Related Party Transactions
|9 Months Ended|
Oct. 31, 2019
|Related Party Transactions [Abstract]|
|Related Party Transactions||
On June 14, 2018 the Company entered a Line of Credit with APO Holdings, LLC for up to $100,000 at any one time. The Line of Credit may be cancelled at any time by either party providing 30 days written notice of cancellation. It was given at a 0.6% interest rate and may be paid at any time with no definitive payoff date. As of October 31, 2019 the current outstanding on the line of credit is $77,400 principal and $4.85 interest.
On June 30, 2018 OBITX provided services to their subsidiary altCUBE in the amount of $25,167. This amount was made up of General Administrative expenses of $1,250, Website Design of $16,009, Marketing Expense $7,168, and Website Maintenance of $740. In January 2019 altCUBE was written off as discontinued operations.
On May 1, 2019 MCIG converted all 100,000 Series A Preferred shares at par value of $0.0001 to 5,000,000 common shares at par value of $0.0001.
MCIG entered into a Line of Credit Agreement with the Company on November 1, 2016 with a maximum limit of $500,000. MCIG increased the limit to $1,000,000 on January 1, 2018. The agreement expired on April 30, 2019. The Line of Credit bore 0% interest with a right to convert at 15% discount to market rate, The Company defaulted and has failed to payoff the Line of Credit. On June 3, 2019 MCIG purchased all cryptocurrency-based automated teller machines from OBITX for the price of $408,166. The payment was made by OBITX decreasing the amount owed to MCIG by $408,166. MCIG extended the Line of Credit Agreement until December 31, 2019. As of October 31,2019 OBITX owes MCIG $218,257.
The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.
Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef