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Cannapharmarx (CPMD)

Cover

Cover - shares6 Months Ended
Jun. 30, 2021Aug. 12, 2021
Cover [Abstract]
Document Type10-Q
Amendment Flagfalse
Document Quarterly Reporttrue
Document Transition Reportfalse
Document Period End DateJun. 30,
2021
Document Fiscal Period FocusQ2
Document Fiscal Year Focus2021
Current Fiscal Year End Date--12-31
Entity File Number333-251016
Entity Registrant NameCANNAPHARMARX, INC
Entity Central Index Key0001081938
Entity Tax Identification Number27-4635140
Entity Incorporation, State or Country CodeDE
Entity Address, Address Line OneSuite 3600
Entity Address, Address Line Two888 – 3rd Street SW
Entity Address, Address Line ThreeCalgary
Entity Address, City or TownCanada
Entity Address, State or ProvinceDE
Entity Address, Postal Zip Code5C5
City Area Code949
Local Phone Number652-6838
Title of 12(b) SecurityCommon Stock
Trading SymbolCPMD
Entity Current Reporting StatusYes
Entity Interactive Data CurrentYes
Entity Filer CategoryNon-accelerated Filer
Entity Small Businesstrue
Entity Emerging Growth Companytrue
Elected Not To Use the Extended Transition Periodfalse
Entity Shell Companyfalse
Entity Common Stock, Shares Outstanding89,124,710
[custom:EntityAddressAddressLine4]Alberta

CONSOLIDATED BALANCE SHEETS (Un

CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($)Jun. 30, 2021Dec. 31, 2020
Current assets
Cash $ 110,158 $ 334,969
HST Receivable1,996 551
Prepaid expenses369,154 132,031
Total current assets481,308 467,551
Construction in progress1,608,994 1,566,316
Office equipment7,717 2,435
Investments6,750,779 6,711,289
Total Assets8,848,798 8,747,591
Current liabilities
Accounts payable and accrued expenses4,116,507 3,585,000
Accrued interest[1]152,238 96,477
Accrued legal settlement[2]190,000 190,000
Notes payable9,331,658 8,728,749
Convertible Notes -net of discount812,790 997,558
Derivative liability598,676 3,676,649
Loan payable - related party41,219 274,758
Total current liabilities15,243,088 17,549,190
Total Liabilities15,243,088 17,549,190
Commitments and contingencies
Stockholders' Equity
Common stock, $0.0001 par value; 300,000,000 shares authorized, 73,760,595 and 46,986,794 issued and outstanding as of June 30, 2021 and December 31, 2020, respectively7,376 4,699
Treasury stock, 133,200 and -0- shares as of June 30, 2021 and December 31, 2020, respectively(13)(13)
Additional paid in capital71,383,756 68,336,249
Retained earnings (deficit)(77,799,255)(77,331,820)
Accumulated other comprehensive income (loss)(519,334)(345,714)
Total Stockholders' Equity (Deficit)(6,394,290)(8,801,599)
Total Liabilities and Stockholders' (Equity)8,848,798 8,747,591
Series A Preferred Stock [Member]
Stockholders' Equity
Preferred Stock Value58,180 60,000
Series B Preferred Stock [Member]
Stockholders' Equity
Preferred Stock Value $ 475,000 $ 475,000
[1]The Company has paid $209,500 in commitment fees to two arms length parties to arrange financing for pending
Cremona acquisition. This financing is currently in the due diligence phase.
[2]Represents
interest accrued on the outstanding convertible notes and other notes - see Note 11, Notes Payables)

CONSOLIDATED BALANCE SHEETS (_2

CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - $ / sharesJun. 30, 2021Dec. 31, 2020
Common stock, par value $ 0.0001 $ 0.0001
Common stock, authorized300,000,000 300,000,000
Common stock, issued73,760,595 46,986,794
Common stock, outstanding73,760,595 46,986,794
Treasury stock, Shares133,200 0
Series A Preferred Stock [Member]
Preferred shares, par value $ 1 $ 1
Preferred shares, authorized100,000 100,000
Preferred shares, issued58,180 60,000
Preferred shares, outstanding58,180 60,000
Series B Preferred Stock [Member]
Preferred shares, par value $ 1 $ 1
Preferred shares, authorized3,000,000 3,000,000
Preferred shares, issued475,000 0
Preferred shares, outstanding475,000 0

