed financial statements.

Condensed Statements of Changes in Net Assets

5( Unaudited)

Kyto Technology and Life Science, Inc.

			Preferred A				Preferred B				Common		Additional
	Preferred A		Stock		Preferred B		Stock		Common		Stock		Paid-in		Accumulated
	Shares		Amount		Shares		Amount		Shares		Amount		Capital		Deficit			Total
Balance, March 31, 2020		4,200,000	$	42,001		812,500	$	8,125		5,836,832	$	58,368	$	35,943,369	$	(33,384,252	)	$	2,667,611
Net decrease in net assets resulting from operations																(38,868	)		(38,868	)
Sale of Series B Preferred stock at $0.80 per share						468,750		4,063						370,937					375,000
Compensation expense from stock options														1,048					1,048

Balance, June 30, 2020		4,200,000	$	42,001		1,281,250	$	12,188		5,836,832	$	58,368	$	36,315,354	$	(33,423,120	)	$	3,004,791

Balance, March 31, 2021		4,200,000	$	42,001		3,628,906	$	36,289		9,983,082	$	99,831	$	39,772,228	$	(32,957,186	)	$	6,993,163
Net decrease in net assets resulting from operations																(333,792	)		(333,792	)
Sale of Series B Preferred stock at $0.80 per share						691,250		6,913						546,089					553,002
Sale of common stock at $0.40 per share										3,285,789		32,858		1,281,458					1,314,316
Compensation expense from stock options														10,557					10,557

Balance, June 30, 2021		4,200,000	$	42,001		4,320,156	$	43,202		13,268,871	$	132,689	$	41,610,332	$	(33,290,978	)	$	8,537,246

~~Condensed~~The accompanying ~~Statements~~notes ofare ~~Changes~~an inintegral ~~Net~~part ~~Assets~~of ~~for~~these ~~the~~condensed ~~Three~~interim ~~months~~financial ~~and Nine months ended December 31, 2019~~statements.

~~(Unaudited)~~5

	Preferred A	Preferred A Stock		Preferred B		Preferred B Stock		Common		Common Stock		Additional Paid-in		Accumulated
	Stock #	Amount		Stock #		Amount		Stock #		Amount		Capital		Deficit		Total
Balance, September 30, 2019	4,200,000	$	42,000		-	$	-		5,836,832	$	58,368	$	35,344,318	$	(32,932,850)	$	2,511,836
Net investment loss	-		-		-		-		-		-		-		(90,305)		(90,305)
Net realized loss from investment	-		-		-		-		-		-		-		-		-
Net change in unrealized loss from investment	-		-		-		-		-		-		-		-		-
Net change in unrealized loss from hedging activities	-		-		-		-		-		-		-		-		-
Dividends and distributions	-		-		-		-		-		-		-		-		-
Sale of Series B Preferred stock at $0.80 per share	-		-		531,250		5,313		-		-		419,687		-		425,000
Compensation expense on stock options	-		-		-		-		-		-		6,168		-		6,168
Balance, December 31, 2019	4,200,000	$	42,000		531,250	$	5,313		5,836,832	$	58,368	$	35,770,173	$	(33,023,155)	$	2,852,699
Balance, March 31, 2019	2,612,500	$	26,125		-	$	-		5,836,832	$	58,368	$	34,090,092	$	(32,610,853)	$	1,563,732
Net investment loss	-		-		-		-		-		-		-		(351,256)		(351,256)
Net realized loss from investment	-		-		-		-		-		-		-		-		-
Net change in unrealized loss from investment	-		-		-		-		-		-		-		(61,046)		(61,046)
Net change in unrealized loss from hedging activities	-		-		-		-		-		-		-		-		-
Dividends and distributions	-		-		-		-		-		-		-		-		-
Sale of Series A Preferred stock at $0.80 per share	1,587,500		15,875		-		-		-		-		1,254,125		-		1,270,000
Sale of Series B Preferred stock at $0.80 per share	-		-		531,250		5,313		-		-		419,687		-		425,000
Compensation expense on stock options	-		-		-				-		-		6,269		-		6,269
Balance, December 31, 2019	4,200,000	$	42,000		531,250	$	5,313		5,836,832	$	58,368	$	35,770,173	$	(33,023,155)	$	2,852,699
The accompanying notes are an integral part of these unaudited condensed financial statements.

Kyto Technology and Life Science, Inc.

6Condensed Statements of Cash Flows

~~Kyto Technology and Life Science, Inc.~~(Unaudited)

Condensed Statements of Cash Flows

	Three months ended June 30,
	2021			2020

Operating activities:
Net decrease in net assets resulting from operations	$	(333,792	)	$	(38,868	)
Adjustments to reconcile net decrease in net assets resulting from operations to net cash used in operating activities
Net change in unrealized gain on investments		(53,000	)		-
Stock option compensation expenses		10,557			1,048
Change in operating assets and liabilities
Other current assets		-			500
Deferred fundraising expenses		(998	)		-
Accounts payable and accrued liabilities		(10,190	)		2,643
Accrued liabilities to related parties		20,785			2,250
Purchase of investments		(1,265,600	)		(250,000	)
Net cash used in operating activities		(1,632,238	)		(282,427	)

Cash flows from financing activities:
Sale of Common Stock		122,874			-
Sale of Series B Preferred stock		553,002			375,000
Net cash provided by financing activities		675,876			375,000

Net increase/(decrease) in cash		(956,362	)		92,573
Cash, beginning of period		1,437,868			33,756

Cash, end of period	$	481,506		$	126,329

Supplemental cash flow information
Interest paid	$	-		$	-
Taxes paid	$	800		$	800
Supplemental schedule of noncash financing activities:
Conversion of common stock subscription liability to common stock	$	1,191,442		$	-

~~(Unaudited)~~The accompanying notes are an integral part of these condensed interim financial statements.

		For the nine months ended		For the nine months ended
		December 31, 2020		December 31, 2019
CASH FLOW FROM OPERATING ACTIVITIES
Net increase (decrease) in net assets resulting from operations	$	275,252	$	(412,302)
Adjustments to reconcile net increase (decrease) in net assets resulting
from operations to net cash used in operating activities
Net change in unrealized (gain) loss on investments		(806,942)		61,046
Option compensation expense		17,326		6,269
Changes in operating assets and liabilities
Receivables		500		(5,000)
Investments		(2,410,000)		(803,497)
Accounts payable and accrued liabilities		47,708		38,547
Net cash used in operating activities		(2,876,156)		(1,114,937)
CASH FLOW FROM INVESTING ACTIVITIES
Net cash provided used in investing activities		-		-
CASH FLOW FROM FINANCING ACTIVITIES
Sale of common stock from exercise of warrants and options		1,566,229		-
Deferred fundraising expenses		(36,409)		(256,174)
Proceeds from sales of Series A Preferred stock		-		1,270,000
Proceeds from sales of Series B Preferred stock		1,873,125		425,000
Receipt of SBA loan		1,000		-
Advances from related party		2,250		1,175
Net cash provided by financing activities		3,406,195		1,440,001
Net increase in cash		530,039		325,064
Cash at beginning of period		33,756		93,634
Cash at end of period	$	563,795	$	418,698
Supplemental Cash Flow Information:
Interest Paid	$	-	$	-
Taxes Paid	$	800	$	800
Supplemental disclosure of non-cash investing and financing activities	$	-	$	-
The accompanying notes are an integral part of these unaudited condensed financial statements.

7Kyto Technology and Life Science, Inc.

~~Kyto~~Condensed Schedule ~~Technology~~of ~~and~~Investments ~~Life~~as ~~Science~~of ~~Inc~~June 30, 2021

~~Condensed schedule of investments~~(Unaudited)

As at December 31, 2020

Portfolio Company	Industry	Investment	Cost		Fair value		% of net assets (a)
Convertible loan investments
Abfero Pharmaceuticals Inc	Life science	Convertible Note, 6% due, December 2022	$	100,000	$	101,118		1.2	%
Achelios Therapeutics Inc.	Life science	Convertible Note, 8% due, December 2021		100,000		123,167		1.4	%
Achelios Therapeutics Inc.	Life science	Convertible Note, 8% due December 2021		25,000		29,532		0.3	%
Achelios Therapeutics Inc.	Life science	Convertible Note, 8% due December 2021		50,000		55,578		0.7	%
Achelios Therapeutics Inc.	Life science	Convertible Note Sidecar, 25% discount. No interest		50,000		50,000		0.6	%
AOA DX Inc	Life science	Convertible Note, 4%, due May 2024		100,000		100,559		1.2	%
Avisi Technologies Inc	Life science	Convertible Note, 8% due July 2022		50,000		53,671		0.6	%
Basepaws Inc	Life science	Convertible Note, 1% due April 2020		50,000		162,444		1.9	%
Beam Semiconductor Inc	Technology	Convertible Note, 8% due April 2022		150,000		174,033		2.0	%
Beam Semiconductor Inc	Technology	Convertible Note, 8% due March 2021		50,000		55,282		0.6	%
Beam Semiconductor Inc	Technology	Convertible Note, 8% due March 2022		100,000		101,688		1.2	%
Corinnova Inc	Life science	Convertible Note, 6% due December 2024		100,000		103,699		1.2	%
Cyberdontics Inc	Life science	Convertible Note, 8% due September 2022		30,000		34,366		0.4	%
Cyberdontics Inc	Life science	Convertible Note, 8% due February 2023		35,000		38,751		0.5	%
Cyberdontics Inc	Life science	Convertible Note, 0% no due date		35,000		36,995		0.4	%
Deep Blue Medical Advances Inc	Life science	Convertible Note, 6% due June 2022		50,000		51,595		0.6	%
Every Key Inc	Technology	Convertible Note, 5% due December 2023		100,000		107,767		1.3	%
Identical Inc	Life science	Convertible Note, 2% due May 2022		100,000		101,271		1.2	%
INBay Technology Inc	Technology	Convertible Note, 12% due October 2020		50,000		66,077		0.8	%
INBay Technology Inc	Technology	Convertible Note, 12% due July 2021		30,000		37,121		0.4	%
INBay Technology Inc	Technology	Convertible Note, 12% due February 2022		50,000		58,137		0.7	%
INBay Technology Inc	Technology	Convertible Note, 12% due December 2022		40,000		42,748		0.5	%
INBay Technology Inc	Technology	Convertible Note, 12% due December 2023		50,000		51,414		0.6	%
Iris R&D Group Inc	Technology	Convertible Note, 8% May 2023		50,000		50,438		0.6	%
Kiana Analytics Inc	Technology	Convertible Note, 3% December 2022		100,000		101,570		1.2	%
Kitotech Medical Inc	Life science	Convertible Note, 6% due December 2020		100,000		244,629		2.9	%
Kitotech Medical Inc	Life science	Convertible Note, 6% due November 2022		75,000		84,761		1.0	%
Lifewave Biomedical Inc	Life science	Convertible Note, 6% due December 2020		30,000		33,279		0.4	%
Lifewave Biomedical Inc	Life science	Convertible Note, 6% due December 2020		70,000		75,857		0.9	%
Lifewave Biomedical Inc	Life science	Convertible Note, 6% due December 2021		50,000		50,403		0.6	%
mmTron Inc	Technology	Convertible Note, 4% due April 2023		100,000		100,022		1.2	%
Navaux Inc	Life science	Convertible Note, 6% due December 2023		60,000		61,933		0.7	%
Neuro42 Inc.	Life science	Convertible Note, 8% due December 2023		50,000		51,556		0.6	%
Octagon Therapeutics Inc	Life science	Convertible Note, 5% due June 2021		50,000		51,719		0.6	%
Octagon Therapeutics Inc	Life science	Convertible Note, 5% due June 2021		50,000		51,589		0.6	%
Perikinetics Inc	Life science	Convertible Note, 6% due May 2022		100,000		103,814		1.2	%
Preview Medical Inc	Life science	Convertible Note, 7% due January 2023		100,000		103,184		1.2	%
SageMedic Corp	Life science	Convertible Note, 8% April 2021 plus warrants		50,000		58,877		0.7	%
SageMedic Corp	Life science	Convertible Note, 8% December 2022 plus warrants		75,000		78,436		0.9	%
Sensing Electromagnetic Plus Corp	Technology	Convertible Note, Fully reserved		50,000		1		0.0	%
Sensing Electromagnetic Plus Corp	Technology	Convertible Note, Fully reserved		11,048		1		0.0	%
Single Pass Inc	Life science	Convertible Note, 6% April 2024		50,000		50,214		0.6	%
Valfix Medical Inc	Life science	Convertible Note, 8% December 2021		50,000		53,507		0.6	%
Xpan Inc	Life science	Convertible Note, 8% due March 2022		50,000		55,293		0.6	%
Xpan Inc	Life science	Convertible Note, 8% due June 2022		25,000		27,044		0.3	%
Xpan Inc	Life science	Convertible Note, 8% due June 2022		25,000		27,035		0.3	%
Total convertible loan investments			$	2,866,048	$	3,252,175		38.1	%
United States			$	2,046,048	$	2,342,246		27.4	%
Canada				470,000		525,419		6.2	%
Rest of World				350,000		384,510		4.5	%
Total convertible loan investments			$	2,866,048	$	3,252,175		38.1	%

