0001877788 false --12-31 2023 Q1 71100000 P1Y 0001877788 2023-01-01 2023-03-31 0001877788 2023-05-10 0001877788 2023-03-31 0001877788 2022-12-31 0001877788 us-gaap:SeriesAPreferredStockMember 2023-03-31 0001877788 us-gaap:SeriesAPreferredStockMember 2022-12-31 0001877788 us-gaap:SeriesBPreferredStockMember 2023-03-31 0001877788 us-gaap:SeriesBPreferredStockMember 2022-12-31 0001877788 2022-01-01 2022-03-31 0001877788 us-gaap:PreferredStockMember us-gaap:SeriesBPreferredStockMember 2022-12-31 0001877788 us-gaap:CommonStockMember 2022-12-31 0001877788 us-gaap:AdditionalPaidInCapitalMember 2022-12-31 0001877788 bnow:StockPayableMember 2022-12-31 0001877788 us-gaap:RetainedEarningsMember 2022-12-31 0001877788 us-gaap:PreferredStockMember us-gaap:SeriesBPreferredStockMember 2021-12-31 0001877788 us-gaap:CommonStockMember 2021-12-31 0001877788 us-gaap:AdditionalPaidInCapitalMember 2021-12-31 0001877788 bnow:StockPayableMember 2021-12-31 0001877788 us-gaap:RetainedEarningsMember 2021-12-31 0001877788 2021-12-31 0001877788 us-gaap:PreferredStockMember us-gaap:SeriesBPreferredStockMember 2023-01-01 2023-03-31 0001877788 us-gaap:CommonStockMember 2023-01-01 2023-03-31 0001877788 us-gaap:AdditionalPaidInCapitalMember 2023-01-01 2023-03-31 0001877788 bnow:StockPayableMember 2023-01-01 2023-03-31 0001877788 us-gaap:RetainedEarningsMember 2023-01-01 2023-03-31 0001877788 us-gaap:PreferredStockMember us-gaap:SeriesBPreferredStockMember 2022-01-01 2022-03-31 0001877788 us-gaap:CommonStockMember 2022-01-01 2022-03-31 0001877788 us-gaap:AdditionalPaidInCapitalMember 2022-01-01 2022-03-31 0001877788 bnow:StockPayableMember 2022-01-01 2022-03-31 0001877788 us-gaap:RetainedEarningsMember 2022-01-01 2022-03-31 0001877788 us-gaap:PreferredStockMember us-gaap:SeriesBPreferredStockMember 2023-03-31 0001877788 us-gaap:CommonStockMember 2023-03-31 0001877788 us-gaap:AdditionalPaidInCapitalMember 2023-03-31 0001877788 bnow:StockPayableMember 2023-03-31 0001877788 us-gaap:RetainedEarningsMember 2023-03-31 0001877788 us-gaap:PreferredStockMember us-gaap:SeriesBPreferredStockMember 2022-03-31 0001877788 us-gaap:CommonStockMember 2022-03-31 0001877788 us-gaap:AdditionalPaidInCapitalMember 2022-03-31 0001877788 bnow:StockPayableMember 2022-03-31 0001877788 us-gaap:RetainedEarningsMember 2022-03-31 0001877788 2022-03-31 0001877788 us-gaap:FairValueInputsLevel1Member bnow:DerivativeLiabilityMember 2023-03-31 0001877788 us-gaap:FairValueInputsLevel2Member bnow:DerivativeLiabilityMember 2023-03-31 0001877788 us-gaap:FairValueInputsLevel3Member bnow:DerivativeLiabilityMember 2023-03-31 0001877788 bnow:DerivativeLiabilityMember 2023-03-31 0001877788 us-gaap:FairValueInputsLevel1Member 2023-03-31 0001877788 us-gaap:FairValueInputsLevel2Member 2023-03-31 0001877788 us-gaap:FairValueInputsLevel3Member 2023-03-31 0001877788 us-gaap:FairValueInputsLevel1Member bnow:DerivativeLiabilityMember 2022-12-31 0001877788 us-gaap:FairValueInputsLevel2Member bnow:DerivativeLiabilityMember 2022-12-31 0001877788 us-gaap:FairValueInputsLevel3Member bnow:DerivativeLiabilityMember 2022-12-31 0001877788 bnow:DerivativeLiabilityMember 2022-12-31 0001877788 us-gaap:FairValueInputsLevel1Member 2022-12-31 0001877788 us-gaap:FairValueInputsLevel2Member 2022-12-31 0001877788 us-gaap:FairValueInputsLevel3Member 2022-12-31 0001877788 us-gaap:DerivativeFinancialInstrumentsLiabilitiesMember 2023-01-01 2023-03-31 0001877788 us-gaap:DerivativeFinancialInstrumentsLiabilitiesMember 2023-03-31 0001877788 us-gaap:EquipmentMember 2023-03-31 0001877788 us-gaap:EquipmentMember 2022-12-31 0001877788 us-gaap:LeaseholdImprovementsMember 2023-03-31 0001877788 us-gaap:LeaseholdImprovementsMember 2022-12-31 0001877788 us-gaap:TrucksMember 2023-03-31 0001877788 us-gaap:TrucksMember 2022-12-31 0001877788 bnow:CGroupLLCMember 2023-03-31 0001877788 bnow:CGroupLLCMember 2022-12-31 0001877788 bnow:VGroupMember 2023-03-31 0001877788 bnow:VGroupMember 2023-01-01 2023-03-31 0001877788 bnow:VGroupMember 2022-12-31 0001877788 us-gaap:ConvertibleNotesPayableMember 2023-03-31 0001877788 us-gaap:ConvertibleNotesPayableMember 2022-12-31 0001877788 bnow:CarolynHamburgerMember 2023-03-31 0001877788 bnow:CarolynHamburgerMember 2023-01-01 2023-03-31 0001877788 bnow:CarolynHamburgerMember 2022-12-31 0001877788 bnow:DorisNotterMember 2023-03-31 0001877788 bnow:DorisNotterMember 2023-01-01 2023-03-31 0001877788 bnow:DorisNotterMember 2022-12-31 0001877788 bnow:MaguireAndAssociate1Member 2023-03-31 0001877788 bnow:MaguireAndAssociate1Member 2023-01-01 2023-03-31 0001877788 bnow:MaguireAndAssociate1Member 2022-12-31 0001877788 bnow:MaguireAndAssociate2Member 2023-03-31 0001877788 bnow:MaguireAndAssociate2Member 2023-01-01 2023-03-31 0001877788 bnow:MaguireAndAssociate2Member 2022-12-31 0001877788 srt:ManagementMember 2022-09-07 2022-09-07 0001877788 srt:ManagementMember 2023-01-01 2023-03-31 0001877788 srt:ManagementMember 2023-03-31 0001877788 srt:ManagementMember 2022-12-31 0001877788 srt:ChiefOperatingOfficerMember 2020-02-02 2020-03-02 0001877788 srt:ChiefOperatingOfficerMember 2023-01-01 2023-03-31 0001877788 srt:ChiefOperatingOfficerMember 2023-03-31 0001877788 srt:ChiefOperatingOfficerMember 2022-12-31 0001877788 bnow:FormerChiefExecutiveOfficerAndDirectorMember 2020-03-02 2020-03-02 0001877788 bnow:FormerDirector1Member 2021-09-21 2021-09-21 0001877788 bnow:FormerDirector2Member 2021-09-21 2021-09-21 0001877788 us-gaap:PreferredStockMember us-gaap:SeriesAPreferredStockMember 2023-01-01 2023-03-31 0001877788 us-gaap:PreferredStockMember us-gaap:SeriesAPreferredStockMember 2022-01-01 2022-03-31 0001877788 us-gaap:SeriesBPreferredStockMember 2022-11-15 0001877788 us-gaap:SeriesBPreferredStockMember 2022-11-16 0001877788 us-gaap:SeriesBPreferredStockMember 2023-01-01 2023-03-31 0001877788 us-gaap:SeriesBPreferredStockMember bnow:FormerChiefExecutiveOfficerMember 2020-03-02 0001877788 us-gaap:SubsequentEventMember us-gaap:SeriesBPreferredStockMember srt:ChiefExecutiveOfficerMember 2023-04-30 0001877788 us-gaap:SubsequentEventMember us-gaap:SeriesBPreferredStockMember srt:ChiefFinancialOfficerMember 2023-04-30 iso4217:USD xbrli:shares iso4217:USD xbrli:shares xbrli:pure bnow:Number

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 the quarterly period ended March 31, 2023

o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from ______________ to _______________

Commission file number: 000-56325

(CuraScientific Corp. LOGO)

CuraScientific Corp.

(Exact name of registrant as specified in its charter)

Oklahoma		84-5079920
(State or other jurisdiction of incorporation or organization)		(I.R.S. Employer Identification No.)

51544 Cesar Chavez Street, Coachella, California 92236

(Address of principal executive offices) (Zip Code)

(909) 435-1642

(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Exchange Act: N/A

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. Yes x No o

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 (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files) Yes x No o

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	o	Accelerated filer	o
Non-accelerated filer	x	Smaller reporting company	x
		Emerging growth company	x

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. x

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes o No x

As of May 10, 2023, the registrant had 6,992,375 (post reverse split) shares of common stock, $0.0001 par value per share, outstanding.