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($)3 Months Ended6 Months Ended
Jun. 30, 2021Jun. 30, 2020Jun. 30, 2021Jun. 30, 2020
Income Statement [Abstract]
Revenue $ 0 $ 0 $ 0 $ 0
Operating Expenses:
General and administrative359,377 183,926 508,146 226,254
Acquisition expenses0 (18,488)0 1,862,638
Amortization and depreciation776 31,477 1,184 63,141
Stock based compensation96,700 206,579 193,399 413,158
Travel and entertainment0 1,405 0 7,942
Rent(4,664)17,597 4,814 17,597
Professional fees295,753 118,394 714,356 272,123
Board of Directors’ fees48,138 246,594 95,526 494,640
Total operating expenses796,080 787,484 1,517,425 3,357,493
Income (loss) from operations(796,080)(787,484)(1,517,425)(3,357,493)
Other income (expense)
Interest (expense)(609,848)(641,377)(1,038,720)(1,360,702)
(Loss) on extinguishment of debt(706,974)0 (989,263)0
Change in the fair value of derivative liability447,493 (43,618)3,077,973 (969,102)
Other income (expense) net(869,329)(684,995)1,049,990 (2,329,804)
Income (loss) before provision for income taxes(1,665,409)(1,472,479)(467,435)(5,687,297)
Provision (credit) for income tax0 0 0 0
Net income (loss) $ (1,665,409) $ (1,472,479) $ (467,435) $ (5,687,297)
Basic and diluted earnings(loss) per common share $ (0.03) $ (0.04) $ (0.01) $ (0.15)
Weighted average number of shares outstanding57,235,013 40,002,473 52,664,431 38,273,494
Comprehensive loss:
Net income (loss) $ (1,665,409) $ (1,472,479) $ (467,435) $ (5,687,297)
Foreign currency translation adjustment(77,042)13,481 (173,620)(53,793)
Comprehensive income (loss) $ (1,742,451) $ (1,458,998) $ (641,055) $ (5,741,090)

STATEMENTS OF CONSOLIDATED CASH

STATEMENTS OF CONSOLIDATED CASH FLOWS (Unaudited) - USD ($)6 Months Ended
Jun. 30, 2021Jun. 30, 2020
Cash Flows From Operating Activities:
Net income (loss) $ (467,435) $ (5,741,090)
Adjustments to reconcile net income to net cash provided by (used for) operating activities
Stock-based compensation expense193,399 413,158
Amortization of intangible assets0 62,384
Advertising expense paid with common stock189,000 153,000
Common stock issued in connection with financing50,085 130,834
Amortization of debt discount735,949 1,009,149
Loss on the extinguishment of debt989,263 0
Change in the fair value of derivatives(3,077,973)969,102
Depreciation1,190 758
Changes in operating assets and liabilities
(Increase)/decrease in prepaid expenses(238,498)1,788,111
HST Receivable(1,430)25,991
Accrued interest54,087 54,671
Notes payable0 121,132
Accounts payable and accrued expense516,659 339,443
Net cash provided by (used for) operating activities(1,055,704)(673,357)
Cash Flows From Investing Activities:
Purchase of fixed assets(6,406)0
Purchase of private company equity(39,490)0
Changes in intangible assets0 62,435
Net cash provided by (used for) investing activities(45,896)62,435
Cash Flows From Financing Activities:
Proceeds from the sale of preferred stock55,000 0
Proceeds from convertible loans, net of repayments388,083 534,000
Proceeds from notes payable, net of repayment238,560 (3,490)
Proceeds from the sale of common stock in private placements291,064 0
Proceeds (repayment of related party loans), net(233,539)(83,259)
Net cash provided by (used for) financing activities739,168 447,251
Effect of exchange rates on cash and cash equivalents137,621 165,917
Net Increase (Decrease) In Cash(224,811)2,246
Cash At The Beginning Of The Period334,969 1,547
Cash At The End Of The Period110,158 3,793
Supplemental disclosure of cash flow information:
Cash paid for interest0 0
Cash paid for income taxes0 0
Supplemental disclosure of non-cash investing and financing activities:
Common stock issued as a financing expense on convertible notes50,085 130,849
Common stock issued for advertising expense189,000 153,000
Common stock issued related to investment in Great Northern Cannabis0 2,478,422
Common stock issued to convert convertible notes and accrued interest into equity $ 764,353 $ 0