	Portfolio Company	Industry	Investment	Approx % Ownership	Cost	Fair value	% of net assets (a)
SAFE investments - not readily marketable
	Mitre Medical Corp	Life science	SAFE	0.6%	$ 75,000	$ 75,000	1.2%
	Mitre Medical Corp	Life science	SAFE	0.3%	50,000	50,000	0.8%
	Orion Biotechnology Inc.	Life science	SAFE	2.0%	100,000	100,000	1.6%
Total SAFE investments - not readily marketable					$225,000	$225,000	3.5%
Preferred investments - not readily marketable
	Altis Biosystems	Life science	Series Seed-1 Preferred	0.6%	$ 50,000	$ 50,000	0.8%
	Astrocyte Pharmaceuticals Inc	Life science	Series A Preferred	1.0%	100,000	100,000	1.6%
	Cnote Group, Inc	Fintech	Series Seed Preferred	0.5%	51,500	59,783	0.9%
	Cnote Group, Inc	Fintech	Series Seed Preferred	0.6%	50,000	66,247	1.0%
	Colabs Inc	Life science	Series A Preferred	0.5%	50,000	50,000	0.8%
	Deep Blue Medical Advances Inc	Life science	Series A Preferred	1.0%	49,997	49,997	0.8%
	Eumentis Thereapeutics Inc	Life science	Series A Preferred	1.0%	100,000	100,000	1.6%
	FemtoDX Inc	Life science	Series A Preferred	0.5%	100,000	100,000	1.6%
	i-Lumen Scientific Inc.	Life science	Series A Preferred	0.4%	50,000	50,000	0.8%
	i-Lumen Scientific Inc.	Life science	Series A Preferred	0.4%	50,000	50,000	0.8%
	Inhalon Biopharma Inc	Life science	Series Seed Preferred	1.0%	99,997	99,997	1.6%
	Light Line Medical Inc	Life science	Series Seed Preferred	0.4%	25,000	25,000	0.4%
	Lowell Therapeutics Inc	Life science	Series A preferred	0.5%	50,000	50,000	0.8%
	Lowell Therapeutics Inc	Life science	Series A preferred	0.5%	50,000	50,000	0.8%
	Micronic Technologies Inc	Technology	Series Seed preferred	2.3%	100,000	100,000	1.6%
	Neuroflow Inc	Life science	Series Seed -2 Preferred	1.0%	150,000	150,000	2.3%
	New View Surgical, Inc.	Life science	Series A-1 Preferred	0.7%	75,000	75,000	1.2%
	Otomagnetics Inc	Life science	Series A-1 Preferred	0.1%	100,000	100,000	1.6%
	Promaxo, Inc.	Life science	Series B-1 Preferred	0.8%	250,000	531,738	8.3%
	Seal Rock Therapeutics, Inc.	Life science	Series Seed Preferred	0.6%	78,000	80,329	1.3%
	Shyft (FKA Crater Group Inc)	Technology	Series Seed Preferred	0.5%	51,500	97,940	1.5%
	Shyft (FKA Crater Group Inc)	Technology	Series A-2 Preferred	0.3%	50,000	64,626	1.0%
	Shyft (FKA Crater Group Inc)	Technology	Series A-1 Preferred	0.3%	50,000	50,000	0.8%
	Trellis Bioscience LLC	Life science	Series B Preferred	0.3%	50,000	50,000	0.8%
	Trellis Bioscience LLC	Life science	Series B Preferred	0.3%	50,000	50,000	0.8%
	Trellis Bioscience LLC	Life science	Series B Preferred	0.7%	100,000	100,000	1.6%
	Valfix Medical Inc	Life science	Series Seed Preferred	0.3%	50,000	50,000	0.8%
	Visgenx Inc	Life science	Series Seed Preferred	0.8%	30,000	30,778	0.5%
	Visgenx Inc	Life science	Series Seed Preferred	0.6%	25,000	25,648	0.4%
	Visgenx Inc	Life science	Series Seed Preferred	0.4%	15,003	15,392	0.2%
Preferred investments - not readily marketable					$2,100,997	$2,472,475	38.6%
Common stock investments - not readily marketable
	BendaRX Corp.	Life science	Common shares	0.1%	$100,000	$150,000	2.3%
	BendaRX Corp.	Life science	Common shares	0.1%	100,000	150,000	2.3%
	Boardwalk Tech	Technology	Common Stock	0.5%	73,500	91,995	1.4%
Total common stock investments - not readily marketable					$273,500	$391,995	6.1%
Other investments - not readily marketable
	Enduralock LLC	Technology	Ownership Units	0.3%	$ 30,000	$ 30,000	0.5%
	Enduralock LLC	Technology	Ownership Units	0.3%	35,000	35,000	0.5%
	Exodos Life Sciences LP	Life science	Ownership Units	1.5%	206,000	206,000	3.2%
	Green Sun Medical LLC	Life science	Ownership units	1.3%	50,000	50,000	0.8%
	Green Sun Medical LLC	Life science	Ownership units	0.6%	25,000	25,000	0.4%
	Green Sun Medical LLC	Life science	Ownership units	0.6%	25,000	25,000	0.4%
Total other investments - not readily marketable					$371,000	$371,000	5.8%

Continued on next page

8The accompanying notes are an integral part of these condensed interim financial statements.

~~Kyto Technology and Lif Science Inc~~7

~~Condensed~~Continued ~~schedule~~from ofprevious ~~investments~~page

AsKyto Technology atand ~~December~~Life 31Science, ~~2020 - continued~~Inc.

	Portfolio Company	Industry	Investment	Approx % Ownership	Cost	Fair value	% of net assets (a)
Convertible loan investments - not readily marketable
	Achelios Therapeutics Inc.	Life science	Convertible Note	2.5%	$ 100,000	$ 119,200	1.9%
	Achelios Therapeutics Inc.	Life science	Convertible Note	0.5%	25,000	28,540	0.4%
	Achelios Therapeutics Inc.	Life science	Convertible Note	1.3%	50,000	53,595	0.8%
	Avisi Technologies Inc	Life science	Convertible Note	1.0%	50,000	51,688	0.8%
	Basepaws Inc	Life science	Convertible Note	1.1%	50,000	184,418	2.9%
	Beam Semiconductor Inc	Technology	Convertible Note	1.0%	150,000	168,082	2.6%
	Beam Semiconductor Inc	Technology	Convertible Note	0.3%	50,000	53,299	0.8%
	Corinnova Inc	Life science	Convertible Note	0.7%	100,000	100,838	1.6%
	Cyberdontics Inc	Life science	Convertible Note	0.8%	30,000	33,176	0.5%
	Cyberdontics Inc	Life science	Convertible Note	0.8%	35,000	37,363	0.6%
	Cyberdontics Inc	Life science	Convertible Note	0.8%	35,000	35,606	0.6%
	Deep Blue Medical Advances Inc	Life science	Convertible Note	0.4%	50,000	50,123	0.8%
	Every Key Inc	Technology	Convertible Note	1.1%	100,000	105,288	1.6%
	Identical Inc	Life science	Convertible Note	1.4%	100,000	100,351	1.6%
	INBay Technology Inc	Technology	Convertible Note	0.3%	50,000	58,734	0.9%
	INBay Technology Inc	Technology	Convertible Note	0.2%	30,000	33,557	0.5%
	INBay Technology Inc	Technology	Convertible Note	0.3%	50,000	55,162	0.9%
	INBay Technology Inc	Technology	Convertible Note	0.3%	40,000	40,368	0.6%
	Kiana Analytics Inc	Technology	Convertible Note	0.7%	100,000	100,107	1.6%
	Kitotech Medical Inc	Life science	Convertible Note	1.3%	100,000	112,214	1.8%
	Kitotech Medical Inc	Life science	Convertible Note	0.6%	75,000	75,284	1.2%
	Lifewave Biomedical Inc	Life science	Convertible Note	0.8%	30,000	32,387	0.5%
	Lifewave Biomedical Inc	Life science	Convertible Note	0.8%	70,000	73,774	1.2%
	Light Line Medical Inc	Life science	Convertible Note	0.4%	30,000	38,031	0.6%
	Light Line Medical Inc	Life science	Convertible Note	1.0%	70,000	131,049	2.0%
	Navaux Inc	Life science	Convertible Note	1.2%	60,000	60,148	0.9%
	Octagon Therapeutics Inc	Life science	Convertible Note	0.5%	50,000	50,493	0.8%
	Octagon Therapeutics Inc	Life science	Convertible Note	0.5%	50,000	50,349	0.8%
	Perikinetics Inc	Life science	Convertible Note	0.1%	100,000	100,838	1.6%
	SageMedic Corp	Life science	Convertible Note	0.4%	50,000	56,893	0.9%
	SageMedic Corp	Life science	Convertible Note	0.6%	75,000	75,608	1.2%
	Sensing Electromagnetic Plus Corp	Technology	Convertible Note	0.1%	50,000	1	0.0%
	Sensing Electromagnetic Plus Corp	Technology	Convertible Note	0.1%	11,048	1	0.0%
	Valfix Medical Inc	Life science	Convertible Note	0.8%	50,000	50,000	0.8%
	Xpan Inc	Life science	Convertible Note	0.9%	50,000	53,310	0.8%
	Xpan Inc	Life science	Convertible Note	0.4%	25,000	26,052	0.4%
	Xpan Inc	Life science	Convertible Note	0.4%	25,000	26,047	0.4%
Total convertible loan investments - not readily marketable					$2,166,048	$2,421,972	37.8%
Total investments					$5,136,545	$5,882,442	91.9%