TABLE OF CONTENTS

Part I. Financial Information	3
Item 1. Consolidated Financial Statements	3
Consolidated Balance Sheets – As of March 31, 2023 (unaudited) and December 31, 2022 (audited)	3
Consolidated Statements of Operations – For the three months ended March 31, 2023 and 2022 (unaudited)	4
Consolidated Statements of Changes in shareholders’ Deficit for the three months ended March 31, 2023 and 2022 (unaudited)	5
Statements of consolidated Cash Flows – For the three months ended March 31, 2023 and 2022 (unaudited)	6
Notes to Consolidated Financial Statements	7
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	22
Item 3. Quantitative and Qualitative Disclosures about Market Risk	24
Item 4. Controls and Procedures	25

Part II. Other Information	26
Item 1. Legal Proceedings	26
Item 1A. Risk Factors	26
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds	26
Item 3. Defaults upon Senior Securities	26
Item 4. Mine Safety Disclosures	26
Item 5. Other Information	26
Item 6. Exhibits	26

Signatures	27

PART I — FINANCIAL INFORMATION

Item 1. Consolidated Financial Statements

CuraScientific Corp.

Consolidated Balance Sheets
As of March 31, 2023 (unaudited), and December 31, 2022

	March 31,(*)			December 31,(*)
	2023			2022
ASSETS
Current Assets:
Cash and cash equivalents	$	502		$	130
Prepaid expenses and other assets		27,062			39,738
Total Current Assets		27,564			39,868

Property and equipment, net		83,164			86,917
Capitalized licensing fees, net		1,275,000			1,425,000

TOTAL ASSETS	$	1,385,728		$	1,551,785

LIABILITIES
Current Liabilities:
Accounts payable	$	373,754		$	330,489
Convertible notes payable, net of discount		150,000			150,000
Loans payable		123,543			2,487,314
Accrued interest		94,090			86,816
Derivative liability		215,378			1,026,942
Related party liabilities		178,997			103,997
Series A Preferred Liability: $0.0001 par value; 20,000,000 shares authorized, 7,000,757 and 6,662,422 shares issues and outstanding at March 31, 2023 and December 31, 2022, respectively		70,007,570			66,624,220
Total Current Liabilities		71,143,332			70,809,778

Related party Liabilities		250,000			250,000
Total Non-Current Liabilities		250,000			250,000

Total Liabilities		71,393,332			71,059,778

Commitments and contingencies (note 10)

SHAREHOLDERS’ DEFICIT

Preferred stock, Series B: $0.0001 par value; 2,500 shares authorized 2,000 shares issued and outstanding at March 31, 2023 and December 31, 2022		—			—
Common stock, $0.0001 par value; 2,000,000,000 shares authorized 6,992,375 and 6,659,375 shares issued and outstanding at March 31, 2023 and December 31, 2022, respectively.		699			666
Stock Payable		600,000			900,000
Additional paid in capital		(53,937,795	)		(53,954,412	)
Accumulated deficit		(16,670,508	)		(16,454,247	)
Total Shareholders’ Deficit		(70,007,604	)		(69,507,993	)
TOTAL LIABILITIES AND SHAREHOLDERS’ DEFICIT	$	1,385,728		$	1,551,785

(*)

The number of shares has been retroactively restated to reflect the one for five hundred (1 for 500) reversed stock split, which was effective on April 24, 2023.

The accompanying notes are an integral part of these unaudited consolidated financial statements.

CuraScientific Corp.

Consolidated Statements of Operations

For the Three Months Ended March 31, 2023 and 2022

(unaudited)


	Three Months Ended
	March 31,
	2023			2022
Sales	$	—		$	25,451
Cost of sales		—			8,285
Gross profit		—			17,166

Operating expenses
General and administrative		19,286			140,691
Stock-based compensation		—			175,000
Professional fees		52,464			46,823
Licensing fees		150,000			150,000
Salaries and wages		75,000			90,500
Depreciation		3,754			3,519
Total operating expenses		300,504			606,533

Loss from operations		(300,504	)		(589,367	)

Other income (expense)
Loss on settlement of debt		(722,687	)		—
Change in fair value of derivative liability		811,564			(2,479,279	)
Other income		2,640			—
Loss on Series A conversion		—			(1,130,595	)
Interest expense, net		(7,274	)		(368,294	)
Other income (expense)		84,243			(3,978,168	)

Loss before income taxes		(216,261	)		(4,567,535	)

Provision for income taxes		—			—

Net Loss	$	(216,261	)	$	(4,567,535	)

Basic and diluted net loss per share (*)	$	(0.03	)	$	(2.57	)
Weighted average common share outstanding, basic and diluted (*)		6,818,475			1,775,758

(*)

The number of shares has been retroactively restated to reflect the one for five hundred (1 for 500) reversed stock split, which was effective on April 24, 2023.

The accompanying notes are an integral part of these unaudited consolidated financial statements.

CuraScientific Corp.

Consolidated Statement of Shareholders’ Deficit

For the Three Months Ended March 31, 2023 and 2022

(Unaudited)

For the Three Months Ended March 31, 2023

			^(*)				^(*)		^(*)
	Preferred Stock								Additional									Total
	Series B (*)				Common Stock (*)				Paid-In						Accumulated			Shareholders’
	Shares		Amount		Shares		Amount		Capital (*)			Stock Payable			Deficit			Deficit
Balance at December 31, 2022		2,000	$	—		6,659,375	$	666	$	(53,954,412	)		900,000		$	(16,454,247	)	$	(69,507,993	)

Shares of common stock issued pursuant to conversion preferred stock		—		—		333,000		33		16,617			—			—			16,650
Preferred stock issued pursuant to consulting agreement		—		—		—		—		—			(300,000	)		—			(300,000	)
Net loss		—		—		—		—		—			—			(216,261	)		(216,261	)
Balance at March 31, 2023		2,000	$	—		6,992,375	$	699	$	(53,937,795	)		600,000		$	(16,670,508	)	$	(70,007,604	)

(*)

The number of shares and per share amounts have been retroactively restated to reflect the one for five hundred (1 for 500) reverse stock split, which was effective on April 24, 2023

For the Three Months Ended March 31, 2022

			^(*)				^(*)		^(*)
	Preferred Stock								Additional								Total
	Series B (*)				Common Stock (*)				Paid-In					Accumulated			Shareholders’
	Shares		Amount		Shares		Amount		Capital(*)			Stock Payable		Deficit			Deficit
Balance at December 31, 2021		1,000	$	—		801,023	$	80	$	(58,450,463	)		250,000	$	(11,186,133	)	$	(69,386,516	)

Shares of common stock issued pursuant to conversion preferred stock		—		—		2,075,350		207		2,772,358			—		—			2,772,565
Preferred stock issuable pursuant to consulting and director agreements		—		—		—		—		—			150,000		—			150,000
Net loss		—		—		—		—		—			—		(4,567,535	)		(4,567,535	)
Balance at March 31, 2022		1,000	$	—		2,876,373	$	287	$	(55,678,105	)		400,000	$	(15,753,668	)	$	(71,031,486	)

(*)

The number of shares and per share amounts have been retroactively restated to reflect the one for five hundred (1 for 500) reverse stock split, which was effective on April 24, 2023

The accompanying notes are an integral part of these unaudited consolidated financial statements.

CuraScientific Corp.

Consolidated Statements of Cash Flows

For the Three Months Ended March 31, 2023 and 2022

(Unaudited)

	March 31, 2023			March 31, 2022
Cash flows from operating activities:
Net loss	$	(216,261	)	$	(4,567,535	)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation		3,754			3,519
Amortization of convertible debt discount		—			202,626
Loss on debt extinguishment		722,687			—
Amortization capitalized license fees		150,000			150,000
Fair value of Preferred stock issued with licensing agreements		—			—
Change in fair value of derivative liability		(811,564	)		2,479,279
Stock-based compensation		—			175,000
Non-cash interest expense		—			115,156
Loss on Series A conversion		—			1,130,595
Decrease (increase) in operating assets and liabilities
Accounts receivable		—			13,453
Inventory		—			(3,955	)
Prepaid and other assets		12,676			(2,000	)
Accounts payable and accrued liabilities		56,807			29,811
Related party liabilities		75,000			82,484
Accrued interest		7,273			40,402
Net cash provided by (used in) operating activities		372			(151,165	)

Cash flows from investing activities:
Acquisition of property & equipment		—			(14,914	)
Net cash used in investing activities		—			(14,914	)

Cash flows from financing activities:
Proceeds from convertible debt		—			145,394
Net cash provided by financing activities		—			145,394

Net increase in cash		372			(20,685	)

Cash, beginning of period		130			23,360
Cash, end of period	$	502		$	2,675

Supplemental Disclosures of Cash Flow Information

Cash paid for interest	$	—		$	2,502
Cash paid for taxes	$	—		$	—

Supplemental Disclosures of Non-Cash Investing and Financing Activities
Original debt discount conversion feature	$	—		$	145,329
Issuance of Series Preferred pursuant to consulting agreement	$	300,000		$	—
Common shares issued pursuant to Series Preferred conversion	$	16,650		$	—
Corporate expenses paid by investor	$	13,542		$	—

The accompanying notes are an integral part of these unaudited consolidated financial statements.