CONSOLIDATED STATEMENTS OF CHAN

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Unaudited) - USD ($)Series A Preferred Stock [Member]Series B Preferred Stock [Member]Common Stock [Member]Treasury Stock [Member]Additional Paid-in Capital [Member]Retained Earnings [Member]AOCI Attributable to Parent [Member]Total
Beginning balance, value at Dec. 31, 2019 $ 60,000 $ 475,000 $ 3,649 $ (13) $ 61,619,415 $ (57,441,549) $ 137,696 $ 4,854,198
Beginning balance, shares at Dec. 31, 201960,000 475,000 36,486,999 133,200
Net income (loss) (4,214,818) (4,214,818)
Change in foreign currency translation (67,273)(67,273)
Commitment shares issued with convertible note $ 15 130,834 130,849
Commitment shares issued with convertible note, shares153,940
Beneficial conversion feature of convertible notes 438,000 438,000
Stock based compensation related to warrant issuances 206,579 206,579
Ending balance, value at Mar. 31, 2020 $ 60,000 $ 475,000 $ 3,664 $ (13)62,394,828 (61,656,367)70,423 1,347,534
Ending balance, shares at Mar. 31, 202060,000 475,000 36,640,939 133,200
Net income (loss) (1,472,479) (1,472,479)
Change in foreign currency translation 13,481 13,481
Stock based compensation related to warrant issuances 206,579 206,579
Shares issued for services $ 30 152,970 153,000
Shares issued for services, shares300,000
Shares received from share exchange with GN $ 551 2,477,871 2,478,422
Shares received from share exchange with GN, shares5,507,400
Ending balance, value at Jun. 30, 2020 $ 60,000 $ 475,000 $ 4,245 $ (13)65,232,248 (63,128,846)83,904 2,726,536
Ending balance, shares at Jun. 30, 202060,000 475,000 42,448,339 133,200
Beginning balance, value at Dec. 31, 2020 $ 60,000 $ 475,000 $ 4,699 $ (13)68,336,249 (77,331,820)(345,714)(8,801,599)
Beginning balance, shares at Dec. 31, 202060,000 475,000 46,986,794 133,200
Net income (loss) 1,197,974 1,197,974
Change in foreign currency translation (96,578)(96,578)
Conversion of Series A Preferred to common stock $ (200) $ 25 175
Conversion of Series A Preferred to common stock, shares(200)250,000
Conversion of convertible notes to common shares $ 144 192,426 192,570
Conversion of convertible notes to common shares, shares1,442,101
Sale of common stock in private placement $ 86 244,018 244,104
Sale of common stock in private placement, shares860,000
Loss on loan conversions 282,289 282,289
Beneficial conversion feature of convertible notes 34,205 34,205
Stock based compensation related to warrant issuances 96,700 96,700
Ending balance, value at Mar. 31, 2021 $ 59,800 $ 475,000 $ 4,954 $ (13)69,186,061 (76,133,846)(442,293)(6,850,337)
Ending balance, shares at Mar. 31, 202159,800 475,000 49,538,895 133,200
Net income (loss) (1,665,409) (1,665,409)
Change in foreign currency translation (77,042)(77,042)
Purchase of Series A Preferred $ 1,760 53,240 55,000
[custom:PurchaseOfseriesPreferreds]1,760
Conversion of Series A Preferred to common stock $ (3,380) $ 423 2,958
Conversion of Series A Preferred to common stock, shares(3,380)4,225,000
Conversion of convertible notes to common shares $ 1,753 762,600 764,353
Conversion of convertible notes to common shares, shares17,531,700
Sale of common stock in private placement $ 40 46,920 46,960
Sale of common stock in private placement, shares400,000
Loss on loan conversions 706,974 706,974
Issuance of common stock for services $ 180 188,820 189,000
Issuance of common stock for services, shares1,800,000
Commitment shares issued with convertible note $ 27 50,059 50,085
Commitment shares issued with convertible note, shares265,000
Beneficial conversion feature of convertible notes 289,426 289,426
Stock based compensation related to warrant issuances 96,700 96,700
Ending balance, value at Jun. 30, 2021 $ 58,180 $ 475,000 $ 7,376 $ (13) $ 71,383,756 $ (77,799,255) $ (519,334) $ (6,394,290)
Ending balance, shares at Jun. 30, 202158,180 475,000 73,760,595 133,200