Condensed Schedule of Investments as of June 30, 2021

(aUnaudited) ~~based on total assets of $6,399,543~~

Portfolio Company	Industry	Investment	Cost		Fair value		% of net assets (a)
Preferred stock investments
Altis Biosystems	Life science	22,028 shares of Series Seed Preferred	$	50,000	$	50,000		0.6	%
Astrocyte Pharmaceuticals Inc	Life science	260,756 shares of Series A Preferred		100,000		104,778		1.2	%
Cnote Group, Inc	Fintech	84,655 shares of series Seed-2 Preferred (converted SAFE)		51,500		59,783		0.7	%
Cnote Group, Inc	Fintech	93,807 shares of Series Seed-3 Preferred (converted note)		50,000		66,247		0.8	%
Colabs Inc	Life science	147,058 shares of Series A-1 Preferred		50,000		50,000		0.6	%
Connectus Services Ltd	Technology	31,348 shares of Series Seed Preferred		100,000		100,000		1.2	%
Deep Blue Medical Advances Inc	Life science	10,474 shares of Series A Preferred		49,996		49,996		0.6	%
Eumentis Thereapeutics Inc	Life science	85,009 shares of Series A Preferred		100,000		100,000		1.2	%
FemtoDX Inc	Life science	42,436 shares of Series A Preferred		100,000		159,835		1.9	%
Healionics Corporation	Life science	35,075 of Series A-1 Preferred		100,000		100,000		1.2	%
i-Lumen Scientific Inc.	Life science	50,000 shares of Series A Preferred plus warrants		50,000		50,000		0.6	%
i-Lumen Scientific Inc.	Life science	50,000 shares of Series A Preferred plus warrants		50,000		50,000		0.6	%
Inhalon Biopharma Inc	Life science	18,843 shares of Series Seed Preferred		99,997		99,997		1.2	%
Light Line Medical Inc	Life science	62,849 shares of Series Seed Preferred (converted note)		30,000		38,031		0.4	%
Light Line Medical Inc	Life science	141,871 shares of Series Seed Preferred (converted note)		70,000		106,049		1.2	%
Light Line Medical Inc	Life science	40,323 shares of Series Seed preferred		25,000		25,000		0.3	%
Light Line Medical Inc	Life science	72,464 shares of Series A Preferred plus warants		50,000		50,000		0.6	%
Lowell Therapeutics Inc	Life science	20,000 shares of Series A Preferred		50,000		50,000		0.6	%
Lowell Therapeutics Inc	Life science	20,000 shares of Series A Preferred		50,000		50,000		0.6	%
Makani Science Inc	Life science	172,413 shares of Series Seed Preferred		50,000		50,000		0.6	%
Micronic Technologies Inc	Technology	51,929 shares of Series Seed-1 Preferred plus warrants		100,000		100,000		1.2	%
Neuroflow Inc	Life science	98,684 shares of Series Seed -2 Preferred		150,000		224,998		2.6	%
Neuroflow Inc	Life science	20,429 shares of Series B Preferred		100,000		212,497		2.5	%
New View Surgical, Inc.	Life science	53,825 shares of Series A-1 Preferred		75,000		75,000		0.9	%
Orion Biotechnology Inc	Life science	5,824 shares of Series A Preferred		100,000		100,000		1.2	%
Otomagnetics Inc	Life science	16,538 shares of Series A-1 Preferred plus warrants		100,000		100,000		1.2	%
Promaxo	Life science	104,248 shares of Series B-1 Preferred, (converted note)		250,000		531,738		6.2	%
Seal Rock Therapeutics, Inc.	Life science	68,075 shares of Series Seed Preferred, (converted note)		78,000		80,329		0.9	%
Shyft (FKA Crater Group Inc)	Technology	42,657 shares of Series A-1 Preferred (converted note)		51,500		97,940		1.1	%
Shyft (FKA Crater Group Inc)	Technology	28,147 shares of Series A Preferred (converted note)		50,000		64,626		0.8	%
Shyft (FKA Crater Group Inc)	Technology	21,774 shares of Series A-1 Preferred (plus warrants)		50,000		50,000		0.6	%
Trellis Bioscience LLC	Life science	50,000 shares of Series B Preferred plus warrants		50,000		50,000		0.6	%
Trellis Bioscience LLC	Life science	50,000 shares of Series B Preferred plus warrants		50,000		50,000		0.6	%
Trellis Bioscience LLC	Life science	100,000 shares of Series B Preferred plus warrants		100,000		100,000		1.2	%
Valfix Medical Inc	Life science	27,217 shares of Series Seed Preferred		50,000		50,000		0.6	%
Visgenx Inc	Life science	7,833 shares of Series Seed-1 Preferred (converted note)		30,000		46,352		0.5	%
Visgenx Inc	Life science	4,132 shares of Series Seed Preferred (converted note)		25,000		25,648		0.3	%
Visgenx Inc	Life science	2,480 shares of Series Seed Preferred (converted note)		15,003		15,393		0.2	%
Total Preferred stock investments			$	2,700,997	$	3,384,237		39.6	%
United States			$	2,450,997	$	3,134,237		36.7	%
Canada				200,000		200,000		2.3	%
Rest of World				50,000		50,000		0.6	%
Total Preferred stock investments			$	2,700,997	$	3,384,237		39.6	%

Common stock investments
BendaRX Corp	Life science	12,500 Common shares	$	100,000	$	150,000		1.8	%
BendaRX Corp	Life science	12,500 Common shares		100,000		150,000		1.8	%
Boardwalk Tech	Technology	75,000 Common shares		65,600		65,600		0.8	%
Boardwalk Tech	Technology	150,000 Common shares		73,500		91,995		1.1	%
Sanaby Health Sponsor LLC	Life science	50,000 Common shares		100,000		100,000		1.2	%
Total Common stock investments			$	439,100	$	557,595		5.4	%
United States			$	239,100	$	257,595		3.0	%
Canada				200,000		300,000		3.5	%
Rest of World				-		-		0.0	%
Total Common stock investments			$	439,100	$	557,595		6.5	%

SAFE investments
Infinidome Ltd	Technology	SAFE	$	50,000	$	50,000		0.6	%
Infinidome Ltd	Technology	SAFE		50,000		50,000		0.6	%
Madorra Inc	Life science	SAFE		100,000		100,000		1.2	%
Mitre Medical Corp	Life science	SAFE		75,000		75,000		0.9	%
Mitre Medical Corp	Life science	SAFE		50,000		50,000		0.6	%
Orion Biotechnology Inc.	Life science	SAFE		100,000		100,000		1.2	%
Total SAFE investments			$	425,000	$	425,000		5.0	%
United States				125,000		125,000		1.5	%
Canada				100,000		100,000		1.2	%
Rest of World				200,000		200,000		2.3	%
Total SAFE investments			$	425,000	$	425,000		5.0	%

~~KYTO~~Continued on ~~TECHNOLOGY~~next ~~AND LIFE SCIENCE INC.~~page

~~NOTES~~The accompanying TOnotes ~~UNAUDITED~~are ~~CONDENSED~~an ~~FINANCIAL~~integral ~~STATEMENTS~~part of these condensed interim financial statements.

~~NOTE 1 – DESCRIPTION OF BUSINESS~~ 8

~~Kyto~~Continued ~~Technology and Life Science, Inc. was formed as a Florida corporation on March 5, 1999 under the name of B Twelve Inc. In August, 2002, the Company changed its name~~ from Bprevious Twelve, Inc. to Kyto BioPharma Inc. and in May 2018, the name was changed again to Kyto Technology and Life Science, Inc. In July 2019, the Company was re-incorporated as a Delaware company. The Company operates virtually, from public locations, or the homes of its officers and does not lease any office space.page

~~The~~Kyto Technology ~~Company was originally formed to acquire~~ and ~~develop~~Life ~~proprietary drugs and had been looking at a number of strategies. In April~~Science, ~~2018, the Board adopted a new business plan focused on the development of early stage technology and life science businesses through early stage investment funding~~Inc. The Company has recruited a number of experienced investment consultants from a network that includes angel investors, corporate managers, and successful entrepreneurs across a number of technology and life science products and markets and relies on input from these advisors in conducting due diligence and making investment decisions. In order to offset the risk in early stage investing, the Company works with angel investment groups and participates only after these groups have completed due diligence and committed to invest, and does not typically invest more than $250,000 in any single investment. Generally, the Company’s investments represent less than 5% ownership interests, and the Company therefore has no effective control or influence over the management or commercial decisions of the companies in which it invests. The Company plans to generate revenue from realised gains from the sale of the businesses in which it has invested, or some or all of its shareholdings in those cases where portfolio companies go public. Generally, it is expected that investments will be realised from an exit within a period of four years following investment. Such sales are outside its control and depend on merger and acquisition (“M&A”) transactions or an IPO which may result in cash or equity proceeds. Accordingly, it is difficult to forecast revenue, net income, and cash flow. At March 31, 2020, management determined that the Company was an investment company for purposes of ASC 946 disclosure, and committed to follow the specialized accounting and reporting guidance of contained therein. Other than making its initial investments in its portfolio companies, the Company does not provide any financial support to any of its investees.

~~The~~Condensed ~~Company~~Schedule ~~has no regular employees, full-time or part-time. The chief executive officer~~ of ~~Kyto~~Investments ~~Technology and Life Science, Inc. is acting~~ as ~~a consultant to the Company and does not receive contractual compensation for his services in the form~~ of ~~cash.~~June ~~For the three months and nine months ended December 31~~30, ~~2020 he was granted 0 and 215,000 stock options, respectively, and an ex-gratia bonus of $50,000.~~2021

The Company has created a portfolio of minority investments in early-stage start-up companies and derives its revenue opportunity from the sale of those investments. Such sales are outside its control and depend on M&A transactions or IPOs which may result in cash or equity proceeds. Accordingly, it is difficult to forecast revenue, net income, and cash flow. The Company currently has approximately $560,000 in the bank and is now actively marketing a $3 million Series B round with a target close date of March 31, 2021. The average monthly expenses for the nine months ended December 31, 2020 were approximately $59,000 per month so the company has sufficient cash to fund its operations through the close of its Series B round if it simply manages its existing investments. However it plans to ramp up monthly expenditure to market and ensure the success of the Series B round, whereupon, if successful it will have sufficient funding for further investments and ongoing operations. In the event that the Series B close is delayed, management has the ability to slow down expenditure and defer future investment opportunities to balance its cash flow accordingly. While there is a degree of uncertainty in this business model, the Company has two viable alternative options to ensure continuity of liquidity and ongoing operations. However, there is no assurance that the Company will be able to continue as a going concern, and stay at home orders, and general economic uncertainties arising out of the current Covid-19 epidemic create additional delay and uncertainty. To date there has been no disruption to the Company’s business operations, although some of its portfolio investment companies report delays in their programs.(Unaudited)

Portfolio Company	Industry		Investment	Cost		Fair value		% of net assets (a)
Other investments
Enduralock LLC	Technology		34.1 Series A-1 Ownership Units	$	30,000	$	30,000	0.4%
Enduralock LLC	Technology		39.7 Series A-1 Ownership Units		35,000		35,000	0.4%
Exodos Life Sciences LP	Life science		Class A-1 Preferred Ownership Units		206,000		206,000	2.4%
Green Sun Medical LLC	Life science		2,193 Class A-1 Ownership units		50,000		50,000	0.6%
Green Sun Medical LLC	Life science		1,096 Class A-1 Ownership units		25,000		25,000	0.3%
Green Sun Medical LLC	Life science		1,096 Class A-1 Ownership units		25,000		25,000	0.3%
Green Sun Medical LLC	Life science		4,386 Class A-1 Ownership units		100,000		100,000	1.2%
Riso Capital Fund I, LP	Technology		Ownership units		50,000		50,000	0.6%
Total other investments				$	521,000	$	521,000	6.1%
	United States			$	521,000	$	521,000	6.1%
	Canada				-		-	0.0%
	Rest of World				-		-	0.0%
Total other investments				$	521,000	$	521,000	14.5%

Total investments
United States					5,382,145		6,380,078	74.7%
Canada					970,000		1,125,419	13.2%
Rest of World					600,000		634,510	7.4%
Total other investments				$	6,952,145	$	8,140,007	95.3%

(a) based on total net assets of	$	8,537,246

~~Immediately~~The accompanying ~~upon~~notes ~~effectiveness~~are ofan ~~this~~integral ~~Registration~~part ~~Statement, the Company will merge with Kyto Technology and Life Science, Inc., a Delaware corporation (the “Predecessor”), and the Company will be the surviving entity. As~~ of ~~the~~these ~~completion~~condensed ofinterim ~~the~~financial merger, the Company will constitute a “successor issuer” of the Predecessor for the purposes of Rule 414 under the Securities Act and may continue the Predecessor’s current offering by filing post-effective amendments to the Predecessor Registration Statementsstatements.

