Quarterly report pursuant to Section 13 or 15(d)

Statements of Cash Flows (Unaudited)

Statements of Cash Flows (Unaudited) - USD ($)
6 Months Ended
Jun. 30, 2016
Jun. 30, 2015
Cash flows from operating activities:    
Net loss $ (2,375,500) $ (7,628,248)
Adjustments to reconcile net loss to net cash used in operating activities:    
Technology access fee paid in convertible note payable to shareholder   5,000,000
Depreciation and amortization 36,465 32,457
Stock issued as compensation to non-employee directors 84,000 132,000
Stock-based compensation expense 159,566 254,280
Gain on sale of discontinued operations (1,453,744)  
Changes in operating assets and liabilities:    
Prepaid expenses and other current assets 146,863 79,090
Accounts payable and accrued expenses (137,487) (57,790)
Net cash used in operating activities (3,539,837) (2,188,211)
Cash flows from investing activities:    
Purchase of property and equipment   (93,889)
Proceeds from sale of discontinued operations 1,250,000  
Net cash provided by or (used in) investing activities 1,250,000 (93,889)
Cash flows from financing activities:    
Payments on short-term notes payable (77,969) (79,468)
Net proceeds from issuance of common stock 2,640,146  
Net cash provided by or (used in) financing activities 2,562,177 (79,468)
Net increase (decrease) in cash and cash equivalents 272,340 (2,361,568)
Cash flows from discontinued operations 101,749 (43,850)
Cash and cash equivalents at beginning of period 5,083,355 10,448,921
Cash and cash equivalents at end of period 5,457,444 8,043,503
Supplemental disclosure of cash flow information:    
Interest paid 885 1,471
Non-cash investing and financing activities:    
Borrowings under short term notes payable for prepaid expense 49,395 49,395
Short-term note receivable from stockholder in exchange for the issuance of common stock (2,000,000)  
Par value of restricted shares issued 230 $ 200
Par value of restricted shares forfeited (20)  
Short-term note receivable from sale of discontinued operations $ 450,000