NATURE OF OPERATIONS AND SIGNIF

NATURE OF OPERATIONS AND SIGNIFICANT ACCOUNTING POLICIES6 Months Ended
Jun. 30, 2021
Accounting Policies [Abstract]
NATURE OF OPERATIONS AND SIGNIFICANT ACCOUNTING POLICIESNOTE 1. NATURE OF OPERATIONS AND SIGNIFICANT ACCOUNTING POLICIES Nature of Operations CannaPharmaRx, Inc. (the “Company”)
is a Delaware corporation. In November 2018 it formed an Ontario corporation, Hanover CPMD Acquisition Corporation, to facilitate the
acquisition described below. As of the date of this Report, the Company intends to engage in acquisitions or joint ventures with a company
or companies that will allow to become a national or internationally branded cannabis cultivation company, or otherwise engage in the
cannabis industry. Management is engaged in seeking out and evaluating businesses for acquisition. However, if an opportunity in another
industry arises the Company will review that opportunity as well. History The Company was originally incorporated in the
State of Colorado in August 1998 under the name “Network Acquisitions, Inc.” It changed its name to Cavion Technologies, Inc.
in February 1999 and subsequently to Concord Ventures, Inc. in October 2006. On December 21, 2000, the Company filed for protection under
Chapter 11 of the United States Bankruptcy Code. In connection with the filing, on February 16, 2001, the Company sold its entire business,
and all of its assets, for the benefit of its creditors. After the sale, the Company still had liabilities of $8.4 million and was subsequently
dismissed by the Court from the Chapter 11 reorganization, effective March 13, 2001, at which time the last of the Company’s then
remaining directors resigned. On March 13, 2001, the Company had no business or source of income, no assets, no employees or directors,
outstanding liabilities of approximately $8.4 million, and had terminated its duty to file reports under securities law. In February 2008,
after filing of a Form 10 registration statement pursuant to the Securities Exchange Act of 1934, as amended, we were re-listed on the
OTC Bulletin Board. In April 2010, the Company re-domiciled in Delaware
under the name CCVG, Inc. (“CCVG”). Effective December 31, 2010, the Company completed an Agreement and Plan of Merger and
Reorganization (the “Reorganization") which provided for the merger of two of the Company’s wholly-owned subsidiaries.
As a result of this reorganization, the Company’s name became “Golden Dragon Inc.,” which became the surviving publicly
quoted parent holding company. On May 9, 2014, the Company entered into a Share
Purchase Agreement (the “ Share Purchase Agreement Canna
Colorado In October 2014, the Company changed its legal
name to “CannaPharmaRx, Inc.” In April 2016, the Company ceased operations.
As a result, the Company was then considered a “shell” company as defined under the Securities Exchange Act of 1934, as amended,
as defined in Rule 405 of the Securities Act and Rule 12b-2 of the Exchange Act. Effective December 31, 2018, the Company and Hanover
CPMD Acquisition Corp. (“CPMD Hanover”) a newly formed, wholly-owned subsidiary, entered into a Securities Purchase Agreement
with Alternative Medical Solutions, Inc., an Ontario, Canada corporation (“AMS”), its shareholders, wherein the Company acquired
all of the issued and outstanding securities of AMS. AMS is a corporation organized under the laws of the Province of Ontario, Canada.
It is a late-stage marijuana licensed producer applicant in Canada. It is currently in the Pre-License Inspection and Licensing phase,
which is Stage 5 of 6, with a fully approved license. Upon completion of the final construction of the facility, Health Canada will inspect
the facility and relevant operating procedures to ensure it meets the standards that have been approved in the application. There can
be no assurances that the Company will receive this license. The facility is a 48,750 square foot marijuana
grow facility built on a 6.7-acre parcel of land located in Hanover, Ontario Canada. To date, the exterior construction of the building
has been completed. However, no interior construction has begun. Upon full completion, the facility will contain up to 20 separate growing
rooms which we believe will provide an annual production capacity of 9,500 kilos of marijuana (20,900 lbs.). Completion of the build-out
of the facility is expected to take an estimated 20 weeks. Together with the remaining equipment needed to complete the grow the Company
estimates that it will require approximately CAD$20.0 million in additional financing which it may seek to raise via equity and debt.
There can be no assurances that the Company will successfully raise the financing required to complete the construction of the facility
and begin cultivation. As a result of the completion of the acquisition
of AMS on December 31, 2019, the Company no longer fits the definition of a “shell company,” as defined in Rule 405 of the
Securities Act and Rule 12b-2 of the Exchange Act. It filed the required disclosure on Form 8-K/A with the SEC on February 14, 2019, advising
that it was no longer a shell company pursuant to the aforesaid Rule. On January 6, 2021, the Company executed an Agreement
of Purchase and Sale through its wholly owned subsidiary, Alternative Medical Solutions Inc. for the sale of the lands and premises located
at Hanover, Ontario, Canada. The price is $2,000,000 CAD. As a result, and in anticipation of the closing, the Company recorded an impairment
of goodwill and fixed assets relating to the property of $ 7,962,694
Effective February 25, 2019, the Company acquired
3,936,500 2,500,000 7,988,963 5,507,400 3,671,597 GN owns a 60,000 square foot cannabis cultivation
and grow facility located on 38 acres in Stevensville, Ontario, Canada. Because the Company is a minority shareholder of GN and GN is
a privately held company, the Company cannot confirm that the information it currently has on GN’s operations is complete or fully
reliable. GN estimates annual total production capacity from the Stevensville facility of up to 12,500 kilograms of cannabis. GN believes
the Stevensville facility to be complete, and GN’s subsidiary, 9869247 Canada Limited, received a license to cultivate from the
Canadian Ministry of Health on July 5, 2019. As a result, in October 2019, GN commenced cultivation activities and began generating revenues