CuraScientific Corp.

Notes to the Consolidated Financial Statements

NOTE 1 – NATURE OF OPERATIONS AND GOING CONCERN

Organization and Description of Business

CuraScientific Corp (“Cura,” the “Company,” “we,” “us” and “our”), formerly known as Boon Industries Inc., manufactures commercial chemical products with various applications in commercial sterilization for agriculture, warehousing, hospitality and medical facilities. DiOx+, our flagship product, is a disinfectant sterilizer that kills harmful pathogens without dangerous toxic exposure to the user or the environment. DiOx+ is an activated chlorine dioxide (Cl02) broad spectrum disinfectant that protects the environment and human health from viruses, bacteria and harmful by-products left by other cleaning sanitizers, without a harsh smell or skin irritation. DiOx+ is effective against aerobic and non-aerobic bacteria, viruses, molds, fungi, algae, protozoa, and spores.

Our proprietary chemical formulas and processes make DiOx+ ideal for sterilizing mission critical, high value medical equipment and disinfecting air and surfaces in laboratory and hospital environments. DiOx+ helps protect agricultural crops from disease, can be used in water treatment systems, and helps reduce operational costs in warehousing and distribution centers, and ecommerce support facilities.

We manufacture DiOx+ in the U.S. at our production facility located in Grass Valley, California. We also manufacture customized “white label” products for the food and beverage industry at the facility we lease in Grants Pass, Oregon.

Our wholly owned subsidiary, Matrix of Life Tech Trust, works with the Company with applications in the beverage and nutritional supplement industries, and water bottling operations in Grants Pass, Oregon, where it produces bottled water and a range of products for the health and wellness industry.

On October 1, 2022, the Company executed a share exchange agreement with Cal Care Group, Inc. (“Cal Care”), a California Corporation with products and services in the cannabis retail, manufacturing, distribution, and delivery. Cal Care is a product and brand marketing company investing in operations with disruptive or hyper growth potential. Headquartered in San Jacinto, California, Cal Care’s core strategic business is its end-market access as a central player in the growing California cannabis delivery marketplace while developing its in-house cannabis production capacity to verticalize operations in the space. The Company intends to acquire all of the issued and outstanding shares of Cal Care in exchange for 500,000 Series A preferred shares of the Company. The transaction will only become effective upon exchange of the agreed upon consideration, which has not occurred at March 31, 2023. Both parties can unilaterally terminate such agreement until the agreed upon consideration is exchanged, which occurred during the second fiscal quarter of 2023 (see note 11).

Holding Company Parent-subsidiary Formation

On March 2, 2020, the Company became the parent and successor issuer of Leaf of Faith Beverage, Inc. (“LOFB”), pursuant to a parent-subsidiary reorganization with LOFB, pursuant to Section 1081(g) of the Oklahoma Act, which was executed by Leaf of Faith Beverage, Inc., Boon Industries, Inc., and Leaf of Faith Beverage Merger Sub, Inc. Boon Industries, Inc. was incorporated in Oklahoma on March 2, 2020.

Under the Agreement and plan of merger, Leaf of Faith Beverage, Inc. merged into Leaf of Faith Beverage Merger Sub, Inc. and Leaf of Faith Beverage, Inc. ceased to exist, wherein Leaf of Faith Beverage Merger Sub, Inc. became the survivor and successor, having acquired all of Leaf of Faith Beverage, Inc. assets, rights financial statements, obligations, and liabilities as the constituent or resulting corporation. Boon Industries, Inc. became the parent and the holding company of Leaf of Faith Beverage Merger Sub, Inc. under the Parent Subsidiary formation which was in compliance with Section 1081(g) of the Oklahoma Act. Upon consummation of the Parent Subsidiary formation, each issued and outstanding share of capital stock of the former Leaf of Faith Beverage, Inc. was transmuted into and represented the identical equity structure of Boon Industries, Inc. (on a share-for-share basis) being of the same designations, rights, powers and preferences, and qualifications, limitations, and restrictions. Boon Industries, Inc. was the issuer since the former Leaf of Faith Beverage, Inc. equity structure was transmuted pursuant to Section 1081(g) as the current issued and outstanding equities of Boon Industries, Inc.

Change of Control/ Asset Purchase

On March 2, 2020, Boon Industries, Inc. completed an Asset Purchase Agreement with Matrix of Life Tech Trust, an Oregon Trust, a Trust with ongoing operations (“Matrix’). The Asset Purchase was in compliance with Section 368(a)(l)(B) of the Internal Revenue Code of 1986, as amended and resulted in a change in control of Boon Industries, Inc. Boon Industries, Inc., is an operating business with ongoing operations since its date of incorporation on March 2, 2020, to present. From the date of incorporation, Boon Industries, Inc., has had ongoing operations and is therefore an “Issuer” that is not, and has never been a “Shell Company” or ever was a “Former Shell Company” as defined in Rule 144(i) of the Act.

Matrix of Life Tech Trust (the “Trust”) was established in October of 2011 by Justin Gonzalez, as trustee, for the benefit of his children to develop proprietary technologies in emulsification with applications in the beverage and nutritional supplement industries. The Trust was initially funded by cash from Mr. Gonzalez to engage in its business. Beginning in 2012 the Trust conducted water bottling operations in Grants Pass, Oregon, where it produced bottled water and a range of products for the health and wellness industry, until the sale of its assets to us in March 2020.

For financial reporting purposes, the Matrix acquisition represents a capital transaction of Matrix of Life Tech Trust or a Business combination under common control accounted for under ASC 805-50, because the sellers of Matrix of Life Tech Trust controlled the Company before the merger and immediately following the completion of the transaction. As such, Matrix of Life Tech Trust is deemed to the accounting acquirer in the transaction and, consequently, the transaction is being treated as a recapitalization of Matrix of Life Tech Trust. Accordingly, the assets and liabilities and the historical operations that will be reflected in the Company’s ongoing financial statements will be those of Matrix of Life Tech Trust and will be recorded at the historical cost basis of Matrix of Life Tech Trust. The Company’s assets, liabilities and results of operations will be consolidated with the assets, liabilities, and results of operations of Matrix of Life Tech Trust after consummation of the merger. The Company’s historical capital accounts will be retroactively adjusted to reflect the equivalent number of shares issued by the Company in the merger while Matrix of Life Trust’s historical retained earnings will be carried forward. The historical financial statements of the Company before the Merger will be replaced with the historical statements of Matrix of Life Tech Trust before the merger in all future filings with the Securities and Exchange Commission, or “SEC”.

Reincorporation Merger

On November 8, 2022, the Shareholders of the Company approved an agreement and plan of merger, pursuant to which the Company will merge with and into CuraScientific Corporation, a newly formed Florida corporation and a wholly owned subsidiary of the Company, which will result in the Company’s reincorporation from the State of Oklahoma to the State of Florida and change the Company’s name to CuraScientific Corporation.

The shareholders also approved the implementation of a reverse stock split of its common stock on the basis of the issuance one share of CuraScientific Corporation’s common stock for each 500 shares of common stock of the Company issued and outstanding prior to the reincorporation merger (“reverse stock split”). Each share of Series A preferred stock of the Company will convert into one share of Series A preferred stock of CuraScientific Corporation and each share of Series B preferred stock of the Company will convert into one share of Series B preferred stock of CuraScientific corporation.

The reverse stock split and name change became effective with FINRA (the Financial Industry Regulatory Authority) on April 24, 2023, whereupon the shares of CuraScientific common stock will begin trading on a split-adjusted basis.

On April 24, 2023, the trading symbol for our common stock will change to “BNOWD” for a period of 20 business days, after which our common stock will trade under our new trading symbol “CSTF”. All share and per share related numbers in these consolidated financial statements give effect to the reverse stock split, which was effective on April 24, 2023, before issuance of the consolidated financial statements.

The Reincorporation Merger did not result in any change in our headquarters, business, management, location of our any offices or facilities, number of employees, federal tax identification number, assets or liabilities (other than as a result of the costs incident to the Reincorporation Merger, which are not material). Management, including all directors and officers, remain the same immediately after the Reincorporation Merger.

Liquidity and Going Concern

The accompanying consolidated financial statements have been prepared assuming the Company will continue as a going concern. As of March 31, 2023, the Company’s current liabilities exceeded its current assets by approximately $71.1 million. The Company has recorded a net loss of $216,261 for the three months ended March 31, 2023, has positive cash flow from operations of approximately $372, has an accumulated deficit of $16.7 million as of March 31, 2023, and has limited business operations, which raises substantial doubt about the Company’s ability to continue as a going concern.

The ability of the Company to meet its commitments as they become payable is dependent on the ability of the Company to obtain necessary financing or to achieve a profitable level of operations.

The Company has arranged financing through convertible debts and intends to utilize the cash received to fund its operations. The Company plans to seek additional financing, if necessary, in private or public equity offering to secure future funding for operations. If the Company is not able to secure additional funding, the implementation of the Company’s business plan will be impaired. There can be no assurance that such additional financing will be available to the Company on acceptable terms or at all.

These consolidated financial statements do not give effect to adjustments to the amounts and classification to assets and liabilities that would be necessary should the Company be unable to continue as a going concern.

NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation

The Company maintains its accounting records on an accrual basis in accordance with GAAP. These consolidated financial statements are presented in United States dollars. The accompanying unaudited consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q. All adjustments which are, in the opinion of management, necessary for a fair presentation of the results of operations for the interim periods have been made and are of a recurring nature unless otherwise disclosed herein.

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Management regularly evaluates estimates and assumptions related to the valuation of assets and liabilities. Management bases its estimates and assumptions on current facts, historical experience, and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the accrual of costs and expenses that are not readily apparent from other sources. The actual results experienced by the Company may differ materially and adversely from management’s estimates. To the extent there are material differences between the estimates and the actual results, future results of operations will be affected. Significant estimates include:

■

Liability for legal contingencies.

■

Useful life of assets.

■

Deferred income taxes and related valuation allowance.

■

Impairment of finite-life intangible.

■

Obsolescence of inventory

■

Stock-based compensation using the Black Scholes option pricing model.

Segment Reporting

The Company operates as one reportable segment under ASC 280, Segment Reporting. The Chief operating decision maker regularly reviews the financial information of the Company at a consolidated level in deciding how to allocate resources and in assessing performance.

Cash and Cash Equivalents

The Company considers all highly liquid investments with maturities of 90 days or less from the date of purchase to be cash equivalents. The Company did not have any cash equivalents as of March 31, 2023, and December 31, 2022, respectively.

COVID-19

The Company began seeing the impact of the COVID-19 pandemic on its business in early March 2020. The direct financial impact of the pandemic has primarily shown in significantly reduced production. In addition to these direct financial impacts, COVID-19 related safety measures resulted in a reduction of productivity. The Company will continue to assess and manage this situation and will provide a further update in each quarterly earnings release, to the extent that the effects of the COVID-19 pandemic are then known more clearly.

Fair value of Financial Instruments and Fair Value Measurements

Accounting Standards Codification (“ASC”) 820 Fair Value Measurements and Disclosures, requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. ASC 820 establishes a fair value hierarchy based on the level of independent, objective evidence surrounding the inputs used to measure fair value.

Fair value is defined as the price that would be received upon sale of an asset or paid upon transfer of a liability in an orderly transaction between market participants at the measurement date and in the principal or most advantageous market for that asset or liability.

In addition to defining fair value, the standard expands the disclosure requirements around the value and establishing a fair value hierarchy for valuation inputs is expanded. The hierarchy prioritizes the inputs into three levels based on the extent to which inputs used in measuring the value are observable in the market.

A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. ASC 820 prioritizes the inputs into three levels that may be used to measure fair value:

Level 1 – Inputs are based upon unadjusted quoted prices for identical instruments traded in active markets.

Level 2 – Inputs are based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in market that are not active, and model-based valuation techniques for which all significant assumptions are observable in the market or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

Level 3 – Inputs are generally unobservable and typically reflect management’s estimates of assumptions that market participants would use in pricing the asset or liability. The fair values are therefore determined using model-based techniques that include option pricing models, discounted cash flow models and similar techniques.

The reported fair values for financial instruments that use Level 2 and Level 3 inputs to determine fair value are based on a variety of factors and assumptions. Accordingly, certain fair values may not represent actual values of the Company’s financial instruments that could have been realized as of March 31, 2023, or that will be recognized in the future, and do not include expenses that could be incurred in an actual settlement.

The carrying amounts of the Company’s financial assets and liabilities, such as cash, accounts receivable. inventory, prepaid expenses and other assets, accounts payable, accrued interest, related party liabilities and loans payable approximate fair value due to their relatively short maturities.

The Company’s convertible notes payable and loans payable approximates the fair value of such liabilities based upon management’s best estimate of interest rates that would be available to the Company for similar financial arrangements and due to the short-term nature of these instruments at March 31, 2023, and December 31, 2022.

The fair value of the Company’s recorded derivative liability is determined based on unobservable inputs that are not corroborated by market data, which require a Level 3 classification. A Black-Sholes option valuation model was used to determine the fair value. The Company records derivative liability on the balance sheets at fair value with changes in fair value recorded in the statements of operation.

The following table presents balances of the liabilities with significant unobservable inputs (Level 3) as of March 31, 2023 and December 31, 2022:

Schedule of Fair Value Measurements

	Fair Value Measurements at March 31, 2023, Using
	Quoted Prices in Active Markets for		Significant Other Observable		Significant Unobservable
	Identical Assets		Inputs		Inputs
	(Level 1)		(Level 2)		(Level 3)		Total

Derivative liability	$	—	$	—	$	215,378	$	215,378
Total	$	—	$	—	$	215,378	$	215,378

	Fair Value Measurements at December 31, 2022, Using
	Quoted Prices in Active Markets for		Significant Other Observable		Significant Unobservable
	Identical Assets		Inputs		Inputs
	(Level 1)		(Level 2)		(Level 3)		Total

Derivative liability	$	—	$	—	$	1,026,942	$	1,026,942
Total	$	—	$	—	$	1,026,942	$	1,026,942

The following table presents changes of the liabilities with significant unobservable inputs (Level 3) for the three months ended March 31, 2023:

	Derivative
	Liability
Balance December 31, 2022	$	1,026,942

Change in estimated fair value		(811,564	)

Balance March 31, 2023	$	215,378

Derivative Liability

The Company measures the derivative liability using the Black-Scholes option valuation model using the following assumptions:


		March 31, 2023

Expected term		1 month
Exercise price		$0.00008
Expected volatility		342.01%
Expected dividends		None
Risk-free interest rate		4.74%
Forfeitures		None

The assumptions used in determining fair value represent management’s best estimates, but these estimates involve inherent uncertainties and the application of management’s judgment. As a result, if factors change, including changes in the market value of the Company’s common stock, managements’ assessment, or significant fluctuations in the volatility of the trading market for the Company’s common stock, the Company’s fair value estimates could be materially different in the future.

The Company computes the fair value of the derivative liability at each reporting period and the change in the fair value is recorded as non-cash expense or non-cash income. The key component in the value of the derivative liability is the Company’s stock price, which is subject to significant fluctuation and is not under its control, and the assessment of volatility. The resulting effect on net loss is therefore subject to significant fluctuation and will continue to be so until the Company’s variable debentures, which the convertible feature is associated with, are converted into common stock or paid in full with cash. Assuming all other fair value inputs remain constant, the Company will record non-cash expense when its stock price increases and non-cash income when its stock price decreases.

Stock-Based Compensation

The Company accounts for employee stock-based compensation in accordance with the fair value recognition provisions of ASC Topic 718, Compensation – Stock Compensation (“ASC 718”). Under this method, compensation expense includes compensation expense for all stock-based payments based on the grant-date fair value. Such amounts have been reduced to reflect the Company’s estimate of forfeitures of all unvested awards.

The Company uses the Black-Scholes pricing model to determine the fair value of the stock- based compensation that it grants to employees and non-employees. The Black-Scholes pricing model takes into consideration such factors as the estimated term of the securities, the conversion or exercise price of the securities, the volatility of the price of the Company’s common stock, interest rates, and the probability that the securities will be converted or exercised to determine the fair value of the securities. The selection of these criteria requires management’s judgment and may impact the Company’s net income or loss. The computation of volatility is intended to produce a volatility value that is representative of the Company’s expectations about the future volatility of the price of its common stock over an expected term. The Company used its share price history to determine volatility and cannot predict what the price of its shares of common stock will be in the future. As a result, the volatility value that the Company calculated may differ from the actual volatility of the price of its shares of common stock in the future.

Convertible Instruments

The Company evaluates and accounts for conversion options embedded in its convertible instruments in accordance with ASC 815 “Derivatives and Hedging”. ASC 815 generally provides three criteria that, if met, require companies to bifurcate conversion options from their host instruments and account for them as free-standing derivative financial instruments. These three criteria include circumstances in which (a) the economic characteristics and risks of the embedded derivative instrument are not clearly and closely related to the economic characteristics and risks of the host contract, (b) the hybrid instrument that embodies both the embedded derivative instrument and the host contract is not re-measured at fair value under otherwise applicable generally accepted accounting principles with changes in fair value reported in earnings as they occur, and (c) a separate instrument with the same terms as the embedded derivative instrument would be considered a derivative instrument. Professional standards also provide an exception to this rule when the host instrument is deemed to be conventional as defined under professional standards as “The Meaning of Conventional Convertible Debt Instrument.”

ASC 815-40 “Derivatives and Hedging - Contracts in Entity’s Own Equity” provides that, among other things, generally, if an event is not within the entity’s control could or require net cash settlement, then the contract shall be classified as an asset or a liability.

Debt issuance costs and debt discounts

Debt issuance costs and debt discounts are being amortized over the lives of the related financings on a basis that approximates the effective interest method. Costs and discounts are presented as a reduction of the related debt in the accompanying consolidated balance sheets.

Revenue Recognition

The Company recognizes revenue in accordance with ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606).

Under ASU 2014-9, the Company recognizes revenue when its customers obtain control of the promised good or services, in an amount that reflects the consideration which the Company expects to receive in exchange for those goods or services. The Company applies the following five-step: (i) identify the contract(s) with a customer; (ii) identify the performance obligation(s) in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligation(s) in the contract; and (v) recognize revenue when (or as) the Company satisfies a performance obligation.