109

~~KYTO~~Kyto Technology ~~TECHNOLOGY~~and ~~AND~~Life ~~LIFE~~Science, ~~SCIENCE INC~~Inc.

~~NOTES~~Condensed Schedule TOof ~~UNAUDITED~~Investments ~~CONDENSED~~as ~~FINANCIAL~~of ~~STATEMENTS~~March 31, 2021

~~NOTE 1 – DESCRIPTION OF BUSINESS~~ (~~CONTINUED~~Unaudited)

As a BDC, the Company is required to comply with certain regulatory requirements. See “Operating and Regulatory Environment”. The Company also intends to elect to be treated for U.S. federal income tax purposes as a regulated investment company (“RIC”) under Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”). As a RIC, the Company is required to comply with additional regulatory requirements. See “Taxation as a Regulated Investment Company.”

Portfolio Company	Industry	Investment	Cost		Fair value		% of net assets (b)
Convertible loan investments
Achelios Therapeutics Inc.	Life science	Convertible Note, 8% due, December 2021	$	100,000	$	121,173		1.7	%
Achelios Therapeutics Inc.	Life science	Convertible Note, 8% due December 2021		25,000		29,033		0.4	%
Achelios Therapeutics Inc.	Life science	Convertible Note, 8% due December 2021		50,000		54,581		0.8	%
Avisi Technologies Inc	Life science	Convertible Note, 8% due July 2022		50,000		52,674		0.8	%
Basepaws Inc	Life science	Convertible Note, 1% due April 2020		50,000		162,319		2.3	%
Beam Semiconductor Inc	Technology	Convertible Note, 8% due April 2022		150,000		171,041		2.4	%
Beam Semiconductor Inc	Technology	Convertible Note, 8% due March 2021		50,000		54,285		0.8	%
Corinnova Inc	Life science	Convertible Note, 6% due December 2024		100,000		102,318		1.5	%
Cyberdontics Inc	Life science	Convertible Note, 8% due September 2022		30,000		33,768		0.5	%
Cyberdontics Inc	Life science	Convertible Note, 8% due February 2023		35,000		38,053		0.5	%
Cyberdontics Inc	Life science	Convertible Note, 0% no due date		35,000		36,296		0.5	%
Deep Blue Medical Advances Inc	Life science	Convertible Note, 6% due June 2022		50,000		50,863		0.7	%
Every Key Inc	Technology	Convertible Note, 5% due December 2023		100,000		106,521		1.5	%
Identical Inc	Life science	Convertible Note, 2% due May 2022		100,000		100,844		1.4	%
INBay Technology Inc	Technology	Convertible Note, 12% due October 2020		50,000		59,721		0.9	%
INBay Technology Inc	Technology	Convertible Note, 12% due July 2021		30,000		34,149		0.5	%
INBay Technology Inc	Technology	Convertible Note, 12% due February 2022		50,000		56,641		0.8	%
INBay Technology Inc	Technology	Convertible Note, 12% due December 2022		40,000		41,552		0.6	%
Kiana Analytics Inc	Technology	Convertible Note, 3% December 2022		100,000		100,847		1.4	%
Kitotech Medical Inc	Life science	Convertible Note, 6% due December 2020		100,000		243,133		3.5	%
Kitotech Medical Inc	Life science	Convertible Note, 6% due November 2022		75,000		83,738		1.2	%
Lifewave Biomedical Inc	Life science	Convertible Note, 6% due December 2020		30,000		32,831		0.5	%
Lifewave Biomedical Inc	Life science	Convertible Note, 6% due December 2020		70,000		74,810		1.1	%
Navaux Inc	Life science	Convertible Note, 6% due December 2023		60,000		61,036		0.9	%
Neuro42 Inc.	Life science	Convertible Note, 8% due December 2023		50,000		50,559		0.7	%
Octagon Therapeutics Inc	Life science	Convertible Note, 5% due June 2021		50,000		51,110		0.7	%
Octagon Therapeutics Inc	Life science	Convertible Note, 5% due June 2021		50,000		50,966		0.7	%
Perikinetics Inc	Life science	Convertible Note, 6% due May 2022		100,000		102,318		1.5	%
Preview Medical Inc	Life science	Convertible Note, 7% due January 2023		100,000		101,918		1.5	%
SageMedic Corp	Life science	Convertible Note, 8% April 2021 plus warrants		50,000		57,879		0.8	%
SageMedic Corp	Life science	Convertible Note, 8% December 2022 plus warrants		75,000		77,088		1.1	%
Sensing Electromagnetic Plus Corp	Technology	Convertible Note, Fully reserved		50,000		1		0.0	%
Sensing Electromagnetic Plus Corp	Technology	Convertible Note, Fully reserved		11,048		1		0.0	%
Valfix Medical Inc	Life science	Convertible Note, 8% December 2021		50,000		52,510		0.8	%
Xpan Inc	Life science	Convertible Note, 8% due March 2022		50,000		54,296		0.8	%
Xpan Inc	Life science	Convertible Note, 8% due June 2022		25,000		26,545		0.4	%
Xpan Inc	Life science	Convertible Note, 8% due June 2022		25,000		26,540		0.4	%
Total Convertible loan investments			$	2,216,048	$	2,553,954		36.5	%
United States			$	1,596,048	$	1,868,557		26.7	%
Canada				370,000		407,561		5.8	%
Rest of World				250,000		277,836		4.0	%
Total Convertible loan investments			$	2,216,048	$	2,553,954		36.5	%

~~NOTE~~Continued on 2next ~~– BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES~~page

~~(A)BASIS~~The accompanying OFnotes ~~PRESENTATION~~ are an integral part of these condensed interim financial statements.

The accompanying unaudited condensed financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial information with the instructions to Form 10-Q and Rule 8-03 of Regulation S-X. Accordingly, these unaudited condensed financial statements do not include all of the information and disclosures required by U.S. GAAP for complete financial statements. In the opinion of management, the accompanying unaudited condensed financial statements include all adjustments (consisting only of normal recurring adjustments), which the Company considers necessary, for a fair presentation of those financial statements. The results of operations and cash flows for the three and nine months ended December 31, 2020 may not necessarily be indicative of results that may be expected for any succeeding quarter or for the entire fiscal year. The information contained in this Quarterly Report on Form 10-Q should be read in conjunction with the audited financial statements of the Company for the year ended March 31, 2020, included in the Annual Report on Form 10-K as filed with the Securities and Exchange Commission (the “SEC”) on June 30, 2020.

~~The~~Continued from ~~company’s~~previous financial statements are prepared using the specialized accounting principles of Accounting Standards Codification Topic 946, Financial Services—Investment Companies (ASC Topic 946). In accordance with this specialized accounting guidance, the company recognizes and carries all of its investments at fair value with changes in fair value recognized in earnings. Additionally, the company will not apply consolidation or equity method of accounting to its investments. The company carries its liabilities at amounts payable, net of unamortized premiums or discounts. The company does not currently plan to elect to carry its liabilities at fair value. Net assets are calculated as the carrying amounts of assets, including the fair value of investments, less the carrying amounts of its liabilities.page

~~(B)REVENUE~~Kyto ~~RECOGNITION~~ Technology and Life Science, Inc.

~~The~~Condensed ~~Company~~Schedule ~~derives revenue from the sale~~ of ~~investments.~~Investments As a minority, early-stage investor, the Company does not have the ability to manage the timing or acceptance of liquidity events that will enable it to realize its investments, nor the ability to predict when they may happen, although as ~~a guideline, it would typically expect such events to occur around four years after its investments are made. The Company will book the revenue from investment activities upon completion~~ of ~~sale~~March ~~and receipt of net proceeds~~31, ~~after~~2021 deducting related transaction expenses. As an Investment Company, we recognize the net increase or decrease in fair market value of our investments as unrealized gain or loss from investments. The Company is in regular contact with the management of its portfolio investment companies to provide the basis for impairment reviews, revaluation assessments and forecasting future revenue and fund-~~raising~~ ~~needs.~~continued

(CUnaudited)~~INCOME TAXES~~

The Company accounts for income taxes under the Financial Accounting Standards Accounting Standard Codification Topic 740 "Accounting for Income Taxes" ("Topic 740"). Under Topic 740, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Under Topic 740, the effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date.