during the first calendar quarter of 2020. The Company expects that it will obtain additional information on the business activities of
GN as it has renewed discussions to acquire additional interests and is performing its due diligence procedures. Effective June 11, 2019, the Company entered into
a Securities Purchase Agreement with Sunniva, Inc, a British Columbia, Canada corporation (“Sunniva”) wherein the Company
agreed to acquire all of the issued and outstanding securities of Sunniva’s wholly-owned subsidiaries Sunniva Medical Inc. (“SMI”)
and 1167025 B.C. LTD (“1167025”) for CAD $16.0 million in cash and a note in the principal amount of CAD $4.0 million. These
companies are the current owners of the Sunniva Canada Campus, which includes construction assets for a planned 759,000 square-foot greenhouse
located on an approximately 114-acre property in Okanagan Falls, British Columbia. On June 8, 2020, the Company received a notice
of termination of this Purchase Agreement, as amended, from Sunniva. As a result, the Company incurred a charge of $ 1,881,126 COVID-19 On March 11, 2020, the World Health Organization
(“WHO”) declared the Covid-19 outbreak to be a global pandemic. In addition to the devastating effects on human life, the
pandemic is having a negative ripple effect on the global economy, leading to disruptions and volatility in the global financial markets.
Most US states and many countries have issued policies intended to stop or slow the further spread of the disease. Covid-19 Basis of Presentation The accompanying financial statements have been
prepared in accordance with the Financial Accounting Standards Board (“ FASB Codification GAAP All figures are in U.S. dollars unless indicated otherwise. Use of Estimates The preparation of financial statements in conformity
with US GAAP requires management to make estimates and assumptions that affect the reported amounts of liabilities and disclosure of contingent
assets and liabilities at the date of the financial statements and the reported amounts of expenses during the reporting period. The most
significant estimates relate to purchase price allocation of acquired businesses, impairment of long-lived assets and goodwill, valuation
of financial instruments, income taxes, and contingencies. The Company bases its estimates on historical experience, known or expected
trends, and various other assumptions that are believed to be reasonable given the quality of information available as of the date of
these financial statements. The results of these assumptions provide the basis for making estimates about the carrying amounts of assets
and liabilities that are not readily apparent from other sources. Actual results could differ from these estimates. Cash and Cash Equivalents The Company considers all highly liquid temporary
cash investments with an original maturity of three months or less to be cash equivalents. On June 30, 2021, and December 31, 2020, the
Company cash and cash equivalents totaled $ 110,158 334,969 Comprehensive Gain or Loss ASC 220 “Comprehensive Income,” establishes
standards for the reporting and display of comprehensive income and its components in the financial statements. As of June 30, 2021, and
December 31, 2020, the Company determined that it had items that represented components of comprehensive income and, therefore, has included
a statement of comprehensive income in the financial statements. Reclassifications Certain prior year amounts have been reclassified
to conform to the current period presentation. These reclassifications had no impact on net earnings and financial position. Derivative Financial Instruments The Company does not use derivative instruments
to hedge exposures to cash flow, market, or foreign currency risk. Terms of convertible and other promissory notes are reviewed to determine
whether they contain embedded derivative instruments that are required to be accounted for separately from the host contract and recorded
on the balance sheet at fair value. The fair value of derivative liabilities is required to be revalued at each reporting date, with
corresponding changes in fair value recorded in current period operating results. For the periods ended June 30, 2021, and December 31,
2020, the Company had derivative liabilities of $ 598,676
3,676,649 Beneficial Conversion Features In accordance with FASB ASC 470-20, “Debt
with Conversion and Other Options” the Company records a beneficial conversion feature (“BCF”) related to the issuance
of convertible debt or preferred stock instruments that have conversion features at fixed rates that are in-the-money when issued. The
BCF for the convertible instruments is recognized and measured by allocating a portion of the proceeds equal to the intrinsic value of
that feature to additional paid-in capital. The intrinsic value is generally calculated at the commitment date as the difference between
the conversion price and the fair value of the common stock or other securities into which the security is convertible, multiplied by
the number of shares into which the security is convertible. If certain other securities are issued with the convertible security, the
proceeds are allocated among the different components. The portion of the proceeds allocated to the convertible security is divided by
the contractual number of the conversion shares to determine the effective conversion price, which is used to measure the BCF. The effective
conversion price is used to compute the intrinsic value. The value of the BCF is limited to the basis that is initially allocated to the
convertible security. Foreign Currency Translation The functional currency and the reporting currency
of CannaPharmaRx US operations is United States dollars, (“USD”). The functional currency of the Company’s Canadian
operations in Canadian dollars (“CAD”), Management has adopted ASC 830 “Foreign Currency Matters” for transactions
that occur in foreign currencies. Monetary assets denominated in foreign currencies are translated using the exchange rate prevailing
at the balance sheet date. Average monthly rates are used to translate revenues and expenses. Transactions denominated in currencies other than
the functional currency are translated into the functional currency at the exchange rates prevailing at the dates of the transaction.
Exchange gains or losses arising from foreign currency transactions are included in the determination of net income for the respective
periods. Assets and liabilities of the Company’s