At contract inception, once the contract is determined to be within the scope of ASU 2014-09, the Company identifies the performance obligation(s) in the contract by assessing whether the goods or services promised within each contract are distinct. The Company then recognizes revenue for the amount of the transaction price that is allocated to the respective performance obligation when (or as) the performance obligation is satisfied.

The Company’s performance obligations are established when a customer submits a purchase order notification (in writing, electronically or verbally) for goods, and the Company accepts the order. The Company identifies the performance obligation as the delivery of the requested product in appropriate quantities and to the location specified in the customer’s contract and/or purchase order. The Company generally recognizes revenue when the product or service has been transferred to the customer, at which time the Company has an unconditional right to receive payment. The Company’s sales and sale prices are final, and the selling prices are not affected by contingent events that could impact the transaction price. Revenue is typically recognized at the time the product is delivered to our customer, at which time the title passes to the customer, and there are no further performance obligations.

The Company records a liability when receiving cash in advance of delivering goods or services to the customer. This liability is reversed against the receivable recognized when those goods or services are delivered.

During the three months ended March 31, 2023 and 2022, the Company recognized $0 and $25,451 of revenue, respectively.

Concentration of Credit Risk

The Company maintains its cash in bank and financial institution deposits that at times may exceed federally insured limits. The Company has not experienced any losses in such accounts through March 31, 2023.

Capitalized licensing fees

The Company records its intangible assets at cost in accordance with ASC 350, Intangibles – Goodwill and Other. The Company reviews the intangible assets for impairment on an annual basis or if events or changes in circumstances indicate it is more likely than not that they are impaired. These events could include a significant change in the business climate, legal factors, a decline in operating performance, competition, sale, or disposition of a significant portion of the business, or other factors. If the review indicates the impairment, an impairment loss would be recorded for the difference of the value recorded and the new value. For the three months ended March 31, 2023 and 2022, there were no impairment losses recognized for intangible assets. The Company amortizes the capitalized licensing fees over the five-year term of the underlying licensing agreement.

Impairment of Long-Lived Assets

The Company reviews long-lived assets, including definite-lived intangible assets, for impairment whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. Recoverability of these assets is determined by comparing the forecasted undiscounted net cash flows of the operation to which the assets relate to the carrying amount. If the operation is determined to be unable to recover the carrying amount of its assets, then these assets are written down first, followed by other long-lived assets of the operation to fair value. Fair value is determined based on discounted cash flows or appraised values, depending on the nature of the assets. For the three months ended March 31, 2023 and 2022, there were no impairment losses recognized for long-lived assets.

Inventories

Inventories are stated at the lower of cost, computed using the first-in, first-out method (“FIFO”), and net realizable value. Any adjustments to reduce the cost of inventories to their net realizable value are recognized in earnings in the current period.

Accounts Receivable

Accounts receivable are stated at net realizable value, and as such, earnings are charged with a provision for doubtful accounts based on our best estimate of the amount of probable credit losses in our existing accounts receivable. We determine an allowance based on historical write-off experience and specific account information available. Accounts receivable are reflected in the accompanying consolidated balance sheets net of a valuation allowance of $0 as of March 31, 2023, and December 31, 2022. When internal collection efforts on accounts have been exhausted, the accounts are written off by reducing the allowance for doubtful accounts and the related customer receivable. The Company did not recognize any bad debt expense during the three months ended March 31, 2023.

Accounts Payable and Accrued Expenses

Accounts payable and accrued expenses are carried at amortized cost and represent liabilities for goods and services provided to the Company prior to the end of the fiscal year that are unpaid and arise when the Company becomes obliged to make future payments in respect of the purchase of these goods and services.

Basic and Diluted Loss Per Share

In accordance with ASC Topic 280 – “Earnings Per Share”, the basic loss per common share is computed by dividing net loss available to common stockholders by the weighted average number of common shares outstanding. Diluted loss per common share is computed similar to basic loss per common share except that the denominator is increased to include the number of additional common shares that would have been outstanding if the potential common shares had been issued and if the additional common shares were dilutive.

Income Taxes

The Company records deferred taxes in accordance with FASB ASC No. 740, Income Taxes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and loss carry forwards 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. The effect of a change in tax rules on deferred tax assets and liabilities is recognized in operations in the year of change. A valuation allowance is recorded when it is “more likely-than-not” that a deferred tax asset will not be realized.

Recent Accounting Pronouncements

The Company has evaluated all the recent accounting pronouncements and determined that there are no accounting pronouncements that will have a material effect on the Company’s financial statements.

NOTE 3 – PROPERTY AND EQUIPMENT

Property and equipment consisted of the following at March 31, 2023, and December 31, 2022:

Schedule of Property and Equipment

	March 31,			December 31,
	2023			2022
Emulsification equipment	$	163,651		$	163,651
Leasehold improvements		6,877			6,877
Truck		10,000			10,000
Property and Equipment, Gross		180,528			180,528
Less accumulated depreciation		(97,364	)		(93,611	)
Property and Equipment, Net	$	83,164		$	86,917

Depreciation expense was approximately $3,754 and $3,519 for the three months ended March 31, 2023 and 2022, respectively.

NOTE 4 – INTANGIBLE, NET

On May 13, 2020, we entered into an exclusive distribution and licensing agreement with C Group LLC, also a convertible notes holder, under which we intend to sell indoor agricultural growing pods utilizing C-Group’s proprietary technology to our existing and future customers. The growing pods are a self-contained 800 sq ft steel container consisting of computerized climate and irrigation control. Pursuant to this agreement, we issued 300,000 shares of our Series A Preferred Stock to Anthony Super, the President of C Group LLC.

Intangible consisted of the following at March 31, 2023, and December 31, 2022:

Schedule of Capitalized Licensing fees

	March 31,			December 31,
	2023			2022
C-Group LLC Capitalized Licensing fees	$	3,000,000		$	3,000,000

Gross Amount Capitalized Licensing fees		3,000,000			3,000,000
Less accumulated depreciation		(1,725,000	)		(1,575,000	)
Net Amount Capitalized Licensing fees	$	1,275,000		$	1,425,000

The Company is amortizing the capitalized licensing fees over the five-year term of the exclusive distribution and licensing agreement. Amortization expense was $150,000 for the three months ended March 31, 2023 and 2022.

NOTE 5 – CONVERTIBLE NOTES PAYABLE

As of March 31, 2023, and December 31, 2022, notes payable are comprised of the following:

Schedule of Convertible Notes Payable

	Original		Original	Due	Interest	Conversion	March 31,		December 31,
	Note Amount		Note Date	Date	Rate	Rate	2023		2022
V Group (past maturity)		150,000	12/12/2019	12/12/2020	12%	Variable		150,000		150,000
							$	150,000	$	150,000
Debt discount								—		—
Notes payable, net of discount							$	150,000	$	150,000

Accrued interest							$	53,409	$	48,970

During the three months ended March 31, 2023, the Company recognized approximately $4,438 of interest on the existing promissory notes.

NOTE 6 – SHORT TERM LIABILITIES

As of March 31, 2023, and December 31, 2022, short term debt was comprised of the following:

Schedule of Short Term Debt

	Original	Original	Due	Interest	March 31,		December 31,
	Note Amount	Note Date	Date	Rate	2023		2022
Carolyn Hamburger (past maturity)	100,000	12/12/2014	12/12/2019	10%		100,000		100,000
Doris Notter (past maturity)	10,000	12/31/2014	12/31/2019	15%		10,000		10,000
Maguire & Associate	1,008,919	9/30/2022	12/31/2022	0%		13,543		1,008,920
Maguire & Associate	1,368,394	9/30/2022	12/31/2022	0%		—		1,368,394
Total short-term liabilities					$	123,543	$	2,487,314
Accrued interest					$	40,682	$	37,846

Carolyn Hamburger

On December 12, 2014, the Company’s predecessor Matrix received a $100,000 loan from Carolyn Hamburger at 10% interest evidenced by a note for $100,000 issued by Matrix. The note matured on December 12, 2019. The note is secured by the Company’s emulsification equipment acquired in the Matrix Acquisition. This Note does not convert into securities of the Company. As of March 31, 2023, and December 31, 2022, the note had a principal balance of $100,000. Accrued interest totaled $28,307 and $25,841, as of March 31, 2023, and December 31, 2022, respectively.

During the three months ended March 31, 2023, the Company paid $0 of interest in cast and incurred $2,466 of interest. This note is currently past maturity, but no notice of default has been received by the Company as of March 31, 2023

Doris Notter

On December 31, 2014, Matrix received a $10,000 unsecured loan from Doris Notter at 15% interest and a maturity date of December 31, 2019. As of March 31, 2023, and December 31, 2022, the note had a principal balance of $10,000 and accrued interest of $12,374 and 12,004, respectively. No payment was made during the three months ended March 31, 2023. This note is currently past maturity, but no notice of default has been received by the Company as March 31, 2023.