Preferred stock investments
Altis Biosystems		Life science	22,028 shares of Series Seed Preferred	$	50,000	$	50,000	0.7	%
Astrocyte Pharmaceuticals Inc		Life science	260,756 shares of Series A Preferred		100,000		100,000	1.4	%
Cnote Group, Inc		Fintech	84,655 shares of series Seed-2 Preferred (converted SAFE)		51,500		59,783	0.9	%
Cnote Group, Inc		Fintech	93,807 shares of Series Seed-3 Preferred (converted note)		50,000		66,247	0.9	%
Colabs Inc		Life science	147,058 shares of Series A-1 Preferred		50,000		50,000	0.7	%
Connectus Services Ltd		Technology	31,348 shares of Series Seed Preferred		100,000		100,000	1.4	%
Deep Blue Medical Advances Inc		Life science	10,474 shares of Series A Preferred		49,997		49,997	0.7	%
Eumentis Thereapeutics Inc		Life science	85,009 shares of Series A Preferred		100,000		100,000	1.4	%
FemtoDX Inc		Life science	42,436 shares of Series A Preferred		100,000		159,835	2.3	%
i-Lumen Scientific Inc.		Life science	50,000 shares of Series A Preferred plus warrants		50,000		50,000	0.7	%
i-Lumen Scientific Inc.		Life science	50,000 shares of Series A Preferred plus warrants		50,000		50,000	0.7	%
Inhalon Biopharma Inc		Life science	18,843 shares of Series Seed Preferred		99,997		99,997	1.4	%
Light Line Medical Inc		Life science	62,849 shares of Series Seed Preferred (converted note)		30,000		38,031	0.5	%
Light Line Medical Inc		Life science	141,871 shares of Series Seed Preferred (converted note)		70,000		106,049	1.5	%
Light Line Medical Inc		Life science	40,323 shares of Series Seed preferred		25,000		25,000	0.4	%
Light Line Medical Inc		Life science	72,464 shares of Series A Preferred plus warants		50,000		50,000	0.7	%
Lowell Therapeutics Inc		Life science	20,000 shares of Series A Preferred		50,000		50,000	0.7	%
Lowell Therapeutics Inc		Life science	20,000 shares of Series A Preferred		50,000		50,000	0.7	%
Micronic Technologies Inc		Technology	51,929 shares of Series Seed-1 Preferred plus warrants		100,000		100,000	1.4	%
Neuroflow Inc		Life science	98,684 shares of Series Seed -2 Preferred		150,000		224,998	3.2	%
Neuroflow Inc		Life science	20,429 shares of Series B Preferred		100,000		212,497	3.0	%
New View Surgical, Inc.		Life science	53,825 shares of Series A-1 Preferred		75,000		75,000	1.1	%
Otomagnetics Inc		Life science	16,538 shares of Series A-1 Preferred plus warrants		100,000		100,000	1.4	%
Promaxo		Life science	104,248 shares of Series B-1 Preferred, (converted note)		250,000		531,738	7.6	%
Seal Rock Therapeutics, Inc.		Life science	68,075 shares of Series Seed Preferred, (converted note)		78,000		80,329	1.1	%
Shyft (FKA Crater Group Inc)		Technology	42,657 shares of Series A-1 Preferred		51,500		97,940	1.4	%
Shyft (FKA Crater Group Inc)		Technology	28,147 shares of Series A Preferred (converted note)		50,000		64,626	0.9	%
Shyft (FKA Crater Group Inc)		Technology	21,774 shares of Series A-1 Preferred (converted note)		50,000		50,000	0.7	%
Trellis Bioscience LLC		Life science	50,000 shares of Series B Preferred plus warrants		50,000		50,000	0.7	%
Trellis Bioscience LLC		Life science	50,000 shares of Series B Preferred plus warrants		50,000		50,000	0.7	%
Trellis Bioscience LLC		Life science	100,000 shares of Series B Preferred plus warrants		100,000		100,000	1.4	%
Valfix Medical Inc		Life science	27,217 shares of Series Seed Preferred		50,000		50,000	0.7	%
Visgenx Inc		Life science	7,833 shares of Series Seed-1 Preferred (converted note)		30,000		46,352	0.7	%
Visgenx Inc		Life science	4,132 shares of Series Seed Preferred (converted note)		25,000		25,648	0.4	%
Visgenx Inc		Life science	2,480 shares of Series Seed Preferred (converted note)		15,003		15,392	0.2	%
Total Preferred stock investments				$	2,450,997	$	3,129,458	44.8	%
United States				$	2,300,997	$	2,979,458	42.6	%
Canada					100,000		100,000	1.4	%
Rest of World					50,000		50,000	0.7	%
Total Preferred stock investments				$	2,450,997	$	3,129,458	44.8	%

Common stock investments
BendaRX Corp		Life science	12,500 Common shares	$	100,000	$	150,000	2.1	%
BendaRX Corp		Life science	12,500 Common shares		100,000		150,000	2.1	%
Boardwalk Tech		Technology	150,000 Common shares		73,500		91,995	1.3	%
Total common stock investments				$	273,500	$	391,995	5.6	%
United States				$	73,500	$	91,995	1.3	%
Canada					200,000		300,000	4.3	%
Rest of World					-		-	0.0	%
Total common stock investments				$	273,500	$	391,995	5.6	%

SAFE investments
Infinidome Ltd		Technology	SAFE	$	50,000	$	50,000	0.7	%
Infinidome Ltd		Technology	SAFE		50,000		50,000	0.7	%
Mitre Medical Corp		Life science	SAFE		75,000		75,000	1.1	%
Mitre Medical Corp		Life science	SAFE		50,000		50,000	0.7	%
Orion Biotechnology Inc.		Life science	SAFE		100,000		100,000	1.4	%
Total SAFE investments				$	325,000	$	325,000	4.6	%
United States				$	125,000	$	125,000	1.8	%
Canada					100,000		100,000	1.4	%
Rest of World					100,000		100,000	1.4	%
Total SAFE investments				$	325,000	$	325,000	4.6	%

Other investments
Enduralock LLC		Technology	34.1 Series A-1 Ownership Units	$	30,000	$	30,000	0.4	%
Enduralock LLC		Technology	39.7 Series A-1 Ownership Units		35,000		35,000	0.5	%
Exodos Life Sciences LP		Life science	Class A-1 Preferred Ownership Units		206,000		206,000	2.9	%
Green Sun Medical LLC		Life science	2,193 Class A-1 Ownership units		50,000		50,000	0.7	%
Green Sun Medical LLC		Life science	1,096 Class A-1 Ownership units		25,000		25,000	0.4	%
Green Sun Medical LLC		Life science	1,096 Class A-1 Ownership units		25,000		25,000	0.4	%
Riso Capital Fund I, LP		Technology	Ownership units		50,000		50,000	0.7	%
Total other investments				$	421,000	$	421,000	6.0	%
United States				$	421,000	$	421,000	6.0	%
Canada					-		-	0.0	%
Rest of World					-		-	0.0	%
Total Other investments				$	421,000	$	421,000	6.0	%

Total investments				$	5,686,545	$	6,821,407	97.5	%
United States				$	4,516,545	$	5,486,010	78.4	%
Canada					770,000		907,561	13.0	%
Rest of World					400,000		427,836	6.1	%
Total investments				$	5,686,545	$	6,821,407	97.5	%

( b ) based on total net assets of	$	6,993,163

~~(D)USE~~The accompanying OFnotes ~~ESTIMATES~~ are an integral part of these condensed interim financial statements.

In preparing financial statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and revenues and expenses during the period presented. Actual results may differ from these estimates.11

~~Significant~~KYTO TECHNOLOGY ~~estimates~~AND ~~during~~LIFE ~~the~~SCIENCE ~~three and nine months ended December 31, 2020 and March 31, 2020 include the valuation of investments, stock options and warrants~~INC.

11NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS

~~KYTO~~June 30, ~~TECHNOLOGY AND LIFE SCIENCE INC.~~2021

~~NOTES~~NOTE 1 TO– ~~UNAUDITED~~DESCRIPTION ~~CONDENSED~~OF ~~FINANCIAL~~BUSINESS ~~STATEMENTS~~

~~NOTE~~Kyto Technology 2and –Life ~~BASIS~~Science, OFInc. ~~PRESENTATION~~(the ~~AND~~“Company”) ~~SIGNIFICANT~~was ~~ACCOUNTING~~formed ~~POLICIES~~as ~~(CONTINUED)~~a Florida corporation on March 5, 1999 under the name of B Twelve, Inc. In August, 2002, the Company changed its name from B Twelve, Inc. to Kyto BioPharma Inc. and in May 2018, the name was changed again to Kyto Technology and Life Science, Inc. In July 2019, the Company was re-incorporated as a Delaware company. The Company operates virtually, from public locations or the homes of its officers, and does not currently lease any office space.

The Company was originally formed to acquire and develop proprietary drugs for the treatment of cancer, arthritis, and other autoimmune diseases and had been evaluating a number of strategies. As of March 31, 2018, the Company had accumulated a deficit of $32,380,746 from all prior operations. In April 2018, the Board adopted a new business plan focused on the development of early-stage technology and life science businesses through early-stage investment funding. The Company has recruited a number of experienced investment consultants from a network that includes angel investors, corporate managers, sophisticated early-stage investors and successful entrepreneurs with experience across a number of technology and life science products and markets, and relies on input from these advisors in conducting due diligence and making investment decisions. In order to offset the risk in early-stage investing, the Company works with angel investment groups and other sophisticated investors and participates only after these groups have completed due diligence and committed to invest, in effect becoming lead investors. The Company then completes its own due diligence and invests under identical terms as the lead investors. The Company will do follow-on investments in existing portfolio companies, assuming adequate progress, when portfolio companies initiate new financing rounds. The Company currently does not typically invest more than $250,000 in any single investment. Generally, the Company’s investments represent less than 5% ownership interests, and the Company therefore has no effective control or influence over the management or commercial decisions of the companies in which it invests. The Company plans to generate revenue from realized gains from the sale of the businesses in which it has invested, or some or all of its shareholdings in those cases where portfolio companies go public. Generally, it is expected that investments will be realized from an exit within a period of four to five years following initial investment. Such exits or liquidity events are outside the Company’s control and depend on merger and acquisition (E“M&A”)~~CASH~~ ~~AND~~transactions or ~~CASH~~an ~~EQUIVALENTS~~ initial public offering (“IPO”) which may result in cash or equity proceeds. Accordingly, it is difficult to forecast revenue, net income, and cash flow. Other than making its initial and, potentially, follow-on investments in its portfolio companies, the Company does not provide any financial support to any of its investees.

The Company has one regular employee – the CEO, Mr, Paul Russo. Prior to December 31, 2020, was acting as a consultant to the Company and ~~considers~~did ~~all~~not ~~highly~~receive ~~liquid~~contractual ~~investments~~compensation ~~with~~for ~~original~~his ~~maturities~~services in the form of ~~three~~cash. ~~months~~As orof ~~less~~January at1, 2021, Mr. Russo was engaged as an employee of the ~~time~~Company at a salary of ~~purchase~~$400,000 per annum of which 60% is paid monthly, and the balance deferred to be ~~cash~~paid ~~equivalents~~once the Company lists and starts trading on the Nasdaq exchange. ~~There~~The ~~were~~full noterms ~~cash~~of ~~equivalents~~Mr. atRusso’s ~~December~~employment 31are described in an engagement letter filed on Form 8-K on February 1, ~~2020~~2021, which was approved by the Compensation committee of the Board of Directors on that date. During the three months ended June 30, 2021, Mr. Russo received $80,000 gross payroll, no consulting fees and ~~March~~no 31options were granted. During the three months ended June 30, 2020, ~~respectively~~Mr. Russo received no payroll or consulting fees , and no options were granted to him.

~~(F)CONCENTRATIONS~~ 12

The Company ~~maintains~~has ~~its~~created ~~cash~~a portfolio of minority investments in ~~bank~~early-stage ~~checking~~start-up companies and ~~deposit~~derives ~~accounts,~~its revenue opportunity from the sale of those investments. Such sales are outside the Company’s control and depend on M&A transactions or IPOs which may result in cash or equity proceeds. Accordingly, atit ~~times~~is difficult to forecast revenue, ~~may~~net ~~exceed~~income, ~~federally~~and ~~insured~~cash ~~limits~~flow. As of ~~December~~the ~~31,~~date ~~2020~~of this filing, the Company had approximately $~~214~~500,000 of ~~deposits~~cash into ~~excess~~cover ofits ~~federally~~operating ~~insured~~expenses, ~~limits~~and ~~(March~~new 31investment requirements and is continuing to raise additional funding on a recurring monthly basis. If successful, ~~2020~~it $0will have sufficient funding for further investments and ongoing operations.) However, there is no assurance that the Company will be able to raise sufficient cash to cover its requirements on attractive terms, if at all, and whether it will be able to continue as a going concern. These conditions raise substantial doubt about the Company’s ability to continue as a going concern. The accompanying condensed interim financial statements have been prepared assuming the Company will ~~has~~continue to operate as a going concern and do not ~~experienced~~include any ~~losses~~adjustments inthat ~~such~~might ~~accounts~~result ~~through~~from ~~December~~the ~~31,~~outcome ~~2020~~of this uncertainty. Stay at home orders and ~~March~~general ~~31,~~economic ~~2020~~uncertainties arising out of the current Covid-19 epidemic have created additional delays and uncertainty. To date there has been no disruption to the Company’s business operations, ~~respectively~~although some of its portfolio investment companies report delays in their programs.