operations are translated into the reporting currency, United States dollars, at the exchange rate in effect at the balance sheet dates.
Revenue and expenses are translated at average rates in effect during the reporting periods. Equity transactions are recorded at the historical
rate when the transaction occurred. The resulting translation adjustment is reflected as accumulated other comprehensive income, a separate
component of stockholders' equity in the statement of stockholders' equity. These translation adjustments are reflected in accumulated
other comprehensive income, a separate component of the Company's stockholders' equity. Harmonized Sales Tax The Harmonized Sales Tax (“HST”) is
a combination of the Canadian Goods and Services Tax (“GST”) and Provincial Sales Tax (“PST”) that is applied
to taxable goods and services. By fusing sales tax at the federal level with sales tax at the provincial level, the participating provinces
harmonized both taxes into a single federal-provincial sales tax. HST is a consumption tax paid by the consumer at the point of sale (POS).
The vendor or seller collects the tax proceeds from consumers by adding the HST rate to the cost of goods and services. They then remit
the total collected tax to the government periodically. The HST is in effect in five of the ten Canadian
provinces: New Brunswick, Newfoundland and Labrador, Nova Scotia, Ontario, and Prince Edward Island. The HST is collected by the Canada
Revenue Agency (CRA), which remits the appropriate amounts to the participating provinces. The HST may differ across these five provinces,
as each province will set its own PST rates within the HST. In provinces and territories which have not enacted the HST, the CRA collects
only the 5% goods and services tax. The current rate in Ontario is 13%. Capital Assets- Construction In Progress As of June 30, 2021, and December 31, 2020, the
Company had $ 1,608,994 1,566,316 Stock-Based Compensation The Company has adopted ASC Topic 718, (Compensation—Stock
Compensation) Long-Lived Assets The Company evaluates the recoverability of its
long-lived assets whenever events or changes in circumstances have indicated that an asset may not be recoverable. The long-lived asset
is grouped with other assets at the lowest level for which identifiable cash flows are largely independent of the cash flows of other
groups of assets and liabilities. If the sum of the projected undiscounted cash flows is less than the carrying value of the assets, the
assets are written down to the estimated fair value. The Company evaluated the recoverability of its
long-lived assets on December 31, 2020 on its subsidiaries with material amounts on their respective balance sheets and determined that
an impairment $ 146,084 The Company had a net balance at June 30, 2021
of $ 7,717 Fair Values of Assets and Liabilities The Company groups its financial assets and financial
liabilities generally measured at fair value in three levels, based on the markets in which the assets and liabilities are traded, and
the reliability of the assumptions used to determine fair value.
Level 1: Valuation is based on quoted prices in active markets for identical assets or liabilities. Level 1 assets and liabilities generally include debt and equity securities that are traded in an active exchange market. Valuations are obtained from readily available pricing sources for market transactions involving identical assets or liabilities.
Level 2: Valuation is based on observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. For example, Level 2 assets and liabilities may include debt securities with quoted prices that are traded less frequently than exchange-traded instruments.
Level 3: Valuation is based on unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. This category generally includes certain private equity investments and long-term derivative contracts. The fair value hierarchy also requires an entity
to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The Company may also be required, from time to
time, to measure certain other financial assets at fair value on a nonrecurring basis. These adjustments to fair value usually result
from the application of lower-of-cost-or-market accounting or write-downs of individual assets. During the period ended December 31, 2020,
the Company wrote down its fixed assets at the Hanover facility of approximately $ 186,000 Financial Instruments The estimated fair value for financial instruments
was determined at discrete points in time based on relevant market information. These estimates involve uncertainties and could not be
determined with exact precision. The fair value of the Company’s financial instruments, which include cash, prepaid expenses, accounts
payable, and the related party loan, each approximate their carrying value due either to their short length to maturity or interest rates
that approximate prevailing market rates. Income Taxes The Company accounts for income taxes under the
liability method, which requires recognition of deferred tax assets and liabilities for the expected future tax consequences of events
that have been included in the financial statements or tax returns. Under this method, deferred tax assets and liabilities are determined
based on the difference between the financial statements and tax bases of assets and liabilities using enacted tax rates in effect for
the year in which the differences are expected to reverse. Income (Loss) Per Share Income (loss) per share is presented in accordance
with Accounting Standards Update (“ ASU Earning per Share EPS Business Segments The Company’s activities during the three months ended June 30,
2021 and the year ended December 31, 2020, comprised a single segment. Recently Issued Accounting Pronouncements The Company has implemented all new accounting
pronouncements that are in effect and that may impact its financial statements and does not believe that there are any other new pronouncements
that have been issued that might have a material impact on its financial position or results of operations. The Company adopted ASC 842
on January 1, 2019. However, the adoption of the standard had no impact on the Company’s financial statements since all Company
leases are month to month or short-term rental. The Company adopted ASU 2019-12, Income Taxes, Topic 740 on January 1, 2021. There is
no material impact on the Company’s financial statements.