Maguire and Associates Inc. #1

On September 30, 2022, Maguire and Associates Inc. converted all of the outstanding convertible notes from Optempus Investments LLC, Direct Capital Group, Inc., and C Group LLC for a total principal balance of $834,000 with the issuance of a non-interest promissory note in the amount of $1,008,920 with a maturity date of December 31, 2022. The note is secured with $1,100,000 of Preferred Series A with a stated value of $10 per share or 110,000 shares of Preferred Series A. Pursuant to the default provision, the Company issued 110,000 Series A preferred stock with a stated value of $1,100,000 for full settlement of the principal amount, which resulted in the recognition of $91,081 loss from debt extinguishment.

Maguire and Associates Inc. #2

On September 30, 2022, the Company executed a debt settlement agreement with Maguire & Associates, LLC, a holder of convertible notes in the aggregate principal amount of $1,368,394. Maguire accepted to cancel all of the convertible notes, inclusive of the principal and all accumulated interest and penalties in exchange for an interest free promissory note in the amount of $1,368,394. The principal is due on December 31, 2022 (“Due date”). The promissory note will be secured by 200,000 Shares of Preferred Series A with a stated value of $2,000,000. The secured Series A preferred stock will be fully earned if the Company fails to repay the promissory note at its due date. The Company may prepay the promissory note without any penalties. Pursuant to the default provision, the Company issued 200,000 Series A preferred stock with a stated value of $2,000,000 for full settlement of the principal amount, which resulted in the recognition of $631,606 loss from debt extinguishment.

NOTE 7 – RELATED PARTY TRANSACTIONS

Mr. William Reed, Chairman, Chief Executive Officer, President, Secretary, Treasurer, and Director

On September 7, 2022, the Company appointed William Reed as Chairman, Chief Executive Officer, President, Secretary, Treasurer, and Director of the Company. The Company and Mr. Reed entered into an employee agreement that includes an annual salary of $200,000 and 15,000 shares of the Company’s Series A Preferred Stock with a stated value of $150,000.

During the three months ended March 31, 2023, the Company accrued wages of $50,000 and paid $0 of accrued compensation. The balance of accrued wages was $116,667 and $66,667 as of March 31, 2023 and December 31, 2022, respectively.

Mr. Justin Gonzalez, Former Chief Executive Officer and Newly Chief Operating Officer and a Director

On March 2, 2020, the Company appointed Justin Gonzalez as Chief Executive Officer of the Company. The Company and Mr. Gonzalez entered into an employment agreement that includes an annual salary of $200,000 and $100,000 to be issued in common stock. Unpaid wages will accrue interest at 6% per annum and may be converted to restricted common stock at fair market value at the time of conversion.

On September 7, 2022, Justin Gonzalez resigned from his position of Chief Executive Officer. Justin Gonzalez will continue to serve as a director and Chief Operating Officer of the Company. The Company entered into a resignation and settlement agreement with Justin Gonzalez under which all prior agreements were terminated, and the Company agreed to pay Justin Gonzalez $250,000 on or prior to August 29, 2024, to satisfy all accrued obligations owed in the aggregated amount of $492,777. In the event, the Company fails to the settlement amount when due, such amount will increase by 200% and will begin to accrue interest at a rate of ten percent (10%) per annum.

The balance of accrued compensation pursuant to the terms of the resignation and settlement agreement is $250,000 and is presented in the related party liabilities (non-current) in the consolidated balance sheet as of March 31, 2023 and December 31, 2022.

On September 7, 2022, the Company entered into an employment agreement with Justin Gonzalez as Chief Operating Officer. Pursuant to the employment agreement, Justin Gonzalez will receive an annual salary of $100,000, which may be paid by the issuance of shares of the Company’s Series A preferred stock.

During the three months ended March 31, 2023, the Company incurred a total of $25,000 of compensation. The balance of accrued wages was $58,333 and $33,333 as of March 31, 2023 and December 31, 2022, respectively.

Mr. Eric Watson, former Chief Operating Officer, and Director

On March 2, 2020, the Company appointed Eric Watson as Chief Operating Officer and a Director of the Company. The Company and Mr. Watson entered into an employee agreement that includes an annual salary of $162,000 and $50,000 to be issued in common stock. Unpaid wages will accrue interest at 6% per annum and may be converted to restricted common stock at fair market value at the time of conversion.

On September 7, 2022, Eric Watson resigned from his position of Chief Operating Officer. The Company entered into a resignation and settlement agreement with Eric Watson under which all prior agreements were terminated, and under which, the Company agreed to pay Eric Watson $125,150 of shares of the Company Series A to satisfy all accrued obligations owed in the aggregated amount of $250,290. The Company has agreed to repurchase the shares of Series A Preferred Stock by August 29, 2024. In the event, the Company fails to the settlement amount when due, such amount will increase by 200% and will begin to accrue interest at a rate of ten percent (10%) per annum.

Johann Loewen, former Director

On September 21, 2021, the Company appointed Johann Loewen as director of the Company for an initial one-year term. As director of the Company, Johann Loewen is entitled to 5,000 shares of Series A at a stated value of $10.00 per share. No shares have been issued as of March 31, 2023 and December 31, 2022 but the $50,000 liability related to the 5,000 shares of Series A was previously recorded as stock payable in the Company’s consolidated balance sheet as of December 31, 2021, which was fully reversed upon the execution of the settlement agreement in September 2022.

On September 7, 2022, Johann Loewen resigned from his position as director of the Company. The Company entered into a resignation and settlement agreement with Johann Loewen under which all prior agreements were terminated, and under which, the Company agreed to pay Johann Loewen $3,140 on or prior to March 1, 2023, to satisfy all accrued obligations owed in the aggregated amount of $53,140. In the event, the Company fails to the settlement amount when due, such amount will increase by 200% and will begin to accrue interest at a rate of ten percent (10%) per annum.

There was no activity during the three months ended March 31, 2023.

Edouard Beaudette, former Director

On October 15, 2021, the Company appointed Edouard Beaudette as director of the Company for an initial one-year term. As director of the Company, Edouard Beaudette is entitled to one-time 5,000 shares of Series A at a stated value of $10.00 per share. Under the director’s agreement, no shares have been issued as of March 31, 2023 and December 31, 2022, but the liability is recorded as stock payable in the Company’s consolidated balance sheet for a total amount of $50,000 as of March 31, 2023.

Edouard Beaudette also executed a consulting agreement with the Company under which he is entitled to monthly compensation of 1,000 shares of Series A preferred stock per month and $2,500 in cash. Edouard Beaudette is to implement and manage the Company’s strategy, plan and executed product launch. Under this consulting agreement, no shares have been issued and no cash has been paid during the three months ended March 31, 2023, but the liability is recorded as stock payable in the Company’s consolidated balance sheet for a total amount of $100,000 as of March 31, 2023

There was no activity during the three months ended March 31, 2023.

Paul Goyette, Director

On September 29, 2022, the Board of Directors of the Company appointed Paul Goyette to serve as a director of the Company.

Pursuant to his director’s agreement, Paul Goyette will be paid a cash fee of $2,000 per meeting and be issued 10,000 shares of the Company’s Series A Preferred Stock for a stated value of $100,000. No shares of Series A were issued as of March 31, 2023 and December 31, 2022. The Company accrued $100,000 of stock payable as of March 31, 2023 and December 31, 2022, which is presented under stock payable in the Company shareholders’ deficit.

NOTE 8 – PREFERRED STOCK

The Company’s authorized preferred stock at March 31, 2023 was 25,000,000 shares of preferred, consisting of 20,000,000 authorized Series A preferred shares, and 2,500 Series B preferred shares, all with a par value of $0.0001 per share.

As of March 31, 2023, and December 31, 2022, 7,000,757 and 6,662,422 shares of Series A Preferred Stock were issued and outstanding and 2,000 of Series B Preferred Stock were issued and outstanding, respectively.

Series A

The Series A preferred stock (“Series A”) have no voting rights and have no dividends and in the event of a voluntary or involuntary liquidation, dissolution or winding-up of the Company, each share of Series A has a stated value of $10 per share. Each share of Series A is convertible to common stock at the closing price of common on the date of conversion.

The Company follows ASC 480-10, “Distinguishing Liabilities from Equity” in its evaluation of the accounting for the Series A Preferred Stock. ASC 480-10-25-14 requires liability accounting for certain financial instruments, including shares that embody an unconditional obligation to transfer a variable number of shares, provided that the monetary value of the obligation is based solely or predominantly on one of the following three characteristics:

■

A fixed monetary amount known at inception.

■

Variations in something other than the fair value of the issuer’s equity shares; or

■

Variations in the fair value of the issuer’s equity shares, but the monetary value to the counterparty moves in the opposite direction as the value of the issuer’s shares.

The number of shares delivered is determined on the basis of (1) the fixed monetary amount determined as the stated value and (2) the current stock price at settlement, so that the aggregate fair value of the shares delivered equals the monetary value of the obligation, which is fixed or predominantly fixed. Accordingly, the holder is not significantly exposed to gains and losses attributable to changes in the fair value of the Company’s equity shares. Instead, the Company is using its own equity shares as currency to settle a monetary obligation.

The Series A Preferred Stock has been classified as a liability in accordance with ASC 480-10 and the Company has elected to record the Series A Preferred Stock at fair value with changes in fair value recorded through earnings.

For the three months ended March 31, 2023

During the three months ended March 31, 2023, 1,665 shares of Series A Preferred stock were converted to 333,000 (166,500,000 pre reverse split) shares of common stock in accordance with the conversion terms.