At March 31, 2020, management determined that the Company was an investment company for purposes of ASC 946 disclosure, and committed to follow the specialized accounting and reporting guidance contained therein. Accordingly, a new company, Kyto Investments, Inc. (G“KI”)~~STOCK~~ was incorporated in Delaware in December 2020 in preparation for a restructuring and an N-~~BASED~~2 ~~COMPENSATION~~ Registration Statement filed in March 2021 for review by the SEC. KI is an internally managed, closed-end investment company that has elected to be regulated as a business development company (“BDC”) under the Investment Company Act of 1940, as amended (the “1940 Act”). Immediately upon effectiveness of this N-2 Registration Statement, the Company will merge with KI and the Company will be the surviving entity. As of the completion of the merger, the Company will constitute a “successor issuer” for the purposes of Rule 414 under the Securities Act and may continue the current offering by filing post-effective amendments to the Registration Statements. Prior to the merger, the Company had fewer than 100 non affiliated investors and filed under the 1934 Act relying on exemption Rule 3( c )(1).

~~Financial~~As a ~~Accounting~~BDC, ~~Standards~~the ~~Board~~Company ~~Accounting~~will ~~Standards~~be ~~Codification~~required ~~Topic~~to ~~718,~~comply ~~“Stock~~with ~~Compensation”~~certain ~~requires~~regulatory ~~generally~~requirements. ~~that~~The ~~all~~Company ~~equity~~also ~~awards~~intends ~~granted~~ to ~~employees~~elect ~~and~~to ~~consultants~~ be ~~accounted~~treated for U.S. atfederal ~~“fair~~income ~~value.”~~tax ~~This~~purposes ~~fair~~as ~~value~~a isregulated ~~measured~~investment atcompany ~~grant~~(“RIC”) ~~date~~under ~~for~~Subchapter ~~stock~~M ~~settled~~of ~~awards,~~the ~~and~~Internal atRevenue ~~subsequent~~Code of ~~exercise~~1986, oras ~~settlement~~amended ~~for~~(the ~~cash-settled awards~~“Code”). ~~Under~~As ~~this~~a ~~method~~RIC, the Company ~~records~~is anrequired ~~expense equal~~ to ~~the~~comply ~~fair~~with ~~value~~additional ofregulatory ~~the options or warrants issued~~requirements. The ~~fair value is computed using the Black Scholes options pricing model. The~~ Company ~~granted~~has ~~217,500~~prepared and ~~1,250,000~~submitted ~~options~~sequentially totwo ~~consultants~~N-2 ~~and~~Registration ~~advisors~~Statements ~~during~~to the ~~three~~SEC ~~months~~for ~~ended~~review ~~December~~but ~~31,~~has ~~2020~~not ~~and~~yet ~~December~~received ~~31,~~final approval ~~2019,~~of ~~respectively.~~its ~~The~~registration ~~Company~~as ~~granted~~at ~~847,500 and 1,250,000 options to consultants and advisors during~~ the ~~nine~~filing ~~months~~date ~~ended~~of ~~December~~this ~~31, 2020 and December 31, 2019, respectively~~report.

~~(H)NET~~NOTE 2 ~~INCOME~~- ~~(LOSS)~~BASIS ~~PER~~OF ~~COMMON~~PRESENTATION ~~SHARE~~ AND SIGNIFICANT ACCOUNTING POLICIES

In(A) BASIS ~~accordance~~OF with Statement of Financial Accounting Standards Accounting Standard Codification Topic 260, "Earnings per Share", basic earnings per share is computed by dividing the net income less preferred dividends for the period by the weighted average number of common shares outstanding. Diluted earnings per share is computed by dividing net income less preferred dividends by the weighted average number of common shares outstanding including the effect of common stock equivalents. Common stock equivalents, consisting of preferred stock, stock options and warrants, have not been included in the calculation, as their effect is anti-dilutive for the periods presented. PRESENTATION

~~Number~~The accompanying unaudited condensed financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial information with the instructions to Form 10-Q and Rule 8-03 of ~~shares~~Regulation ~~used~~S-X. Accordingly, these unaudited condensed financial statements do not include all of the information and disclosures required by U.S. GAAP for complete financial statements. In the opinion of management, the accompanying unaudited condensed financial statements include all adjustments (consisting only of normal recurring adjustments), which the Company considers necessary, for a fair presentation of those financial statements. The results of operations and cash flows for the three months ended June 30, 2021 may not necessarily be indicative of results that may be expected for any succeeding quarter or for the entire fiscal year. The information contained in ~~calculating~~this ~~fully~~Quarterly Report on Form 10-Q ~~diluted~~should ~~EPS~~be read in conjunction with the audited financial statements of the Company for the year ended March 31, 2021, included in the Annual Report on Form 10-K as filed with the Securities and Exchange Commission (the “SEC”) on August 10, 2021.

	Three months ended December 31, 2020	Nine months ended December 31, 2020	Three months ended December 31, 2019	Nine months ended December 31, 2019
Common Stock	8,528,007	5,836,832	5,836,832	5,836,832
Series A preferred stock	4,200,000	4,200,000	4,200,000	3,705,694
Series B preferred stock	2,789,954	1,933,912	192,708	25,694
Options	2,157,500	1,842,873	1,100,000	308,492
Warrants	1,596,667	3,329,067	4,200,000	3,705,694
Total	19,272,128	17,142,683	15,529,540	13,582,408

The Company’s condensed interim financial statements are prepared in accordance with U.S. generally accepted accounting principles (GAAP), which requires the use of estimates, assumptions and the exercise of subjective judgment as to future uncertainties. Actual results could differ from those estimates, assumptions, and judgments. Significant items subject to such estimates will include determining the fair value of investments, revenue recognition, income tax uncertainties, stock-based compensation, and other contingencies.

The Company’s financial statements are prepared using the specialized accounting principles of Accounting Standards Codification Topic 946, Financial Services—Investment Companies (IASC Topic 946)~~INVESTMENT~~. ~~AND~~In ~~VALUATION~~accordance OFwith ~~INVESTMENT~~this ATspecialized ~~FAIR~~accounting ~~VALUE~~ guidance, the Company recognizes and carries all of its investments at fair value with changes in fair value recognized in earnings. Additionally, the Company will not apply consolidation or equity method of accounting to its investments. The Company carries its liabilities at amounts payable, net of unamortized premiums or discounts. The Company does not currently plan to elect to carry its liabilities at fair value. Net assets are calculated as the carrying amounts of assets, including the fair value of investments, less the carrying amounts of its liabilities.

The Company reviews the performance of the underlying investments including, management reports, press releases, web site announcements and progress reports, Carta equity updates, management interviews and, where accessible, financial reports, to determine their current and future potential value and liquidity. In the event that management considers the value of an investment to be impaired, the carrying value of the investment will be written down by an impairment charge to reflect management’s estimated valuation. The Company recognized impairment of one of its investments which was written down by $61,046 in September 2019. The Company has not experienced any impairment write-downs in any subsequent periods.13

12(B) INVESTMENT TRANSACTIONS AND NET REALIZED AND UNREALIZED GAIN OR LOSS ON INVESTMENTS

~~KYTO~~The Company ~~TECHNOLOGY~~generates ~~AND~~increases ~~LIFE~~or ~~SCIENCE~~decreases ~~INC~~in its net assets from the sale of complete or partial investments following a merger or acquisition (“M&A”) transaction or restructuring or from the revaluation of portfolio company investments to recognize changes in their value, either upwards or downwards. As a minority, early-stage investor, the Company does not have the ability to manage the timing or acceptance of liquidity events that will realize its investments, nor the ability to predict when they may happen, although as a general guideline, it would expect such events to occur approximately four to five years after its investments are made. The Company will record the changes in value from investment activities upon completion of sale and receipt of net proceeds, after deducting related transaction expenses as realized gains or losses. Realized gains or losses on the sale of investments, or upon the determination that an investment balance, or portion thereof, is not recoverable, are calculated using the specific identification method. The Company measures realized gains or losses by calculating the difference between the net proceeds from the repayment or sale and the cost basis of the investment. Net change in unrealized appreciation or depreciation reflects the change in the fair values of the Company’s portfolio investments during the reporting period, including any reversal of previously recorded unrealized appreciation or depreciation when gains or losses are realized. The Company is in regular contact with the management of its portfolio investment companies to provide a basis for valuation changes or impairment reviews. The Company does not expect to receive interest and principal repayments on its convertible notes and generally expects these notes to convert into equity securities upon completion of qualified subsequent financings. Accrued interest is then recorded as an adjustment to fair value.

~~NOTES~~(C) INCOME ~~TO UNAUDITED CONDENSED FINANCIAL STATEMENTS~~TAXES

~~NOTE~~The Company 2accounts –for ~~BASIS~~income OFtaxes ~~PRESENTATION~~under ~~AND~~the ~~SIGNIFICANT~~Financial ~~ACCOUNTING~~Accounting ~~POLICIES~~Standards Accounting Standard Codification Topic 740 “Accounting for Income Taxes” (~~CONTINUED~~“Topic 740”). Under Topic 740, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Under Topic 740, the effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period, which includes the enactment date.

~~The Company adopted Financial Accounting Standards Board~~ (~~“FASB”~~D) USE ~~Accounting~~OF Standards Codification (“ASC”) 820, “Fair Value Measurements and Disclosures”, for assets and liabilities measured at fair value on a recurring basis. ASC 820 establishes a common definition for fair value to be applied to existing US GAAP that require the use of fair value measurements which establishes a framework for measuring fair value and expands disclosure about such fair value measurements.ESTIMATES

~~Fair~~In preparing ~~value~~financial isstatements, ~~defined~~management asis ~~the~~required ~~price that would be received~~ to ~~sell~~make anestimates ~~asset~~and orassumptions ~~paid~~that toaffect ~~transfer~~the areported ~~liability~~amounts inof anassets ~~orderly~~and liabilities, ~~transaction~~disclosure ~~between~~of ~~market~~contingent ~~participants.~~assets ~~Fair~~and ~~value~~liabilities isat anthe ~~exchange~~date ~~price~~of ~~notion under which fair value is~~ the ~~price~~financial instatements, anand ~~orderly~~revenues ~~transaction~~and ~~between~~expenses ~~market participants to sell an asset or transfer a liability in~~ during the ~~market~~period inpresented. ~~which~~Actual ~~the~~results ~~reporting~~may ~~entity~~differ ~~would~~from ~~transact~~these ~~for the asset or liability~~estimates.