GOING CONCERN AND LIQUIDITY

GOING CONCERN AND LIQUIDITY6 Months Ended
Jun. 30, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
GOING CONCERN AND LIQUIDITYNOTE 2. GOING CONCERN AND LIQUIDITY As of June 30, 2021 and December 31, 2020,
the Company had $ 110,158 334,969 14,761,780 6,394,290 These financial statements have been prepared
on a going concern basis, which contemplates the realization of assets and the settlement of liabilities and commitments in the normal
course of business. Based on its current financial projections, the Company believes it does not have sufficient existing cash resources
to fund its current limited operations. It is the Company’s current intention to
raise debt and/or equity financing to fund ongoing operating expenses. There is no assurance that these events will be satisfactorily
completed or at terms acceptable to the Company. Any issuance of equity securities, if accomplished, could cause substantial dilution
to existing stockholders. Any failure by the Company to successfully implement these plans would have a material adverse effect on its
business, including the possible inability to continue operations.

DEPOSITS

DEPOSITS6 Months Ended
Jun. 30, 2021
Deposits
DEPOSITSNOTE 3. DEPOSITS As of June 30, 2021, and December 31, 2020, the
Company had deposits of $ 80,680 0 1,308,830
On January 6, 2021 the Company executed an Agreement
of Purchase and Sale through its wholly owned subsidiary, Alternative Medical Solutions Inc. for the sale of lands and premises located
at Hanover, Ontario, Canada. A description of the property is detailed in Note 1 of these financial statements. The purchase price is
$2,000,000 CAD. As a result, and in anticipation of the closing,
the Company has recorded an impairment of goodwill and fixed assets relating to the property of $7,962,694 $80,680

PREPAID EXPENSES

PREPAID EXPENSES6 Months Ended
Jun. 30, 2021
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
PREPAID EXPENSESNOTE 4. PREPAID EXPENSES The following table sets forth the components
of the Company’s prepaid expenses on June 30, 2021, and December 31, 2020: Schedule
of prepaid expenses
June 30, 2021 December 31, 2020
Prepaid expenses(a) 159,654 132,031
Prepaid financing(b) 209,500 –
Total $ 369,154 $ 132,031
a) This prepayment remains in trust, from proceeds of the Astor Street, LLC promissory notes, currently being held with the intention of forming part of the initial payment of the pending Cremona acquisition. On March 29, 2021, the Company received the acceptance our Offer to Purchase certain assets and facilities located in Cremona, Alberta, Canada. The purchase price is $12,550,000 CAD. The Company has paid a $200,000 CAD deposit and closing is expected on April 29, 2021. The 55,200 square foot facility is capable of producing 5,200 kilograms of cannabis biomass per year. The facility previously held Health Canada licenses for cultivation and sales of medical dried flower, as well as extract and edible sales. After closing of the transaction, the Company intends to apply for new Health Canada licenses. Funding for this acquisition is in the due diligence phase.
b) The Company has paid $209,500 in commitment fees to two arms length parties to arrange financing for pending
Cremona acquisition. This financing is currently in the due diligence phase.