During the three months ended March 31, 2023, the Company 310,000 Series A Preferred Stock with a stated value of $3,100,000 ($10 stated value per share) for the extinguishment of $2,377,313 of principal related to the promissory notes.

For the three months ended March 31, 2022

During the three months ended March 31, 2022, 164,197 shares of Series A Preferred stock were converted to 2,075,350 (1,037,674,922 pre reverse split) shares of common stock in accordance with the conversion terms.

Series B

On November 16, 2022, the Company approved to increase the number of shares authorized from 1,000 to 2,500.

Each share of Series B preferred stock (“Series B”) is equal to and counted as four (4) times the votes of all of the shares of the Company’s common stock. The stated value of Series B is $0.0001. Series B have no conversion rights, are not entitled to dividends and have no value in the event of any voluntary or involuntary liquidation, dissolution or winding up of the Company.

On March 2, 2020, Justin Gonzalez, the Company’s former Chief Executive Officer, was issued 1,000 Preferred Series B Shares, pursuant to the Asset Purchase Agreement dated March 2, 2020.

There was no activity during the three months ended March 31, 2023.

NOTE 9 – COMMON STOCK

The Company’s common stock at March 31, 2023, consisted of 2,000,000,000 authorized common shares, 20,000,000 authorized Series A preferred shares, and 2,500 authorized Series B preferred shares, all with a par value of $0.0001 per share.

As of March 31, 2023, and December 31, 2022, there were 6,992,375 (3,496,187,693 pre reverse split) and 6,659,375 (3,329,687,693 pre reverse split) shares of common stock issued and outstanding, respectively.

For the three months ended March 31, 2023

For the three months ended March 31, 2022

NOTE 10 – COMMITMENTS AND CONTINGENCIES

Licensing & Distributions Agreements

On April 1, 2020, the Company entered into an Exclusive Licensing Agreement with Aqueous Precision, LLC., an Oregon Corporation. The Agreement provides exclusive rights to The Proprietary Formula, developed and owned by Aqueous Precision LLC, who exclusively maintains all rights and privileges. The H+© ingredient at the center of this Agreement is an all-natural whole plant concentrate with suspended cannabinoids in an aqueous solution made from hemp. This ingredient is purposeful as a single product or in combination with other ingredients. The rights are valued at $3,300,000, based upon a five-year term.

On December 30, 2020, the Exclusive Licensing Agreement dated April 1, 2020, between the Company and Aqueous Precision was terminated by Aqueous Precision. On December 30, 2020, in connection with such termination, the 330,000 shares of Series A Preferred Stock that had been issued to Pamala Wilson, the President of Aqueous Precision, were returned to treasury.

On May 13, 2020, the Company issued 300,000 shares of Series A Preferred Stock, valued at $3,000,000 to Anthony Super, the President of C Group, Inc., pursuant to the terms of a five year exclusive distribution agreement entered into between the Company and C Group, Inc.

Employment Agreements with Management

William Reed, newly appointed Chief Executive Officer, President, Secretary and Chairman of the Board

On September 7, 2022, the Board of Directors of the Company appointed William J. Reed to serve as the Chairman of the Board of the Company and as its Chief Executive Officer, President, and Secretary. In connection with his appointment as Chairman and Chief Executive Officer, Mr. Reed entered into an employment agreement with the Company with a one-year term, pursuant to which Mr. Reed will be paid an annual salary of $200,000, which may be paid by the issuance of shares of the Company’s Series A Preferred Stock, and issued $150,000 of shares of the Company’s Series A Preferred Stock. The Company issued 15,000 Series A preferred stock for a total fair value of $150,000 during the year ended December 31, 2022.

Mr. Justin Gonzalez, Former Chief Executive Officer, President, Secretary, Treasurer, and Director

On September 7, 2022, March 2, 2020, the Company also entered into a resignation and settlement agreement under which the Company will pay Mr. Gonzalez $250,000 on or prior to August 29, 2024, to satisfy accrued obligations owed to him in the aggregate amount of $492,777, consisting primarily of unpaid wages. In the event the Company fails to pay the settlement amount when due, the amount will increase by 200% and begin to accrue interest at the rate of 10% per annum.

Mr. Eric Watson, former Chief Operating Officer, and Director

The Company also entered into a resignation and settlement agreement with Mr. Watson, under which all prior agreement between Mr. Watson and the Company was terminated, and under which the Company issue Mr. Watson 12,515 shares of the Company’s Series A preferred stock worth $125,150, to satisfy accrued obligations owed to him in the aggregate amount of $250,290 for unpaid wages. The Company has agreed to repurchase the shares of Series A Preferred Stock by August 29, 2024. In the event of a default by the Company to Mr. Watson, the settlement amount will increase by 200% and begin to accrue interest at the rate of 10% per annum.

Lease

On January 1, 2020, the Company entered into a commercial lease for approximately 7,800 square feet of space, located in the Wolf Creek Industrial Building in Grass Valley, California. The lease has a term of five years, from January 1, 2020, through December 31, 2025, with a monthly rent of $4,000. The Company also leases a product production and water bottling facility in Grants Pass, Oregon on a month-to-month basis at a cost of $2,000 per month.

On September 29, 2021, the Company terminated its commercial lease which began on January 1, 2020, entered into a new lease agreement with Badger One, LLC.

On December 13, 2022, the company entered into a commercial lease for approximately 2,400 square feet of space, located at 175 Joerschke Drive, Suite R-2, Grass Valley, California. The lease has a term of one year, from January 1, 2023, through December 31, 2023, with a monthly rent of $395.

NOTE 11 – SUBSEQUENT EVENTS

The Company has evaluated subsequent events for adjustment to or disclosure in its consolidated financial statements through the date of this report, and has not identified any recordable or disclosable events, not otherwise reported in these consolidated financial statements or the notes thereto, except for the following:

On October 1, 2022, the Company entered into a share exchange agreement, with Cal Care Group, Inc. (“Cal Care”), and William Reed, as the sole shareholder of Cal Care (the “Share Agreement”). Cal Care is a licensed delivery and distribution company with locations in southern and northern California. The Share Agreement provides for the acquisition by the Company of all of the outstanding shares of Cal Care from Mr. Reed, who is also the Company’s Chairman and Chief Executive Officer, in consideration of the issuance to Mr. Reed of 500,000 shares of the Company’s Series A Preferred Stock. The consideration exchanged on April 5, 2023. Cal Care will become a wholly owned subsidiary of CuraScientific Corp.

On April 25, 2023, the Company’s subsidiary, Cal Care will acquire Cannabis License(s) C9-0000183 (Retail), C11-0000327 (Distribution), and CDPH-10003817 (Manufacturing) in the State of California for a total consideration of $600,000. The new property lease is located at 75080 St. Charles Place, Suite B, Palm Desert, California. The Property Lease Agreement is a 5-year commitment at a cost of $ 3,000 per month plus utilities.

Subsequent to March 31, 2023, the Company issued 1,000 Series B to its Chief Executive Officer and 1,000 Series B shares to Justin Gonzalez, director and Chief Operating Officer for no consideration.

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

General Overview

We are an innovative bioscience company that has developed an effective germ fighter, DiOx+, a disinfectant sterilizer that kills 99.99% of harmful pathogens without dangerous toxic exposure to the user or the environment. Our DiOx+ is an activated chlorine dioxide (Cl02) broad spectrum disinfectant that kills dangerous pathogens with no residual toxicity. It protects the environment and human health from viruses, bacteria and harmful by-products left by other cleaning sanitizers, without a harsh smell or skin irritation. Our proprietary chemical formulas and processes make DiOx+ ideal for sterilizing mission critical, high value medical equipment and disinfecting air and surfaces in laboratory and hospital environments. DiOx+ helps protect agricultural crops from disease and other pathogens like mold and fungus. It is used in water treatment plants, and helps reduce operational costs in warehousing, distribution centers, and ecommerce support facilities.

Results of Operations for the Three Months Ended March 31, 2023 and 2022

	For the Three Months ended March 31,
	2023			2022			Change ($)			Change (%)

Revenue	$	—		$	25,451			(25,451	)		(100	)%
Cost of revenue		—			8,285			(8,285	)		(100	)%
Gross profit		—			17,166			(17,166	)		(100	)%

Operating expenses		300,504			606,533			(306,029	)		(50	)%

Loss from operations		(300,504	)		(589,367	)		(288,863	)		(49	)%

Other income (expense)		84,243			(3,978,168	)		(4,062,411	)		(102	)%

Net loss	$	(216,261	)	$	(4,567,535	)	$	(4,351,374	)		(95	)%

Revenue

Revenue decreased by $25,451 or 100% from the previous year to $0 during the three months ended March 31, 2023, compared to $25,451 during the previous period. The Company has not generated any revenue during the three months ended March 31, 2023.

Cost of Revenue

The Company’s cost of sales was $0 for the three months ended March 31, 2023, a decrease of $8,285 or 100%, compared to $8,285 for the three months ended March 31, 2021. The Company did not generate any revenue during the three months ended March 31, 2023.