~~The~~Significant estimates ~~Company~~during ~~has established procedures to estimate~~ the ~~fair~~three ~~value~~months ofended ~~its~~June ~~investments~~30, ~~which~~2021 ~~the company’s board of directors has reviewed~~ and ~~approved.~~June ~~The~~30, ~~company~~2020 ~~will~~include ~~use observable market data to estimate~~ the ~~fair~~valuation ~~value~~ of ~~investments to~~ the ~~extent~~investment ~~that market data is available. In the absence of quoted market prices in active markets~~portfolio, ordeferred ~~quoted market prices for similar~~ tax assets ~~or in markets that are not active~~, ~~the~~tax ~~company will use the~~ valuation ~~methodologies described below with unobservable data based on the best available information in the circumstances~~allowance, ~~which~~stock ~~incorporates~~options ~~the~~and ~~company’s assumptions about the factors that a market participant would use to value the asset~~warrants.

~~For~~(E) CASH ~~investments~~AND ~~for~~CASH which quoted market prices are not available, which will comprise most of our investment portfolio, fair value will be estimated by using the income or market approach or by ascertaining the most recent valuation of the portfolio company by reference to the basis of any recent financing transactions by that company. The income approach is based on the assumption that value is created by the expectation of future benefits discounted to a current value and the fair value estimate is the amount an investor would be willing to pay to receive those future benefits. The market approach compares recent comparable transactions to the investment. Adjustments are made for any dissimilarity between the comparable transactions and the investments. These valuation methodologies involve a significant degree of judgment on the part of our management and board.EQUIVALENTS

InThe Company ~~determining~~considers ~~the~~all ~~appropriate~~highly ~~fair~~liquid ~~value~~investments ofwith anoriginal ~~investment~~maturities ~~using~~of ~~these~~three ~~approaches,~~months ~~the~~or ~~most~~less ~~significant~~at information and assumption may include, as applicable: available current market data, including relevant and applicable comparable market transactions, applicable market yields and multiples, security covenants, call protection provisions, information rights, the ~~nature~~time ~~and realizable value~~ of ~~any~~purchase ~~collateral, the investment’s ability~~ to ~~make~~be ~~payments,~~cash ~~its~~equivalents. There ~~earnings~~were ~~and~~no ~~discounted~~ cash ~~flows,~~equivalents ~~the~~at ~~markets~~June ~~in which the project does business~~30, ~~comparisons~~2021 ~~of financial ratios of peer companies that are public, merger~~ and ~~acquisition~~March ~~comparables~~31, ~~the principal market and enterprise values~~2021, ~~environmental factors, among other factors~~respectively.

The estimated fair values will not necessarily represent the amounts that may be ultimately realized due to the occurrence or nonoccurrence of future circumstances that cannot be reasonably determined. Because of the inherent uncertainty of the valuation of the investments, the estimate of fair values may differ significantly from the value that would have been used had a broader market for the investments existed.14

The authoritative accounting guidance prioritizes the use of market-based inputs over entity-specific inputs and establishes a three-level hierarchy for fair value measurements based upon the transparency of inputs to the valuation. The three levels of valuation hierarchy are defined as follows:(F) CONCENTRATIONS

~~Level~~The Company maintains its cash in bank checking and deposit accounts, which, at times, may exceed federally insured limits. As of June 30, 2021 and March 31, 2021, the Company’s bank balance exceeded the federally insured limit by approximately $230,000 and $1:.2 ~~Observable~~million, respectively. ~~inputs~~The ~~such~~Company ashas ~~quoted~~not ~~market~~experienced ~~prices~~any losses in ~~active~~such ~~markets~~accounts ~~for~~through ~~identical~~June ~~assets~~30, ~~or liabilities~~2021.

~~Level 2: Observable market~~(G) STOCK-~~based~~BASED ~~inputs or unobservable inputs that are corroborated by market data~~COMPENSATION

~~Level~~Financial Accounting 3:Standards ~~Unobservable~~Board ~~inputs~~Accounting Standards Codification Topic 718, “Stock Compensation” requires generally that all equity awards granted to employees and consultants be accounted for ~~which~~at ~~there~~fair value. This fair value is ~~little~~measured at grant date for stock settled awards, and at subsequent exercise or nosettlement ~~market~~for ~~data~~cash-settled awards. Under this method, ~~which~~the ~~require~~Company records an expense equal to the ~~use~~fair value of the ~~reporting~~options ~~entity’s~~or ~~own~~warrants ~~assumptions~~issued. The fair value is computed using the Black Scholes options pricing model. The Company granted 250,000 and 120,000 options to consultants and advisors during the three months ended June 30, 2021 and June 30, 2020, respectively.

13(H) NET LOSS PER COMMON SHARE

~~KYTO~~In accordance ~~TECHNOLOGY~~with ~~AND~~Statement ~~LIFE~~of ~~SCIENCE~~Financial ~~INC~~Accounting Standards Accounting Standard Codification Topic 260, “Earnings per Share”, basic earnings per share is computed by dividing the net income less preferred dividends for the period by the weighted average number of common shares outstanding. Diluted earnings per share is computed by dividing net income less preferred dividends by the weighted average number of common shares outstanding including the effect of common stock equivalents. Common stock equivalents, consisting of preferred stock, stock options and warrants, have not been included in the calculation, as their effect is anti-dilutive for the periods presented. The following table sets out the number of shares used in calculating fully- diluted EPS using the if-converted method.

NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS

Class of shares	Three months ended June 30, 2021
Common Stock		13,268,871
Common stock subscribed not issued		-
Series A preferred stock		4,200,000	*
Series B preferred stock		4,320,156	*
Options		2,759,250	*
Warrants		1,596,667	*

Total shares used in calculating fully-diluted EPS		13,268,871

~~NOTE~~* These 2shares –excluded ~~BASIS~~from OFthe ~~PRESENTATION~~calculation ~~AND~~of ~~SIGNIFICANT~~fully-diluted ~~ACCOUNTING~~EPS ~~POLICIES~~as ~~(CONTINUED)~~the result would be anti-dilutive.

(JI )~~SIGNIFICANT~~ ~~ACCOUNTING~~INVESTMENT ~~POLICIES~~ AND ~~RECENT~~VALUATION ~~ACCOUNTING~~OF ~~PRONOUNCEMENTS~~ INVESTMENT AT FAIR VALUE

InThe Company ~~March~~reviews ~~2020,~~ the ~~Company~~performance ~~adopted~~of ~~Accounting~~its ~~Standards~~investments ~~Codification~~based ~~Topic~~on ~~946~~available information, ~~Financial~~including ~~Services—Investment~~management ~~Companies~~reports, ~~(ASC~~press ~~Topic~~releases, ~~946).~~web site Inannouncements ~~accordance~~and ~~with~~progress ~~this~~reports, ~~specialized~~third ~~accounting~~party ~~guidance~~equity updates, ~~the~~management ~~company~~interviews ~~recognizes~~ and, ~~carries~~where ~~all~~accessible, offinancial ~~its~~reports, to ~~investments~~determine attheir ~~fair~~current and future potential value ~~with~~and ~~changes~~liquidity. inIn ~~fair~~the event that Management considers the value ~~recognized~~of inan ~~earnings.~~investment to ~~Additionally~~be impaired, the ~~company~~carrying value of the investment will ~~not~~be ~~apply~~written ~~consolidation~~down orby ~~equity~~an ~~method~~impairment charge to reflect Management’s estimated valuation. The Company recognized impairment of ~~accounting~~one toof its investments which was written down by $61,046 in September 2019. The Company has not experienced any other impairment write-downs in any prior or subsequent periods.

InThe Company ~~June~~adopted ~~2016,~~Financial ~~the~~Accounting ~~FASB~~Standards ~~issued~~Board ~~ASU 2016-13~~ (~~as amended through November 2019~~“FASB”), ~~Financial~~Accounting ~~Instruments—Credit~~Standards ~~Losses~~Codification (~~Topic 326~~“ASC”): ~~Measurement~~820, “Fair ofValue ~~Credit~~Measurements ~~Losses~~and onDisclosures”, ~~Financial~~for ~~Instruments.~~assets ~~ASU~~and ~~2016-13~~liabilities ~~introduces~~measured aat ~~new~~fair ~~forward-looking~~value ~~approach, based~~ on ~~expected~~a ~~losses,~~recurring tobasis. ~~estimate~~ASC ~~credit~~820 establishes ~~losses~~a oncommon ~~certain~~definition ~~types~~for offair ~~financial~~value ~~instruments,~~to ~~including~~be ~~trade~~applied ~~receivables and held-~~to~~-maturity~~ ~~debt~~existing ~~securities,~~US ~~which~~GAAP ~~will~~that require ~~entities~~the touse ~~incorporate considerations~~ of ~~historical~~fair ~~information,~~value ~~current~~measurements ~~information~~which establishes ~~and~~a ~~reasonable~~framework ~~and~~for ~~supportable~~measuring ~~forecasts.~~fair ~~This~~value ~~ASU~~and ~~also~~ expands disclosure ~~requirements.~~about ~~ASU~~such ~~2016-13~~fair isvalue ~~effective for the Company beginning in the first quarter of 2020~~measurements. ~~The guidance will be applied using the modified-retrospective approach. The adoption of this ASU did not have a material impact on the Company’s consolidated financial statements.~~

In December 2019, the FASB issued ASU No. 2019-12, “Simplifying the Accounting for Income Taxes” under ASC 740, which simplifies the accounting for income taxes by removing certain exceptions to the general principles in Topic 740 and amends existing guidance to improve consistent application. This guidance is effective for fiscal years beginning after December 15, 2021, including interim periods within that fiscal year. Early adoption is permitted. The Company is in the process of evaluating the impacts of this guidance on its consolidated financial statements and related disclosures.

~~Management~~Fair value ~~does~~is ~~not~~defined ~~believe~~as the price that ~~any~~would ~~recently~~be ~~issued,~~received ~~but~~to ~~not~~sell ~~yet~~an ~~effective,~~asset ~~accounting~~or ~~standards~~paid ifto ~~currently~~transfer ~~adopted~~a ~~would~~liability ~~have~~in an orderly transaction between market participants. Fair value is an exchange price notion under which fair value is the price in an orderly transaction between market participants to sell an asset or transfer a ~~material~~liability ~~effect~~in onthe market in which the ~~accompanying~~reporting ~~financial~~entity ~~statements~~would transact for the asset or liability.

~~(K)VOLUNTARY~~The Company ~~CHANGE~~has INestablished ~~ACCOUNTING~~procedures ~~PRINCIPLE~~ to estimate the fair value of its investments which the Company’s board of directors has reviewed and approved. The Company will use observable market data to estimate the fair value of investments to the extent that market data is available. In the absence of quoted market prices in active markets, or quoted market prices for similar assets or in markets that are not active, the Company will use the valuation methodologies described below with unobservable data based on the best available information in the circumstances, which incorporates the Company’s assumptions about the factors that a market participant would use to value the asset.

~~During~~For investments ~~the~~for ~~fourth~~which ~~quarter~~quoted market prices are not available, which will comprise most of ~~the~~our ~~year~~investment ~~ended~~portfolio, ~~March~~fair 31value will be estimated by using the income, ~~2020~~market, or back-solve approach. The income approach is based on the ~~Company~~assumption ~~made~~that value is created by the expectation of future benefits discounted to a ~~voluntary~~current ~~change~~value inand ~~accounting~~the ~~principle~~fair byvalue ~~preparing~~estimate is the ~~company’s~~amount ~~financial~~an ~~statements~~investor ~~using~~would be willing to pay to receive those future benefits. The market approach compares recent comparable transactions to the ~~specialized~~investment. ~~accounting~~The ~~principles~~back solve method involves comparing available data over a period of ~~Accounting~~time ~~Standards~~and ~~Codification~~inferring ~~Topic~~a ~~946~~new valuation based on changes from a known starting point, for ~~Financial~~example ~~Services—Investment~~the ~~Companies~~cost ~~(ASC~~of ~~Topic~~an ~~946)~~investment. Adjustments are made for any dissimilarity between the comparable transactions and the investments. These valuation methodologies involve a significant degree of judgment on the part of our management and board.

~~The~~In determining ~~Company~~the ~~made~~appropriate ~~this~~fair ~~voluntary~~value ~~change~~of inan ~~principle~~investment ~~because~~using itthese ~~believes~~approaches, ~~that~~ the ~~Company~~most ~~now~~significant ~~met~~information ~~the~~and ~~characteristics~~assumptions ~~and~~may include, ~~requirement~~as ofapplicable: ~~being~~available ancurrent ~~investment~~market ~~company~~data, ~~under~~including ~~ASC~~relevant ~~946~~and applicable comparable market transactions, applicable market yields and multiples, security covenants, call protection provisions, information rights, the ~~presentation~~nature ~~under~~and ~~ASC~~realizable ~~946~~value ~~better~~of ~~reflects~~any collateral, the ~~business~~investment’s ~~purpose~~ability to make payments, its earnings and ~~enhances~~discounted cash flows, the ~~comparability~~markets ofin ~~its~~which ~~financial~~the ~~statements~~company ~~with~~does ~~many~~business, comparisons of ~~its~~financial ~~industry~~ratios ~~peers.~~of Inpeer ~~accordance~~companies ~~with~~that ~~U.S.~~are ~~GAAP~~public, merger and acquisition comparables, the ~~change~~principal ~~was~~market ~~reflected~~and inenterprise values, ~~the~~environmental ~~financial~~factors, ~~statements~~subsequent ~~through~~financings ~~retrospective~~by ~~application~~the asportfolio ~~follows:~~investment, among other factors.

		June 30, 2019
		Prior to		Effect of
		Change		Change		Adjusted
Cash	$	325,308	$	-	$	325,308
Receivable		1,000		-		1,000
Investment		-		1,821,545		1,821,545
Deferred fundraising expenses		124,013		-		124,013
Current assets		450,321		1,821,545
Investment		1,821,545		(1,821,545)		-
Total assets	$	2,271,866	$	-	$	2,271,866

The authoritative ~~There~~accounting ~~have~~guidance ~~been~~prioritizes nothe ~~further~~use ~~changes~~of inmarket-based ~~the~~inputs over entity-specific inputs and establishes a three-level hierarchy orfor ~~nine~~fair ~~months~~value ~~ended~~measurements ~~December~~based ~~31,~~upon ~~2020~~the transparency of inputs to the valuation. The three levels of valuation hierarchy are defined as follows:

14Level 1: Observable inputs such as quoted market prices in active markets for identical assets or liabilities

~~KYTO~~Level 2: ~~TECHNOLOGY~~Observable ~~AND~~market-based ~~LIFE~~inputs ~~SCIENCE~~or ~~INC.~~unobservable inputs that are corroborated by market data

~~NOTES~~Level 3: TOUnobservable ~~UNAUDITED~~inputs ~~CONDENSED~~for ~~FINANCIAL~~which ~~STATEMENTS~~there is little or no market data, which require the use of the reporting entity’s own assumptions. Most of the Company’s investments are Level 3.

~~NOTE~~Critical accounting 2policies and practices are the policies that are both most important to the portrayal of our financial condition and results, and require management’s most difficult, subjective, or complex judgments, often as a result of the need to make estimates about matters that are inherently uncertain. These include estimates of the fair value of our Level 3 investments and other estimates that affect the reported amounts of assets and liabilities as of the date of the consolidated financial statements and the reported amounts of certain revenues and expenses during the reporting period. It is likely that changes in these estimates will occur in the near term. Our estimates are inherently subjective in nature and actual results could differ materially from such estimates. See “Note 1 – Significant ~~BASIS~~Accounting OFPolicies” ~~PRESENTATION~~to ~~AND~~our ~~SIGNIFICANT~~financial ~~ACCOUNTING~~statements ~~POLICIES~~as ~~(CONTINUED)~~of March 31, 2021 as filed with the SEC on August 10, 2021, for further detail regarding our critical accounting policies and recently issued or adopted accounting pronouncements.

~~(L)RECLASSIFICATION POLICY~~ 16

Certain amounts reported in prior years in the financial statements have been reclassified to conform to the current year’s presentation. These reclassifications had no impact on the previously reported net increase (~~decrease~~J) RECENT inACCOUNTING ~~net assets resulting from operations.~~PRONOUNCEMENTS

~~NOTE~~Management does 3not ~~– COMMITMENTS~~believe ~~AND~~that ~~CONTINGENCIES~~any recently issued, but not yet effective, accounting standards if currently adopted would have a material effect on the accompanying financial statements.

~~The~~(K) DEFERRED ~~Company~~OFFERING ~~has no commitments or contingencies.~~COSTS

~~NOTE~~Since April 42019, ~~– RELATED~~the ~~PARTY~~Company ~~TRANSACTIONS~~has conducted a series of sales of common and preferred stock to fund its ongoing investment program and cost of operations. Typically, it expects that this series, from start to finish, may take from six to nine months and in order to match the cost and benefits of this process, the Company adopted a policy of capitalizing direct expenses incurred in the course of fund raising, with the intention of netting accumulated expenses against proceeds from sale of equity, and reporting the net funds raised at the close. Direct expenses include legal fees, investor relations fees, investor roadshows and meeting expenses, and related filing and printing fees. At June 31, 2021, the Company had deferred $170,889 of such expenses, relating to the preparation and filing of an N-2 Registration Statement.

AtNOTE 3 ~~December~~– ~~31,~~COMMITMENTS ~~2020~~AND ~~and March 31, 2020, the Company had accrued and owed $8,000 and $5,750, respectively, to officers of the Company for service fees, telephone and car allowance.~~ CONTINGENCIES

~~NOTE~~The Company 5has ~~– INVESTMENTS~~no commitments or contingencies as of the date of this filing.

~~The~~NOTE 4 ~~following~~- ~~table~~RELATED ~~summarizes~~PARTY ~~the Company’s investment portfolio at December 31, 2020 and March 31, 2020.~~TRANSACTIONS

			December 31, 2020			March 31, 2020
Number of portfolio companies			46			28
Fair value		$	5,882,442		$	2,665,499
Cost		$	3,466,545		$	2,726,545
% of portfolio at fair value
	Convertible notes		2,421,972	31%		1,578,002	59%
	Preferred stock		2,472,475	54%		651,497	24%
	Common stock		391,995	4%		73,500	3%
	SAFE		225,000	2%		126,500	5%
	Other ownership units		371,000	9%		236,000	9%
	Total	$	5,882,442	100%	$	2,665,499	100%

At June 30, 2021 and March 31, 2021, the Company had accrued and owed $72,205 and $51,420, respectively, to officers of the Company for deferred payroll and consulting service fees.

~~Our~~At June ~~investment portfolio represents approximately 91.9% of our net assets at December 31~~30, ~~2020 and 99.9% at March 31~~2021, ~~2020.~~officers ~~For convertible loans the valuation is increased to reflect accrued interest. For preferred stock investments~~ or ~~convertible~~directors ~~loans~~of ~~that convert to preferred stock,~~ the Company ~~values~~held ~~their~~board ~~investment~~positions at ~~the~~three price paid by investors unless there has been a subsequent round, in which case the Company uses a valuation midway between the price of its preferred stock and the price paid by investors in the latest funding round. For common stock of publicly traded portfolio companies: ~~the~~InBay ~~Company~~Technology ~~uses closing price on the last day of the quarter~~Inc. ~~For other investments including common stock~~, ~~SAFEs~~Exodos Life ~~and~~Sciences ~~units~~LP, ~~the investments are carried at cost unless there are other available metrics, such as relevant market multiples~~ and ~~comparable~~Achelios ~~company~~Therapeutics ~~valuations, company specific-financial data including actual and projected results and, independent third party valuation estimates~~Inc.

15NOTE 5 – INVESTMENTS

~~KYTO~~The following ~~TECHNOLOGY~~table ~~AND~~summarizes ~~LIFE~~the ~~SCIENCE~~Company’s ~~INC~~investment portfolio at June 30, 2021 and March 31, 2021.

NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS

	June 30, 2021				March 31, 2021
Number of portfolio companies		60				51
Fair value	$	8,140,007			$	6,821,407
Cost		6,952,145				5,686,545

% of portfolio at fair value
Convertible notes		3,252,175	40	%		2,553,954	37	%
Preferrred stock		3,384,237	42	%		3,129,458	46	%
Common stock		557,595	7	%		391,995	6	%
SAFE		425,000	5	%		325,000	5	%
Other ownership units		521,000	6	%		421,000	6	%
Total	$	8,140,007	100	%	$	6,821,407	100	%

~~NOTE 5 – INVESTMENTS (CONTINUED)~~17

~~The~~Our investment ~~following~~portfolio ~~table~~represents ~~presents~~approximately ~~fair~~95% ~~value~~of ~~measurements~~our ofnet ~~investments,~~assets byat ~~major~~June ~~class~~30, as2021 ofand ~~December~~98% at March 31, ~~2020~~2021. Investments in early-stage start up private operating entities are valued based on available metrics, such as relevant market multiples and ~~March~~comparable 31company valuations, company ~~2020~~specific-financial data including subsequent financings, ~~according~~actual toand ~~the~~projected ~~fair~~results, ~~value~~and ~~hierarchy:~~independent third-party valuation estimates.

Description	Level 1	Level 2	Level 3	Total
		As of June 30, 2021
December 31, 2020
		Fair Value			Valuation Approach/ Technique	Unobservable Inputs	Range/ Weighted Average
Convertible notes	-	-$	~~$ 2.421.972~~3,252,175	~~$ 2,421,972~~	Market approach	Precedent and follow-on transactions		N/A
Preferred stock	-	-	2,472,475	2,472,475
Preferred stock in private companies			3,384,237		Market approach	Precedent and follow-on transactions		N/A
SAFEs	-	-	225,000	225,000
Common stock in private companies			400,000		Market approach	Precedent and follow-on transactions		N/A
Common stock	-	-	391,995	391,995
SAFE			425,000		Market approach	Precedent and follow-on transactions		N/A
Other ownership interests	-	-	371,000	371,000
Other investments			521,000		Market approach	Precedent and follow-on transactions		N/A
Total	$ -	$ -	$ 5,882,442	$ 5,882,442
Total Investments		$	7,982,412
Description	Level 1	Level 2	Level 3	Total
March 31, 2020
Convertible notes	-	-	$ 1,528,002	$ 1,528,002
Preferred stock	-	-	701,497	701,497
SAFEs	-	-	73,500	73,500
Common stock	-	-	126,500	126,500
Other ownership interests	-	-	236,000	236,000
Total	$ -	$ -	$ 2,665,499	$ 2,665,499

We focus on making our investments in the United States, Canada and Israel. The investments in Canada and Israel were denominated and can be settled in USD.

As of March 31, 2021

Fair Value

Valuation

Approach/

Technique

Unobservable Inputs

Range/ Weighted Average

Convertible notes

2,553,954

Market approach

Filing Compare · Kyto Technology & Life Science, Inc.