Operating Expenses

Operating expenses for the three months ended March 31, 2023, and 2022, were $300,504 and $606,533, respectively. The decrease was primarily attributable to a decrease in share-based compensation expense by approximately $175,000 and a decrease in general and administrative expenses by approximately $121,405 as the Company reduced its cash flow pending further financing.

Other Income (Expense)

Other income for the three months ended March 31, 2023, was $84,243, compared to an expense of $3,978,168 for the three months ended March 31, 2022.

Other income for the three months ended March 31, 2023, consisted of $811,564 of income resulting from the change in fair value of the Company’s derivatives, $7,274 of interest expense, offset by $722,687 of loss from debt extinguishment.

Other expense for the three months ended March 31, 2022, consisted of $2,479,279 of expense resulting from the change in fair value of derivatives, $368,294 of interest expense, and $1,130,595 of loss on Series A Preferred Stock conversion to common stock.

Net Loss

Net loss for the three months ended March 31, 2023, was $216,261, compared to a net expense of $4,567,535 for the three months ended March 31, 2022. The increase in our net loss resulted from the changes outlined above.

Liquidity and Capital Resources

Our working capital deficiency as of March 31, 2023, and December 31, 2022, was as follows:

	March 31, 2023			December 31, 2022
Current Assets	$	27,564		$	39,868
Current Liabilities	$	71,143,332		$	70,809,778
Working Capital Deficit	$	(71,115,768	)	$	(70,769,910	)

The overall working capital deficit increased from $70,769,910 at December 31, 2022, to $71,115,768 at March 31, 2023. The current liabilities primarily consist of accounts payable, loans payable, convertible notes payable, derivative liability from the bifurcated conversion feature embedded in the hybrid debt instruments, related party liabilities, and liability-classified Series A Preferred Stock. The increase in working capital deficit is mainly attributable to the issuance of Series A Preferred stock pursuant to consulting agreement and settlement of existing debt obligation, offset by the reduction in loans payable and derivative liability during the three months ended March 31, 2023

The following is selected information from the statements of cash flow for the three months ended March 31, 2023:

	March 31		March 31
	2023		2022
Cash provided by (used in) Operating Activities	$	372	$	(151,165	)
Cash used in Investing Activities	$	—	$	(14,914	)
Cash provided by Financing Activities	$	—	$	145,394
Net increase (decrease) in Cash During Period	$	372	$	(20,685	)

Going Concern

Our accompanying financial statements have been prepared assuming the Company will continue as a going concern, which contemplates realization of assets and the satisfaction of liabilities in the normal course of business for the twelve-month period following the date of these financial statements. Our cash on hand at March 31, 2023 was less than $1,000. The Company has incurred substantial losses since inception. Its current liabilities exceed its current assets and available cash is not sufficient to fund expected future operations. The Company is contemplating raising additional capital through debt and equity in order to continue the funding of its operations, which may have the effect of diluting the holdings of existing shareholders. However, there is no assurance that the Company can raise sufficient funds or generate sufficient revenues to pay its obligations as they become due, which raises substantial doubt about our ability to continue as a going concern.

The ability of the Company to continue as a going concern is dependent on the Company’s ability to raise additional capital and implement its business plan.

The Company requires additional capital to fully execute its marketing program and fund its current operations and development. Presently we are relying on raising additional funding to meet operational shortfalls. There can be no assurance that continued funding will be available on satisfactory terms. We intend to raise additional capital through the sale of equity, loans, or other short-term financing options.

Off-Balance Sheet Arrangements

We have no significant off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that are material to stockholders.

Seasonality

Management does not believe that our current business segment is seasonal to any material extent.

Critical Accounting Polices

There have been no material changes to our critical accounting policies, as compared to the critical accounting policies and significant judgments and estimates disclosed in our Annual Report on Form 10-K for the year ended December 31, 2022, filed with the SEC on April 17, 2023.

Contingencies

For a discussion of contingencies, see Note 10, Commitments and Contingencies, to the Notes to the Consolidated Financial Statements in “Part I, Item 1. Consolidated Financial Statements (Unaudited)” of the Quarterly Report.

Off-balance Sheet Arrangements

During the period ended March 31, 2023, we have not engaged in any off-balance sheet arrangements.

Recent Accounting Pronouncements

For a listing of our new and recently adopted accounting standards, See Note 2, Summary of Significant Accounting Policies, to the note to the consolidated financial statements in “Part I, Item 1. Consolidated Financial Statements (Unaudited)” of this Quarterly Report.

Item 3. Quantitative and Qualitative Disclosures about Market Risk

Not required under Regulation S-K for “smaller reporting companies.”

Item 4. Controls and Procedures

The Company’s Principal Executive Officer and Principal Financial Officer (the Certifying Officers) are responsible for establishing and maintaining disclosure controls and procedures for the Company. An evaluation of the effectiveness of our disclosure controls and procedures (as defined in Rules 13a-15(e) or 15d-15(e) under the Securities Exchange Act of 1934) was carried out by us under the supervision and with the participation of our Certifying Officers. Based upon that evaluation, our Certifying Officers have concluded that as of March 31, 2023, our disclosure controls and procedures, that are designed to ensure (i) that information we are required to disclose in reports that we file or submit under the Securities Exchange Act of 1934, as amended, is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission’s rules and forms, and (ii) that such information is accumulated and communicated to management, including our Certifying Officers, in order to allow timely decisions regarding required disclosure, were not effective.

As of March 31, 2023, based on evaluation of these disclosure controls and procedures, management concluded that our disclosure controls and procedures were not effective. We will be required to expend time and resources hiring and engaging additional staff and outside consultants with the appropriate experience to remedy the weaknesses described below. We cannot assure you that management will be successful in locating and retaining appropriate candidates or that newly engaged staff or outside consultants will be successful in remedying material weaknesses thus far identified or identifying material weaknesses in the future.

A material weakness is a control deficiency (within the meaning of the Public Company Accounting Oversight Board (PCAOB) Auditing Standard No. 2) or combination of control deficiencies that result in more than a remote likelihood that a material misstatement of the annual or interim financial statements will not be prevented or detected. Management has identified the following two material weaknesses which have caused management to conclude that as of March 31, 2023, our disclosure controls and procedures were not effective at the reasonable assurance level:

1. We do not have written documentation of our internal control policies and procedures. Written documentation of key internal controls over financial reporting is a requirement of Section 404 of the Sarbanes-Oxley Act which is applicable to us for the three months ended March 31, 2023. Management evaluated the impact of our failure to have written documentation of our internal controls and procedures on our assessment of our disclosure controls and procedures and has concluded that the control deficiency that resulted represented a material weakness.

2. We do not have sufficient segregation of duties within accounting functions, which is a basic internal control. Due to our size and nature, segregation of all conflicting duties may not always be possible and may not be economically feasible. However, to the extent possible, the authorization of transactions, the custody of assets and the recording of transactions should be performed by separate individuals. The recording of transactions function is maintained by a third-party consulting firm whereas authorization and custody remains under the Company’s Chief Executive Officer’s responsibility. Management evaluated the impact of our failure to have segregation of duties on our assessment of our disclosure controls and procedures and has concluded that the control deficiency that resulted represented a material weakness.

To address these material weaknesses, management performed additional analyses and other procedures to ensure that the financial statements included herein fairly present, in all material respects, our financial position, results of operations and cash flows for the periods presented.

Changes in Internal Control over Financial Reporting

There has been no change to our internal control over financial reporting during our most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

PART II — OTHER INFORMATION

Item 1. Legal Proceedings

We are not a party to any pending legal proceeding. We are not aware of any pending legal proceeding to which any of our officers, directors, or any beneficial holders of 5% or more of our voting securities are adverse to us or have a material interest adverse to us.

Item 1A. Risk Factors

We are a smaller reporting company as defined by Rule 12b-2 of the Exchange Act and are not required to provide the information under this item.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

During the three months ended March 31, 2023, the Company issued an aggregate of 333,000 (166,500,000 pre reverse split) shares of common stock pursuant to the conversion of 1,665 Series A Preferred stock.

Item 3. Defaults upon Senior Securities

None.

Item 4. Mine Safety Disclosures

Not Applicable.

Item 5. Other Information

None.

Item 6. Exhibits

Exhibit No.		Description
31.1*		Certification of Principal Executive Officer and Principal Financial Officer, pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

32.1**		Certification of Principal Executive Officer and Principal Financial Officer, pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

101		The following materials from the Company’s Quarterly report for the period ended March 31, 2023, formatted in Extensible Business Reporting Language (XBRL).

101.INS		Inline XBRL Instance Document

101.SCH		Inline XBRL Taxonomy Extension Schema Document

101.CAL		Inline XBRL Taxonomy Extension Calculation Linkbase Document

101.DEF		Inline XBRL Taxonomy Extension Definition Linkbase Document

101.LAB		Inline XBRL Taxonomy Extension Label Linkbase Document

101.PRE		Inline XBRL Taxonomy Extension Presentation Linkbase Document

104		Cover Page Interactive Data File (embedded within the Inline XBRL document)

Filed Herewith

Furnished Herewith

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

Signature	Title	Date

/s/ William Reed	President, Chief Executive Officer, Secretary, Treasurer and Chairman of the Board	May 12, 2023
William Reed	(Principal Executive, Financial and Accounting Officer)

CuraScientific Corp. 10-Q