INVESTMENT

INVESTMENT6 Months Ended
Jun. 30, 2021
Investments, All Other Investments [Abstract]
INVESTMENTNOTE 5. INVESTMENT As of June 30, 2021, and December 31, 2020, the
balance of investments was 6,750,779 and $6,711,289, respectively. On February 25, 2019, the Company acquired 3,936,500 2,500,000 7,988,963 11,264,438 7,070,841 4,193,597 On May, 2020, the Company exchanged 5,507,400 3,671,597 2,478,422 6,672,019 On October 6, 2020, the Company invested $ 50,000
83,333 On January 15, 2021, the Company invested an
additional $ 50,000
83,333

PROPERTY, PLANT, AND EQUIPMENT

PROPERTY, PLANT, AND EQUIPMENT6 Months Ended
Jun. 30, 2021
Property, Plant and Equipment [Abstract]
PROPERTY, PLANT, AND EQUIPMENTNOTE 6. PROPERTY, PLANT, AND EQUIPMENT The following table sets forth the components
of the Company’s property and equipment on June 30, 2021, and December 31, 2020:
Property and Equipment
June 30, 2021 December 31, 2020
Gross Carrying Amount Accumulated Depreciation Net Book Value Gross Carrying Amount Accumulated Depreciation Net Book Value
Computers, software, and office equipment $ 11,408 $ (3,691 ) $ 7,717 $ 4,869 $ (2,435 ) $ 2,435
Land – – – – – –
Construction in progress 1,608,994 – 1,608,994 1,566,316 – 1,566,316
Total fixed assets $ 1,620,402 $ (3,691 ) $ 1,616,711 $ 1,571,185 $ (2,435 ) $ 1,566,316 For the periods ended June 30, 2021, and 2020,
the Company recorded depreciation expense of $ 1,184 758 As of June 30, 2021 and December 31, 2020, the
Company had $ 1,608,994 1,566,316 For construction in-progress assets, no depreciation
is recorded until the asset is placed in service. When construction is completed, the asset should be reclassified as building, building
improvements, or land improvement and should be capitalized and depreciated. Construction in progress includes all costs related to the
construction of a medical cannabis facility. Cost also includes soft costs such as loan fees and interest and consulting fees and related
expenses. The facility is not available for use and therefore not being amortized. The Company entered into a Purchase and Sale Agreement
with a prospective buyer on January 6, 2021. This transaction closed on July 9, 2021 for proceeds of $2,000,000 CAD. Proceeds were used
to retire and discharge the note for a repayment of principal of $1,000,000, interest of $124,735 and penalties of $475,265.

ACCOUNT PAYABLE AND ACCRUED LIA

ACCOUNT PAYABLE AND ACCRUED LIABILITIES6 Months Ended
Jun. 30, 2021
Payables and Accruals [Abstract]
ACCOUNT PAYABLE AND ACCRUED LIABILITIESNOTE 7. ACCOUNT PAYABLE AND ACCRUED LIABILITIES Accounts payables are recognized initially at
the transaction price and subsequently measured at the undiscounted amount of cash or other consideration expected to be paid. Accrued
expenses are recognized based on the expected amount required to settle the obligation or liability. The following table sets forth the components
of the Company’s accrued liabilities on June 30, 2021 and December 31, 2020.
Schedule of accounts payable and accrued liabilities
June 30, 2021 December 31, 2020
Accounts payable and accrued expenses $ 4,116,507 $ 3,585,000
Accrued interest (a) 152,238 96,477
Accrued legal settlement (b) 190,000 190,000
Total accounts payable and accrued liabilities $ 4,458,745 $ 3,871,477
(a) Represents
interest accrued on the outstanding convertible notes and other notes - see Note 11, Notes Payables)
(b) The Company had previously been a party to an action filed by Gary M. Cohen, a former officer and director of the Company in 2014. In March 2015, the Company entered into a Settlement Agreement with Mr. Cohen wherein the Company agreed to repurchase 2,250,000 shares of its Common Stock from Mr. Cohen in consideration for $350,000. Mr. Cohen passed away while there was a remaining balance of $190,000 remaining to be paid in accordance with the Settlement Agreement. The Company has taken the position that his death has discharged any obligation the Company might have to make the balance of the payments. The Company has not received any demand for payment or otherwise been involved in any attempt to collect this balance for a period of greater than two years prior to the date of this Report.

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS6 Months Ended
Jun. 30, 2021
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONSNOTE 8. RELATED PARTY TRANSACTIONS The following table sets forth the components
of the Company’s related party liabilities on June 30, 2021 and December 31, 2020. Schedule
of related party transactions
June 30, 2021
December 31, 2020
Loan payable, related parties $ 41,219 $ 274,758
Total loan payable, related parties $ 41,219 $ 274,758
Interest-free loans of $41,219 from the Company’s CEO and a director, respectively, amounting to $21,461 and $19,758 due to former directors. Effective March 22, 2019, the Company established
its principal place of business and leases offices at 3600, 888 – 3rd St SW, Calgary, Alberta, Canada, T2P 5C5. The lease may be
terminated by either party on 30 days’ notice. Rent is $2,000 CAD per month effective October 1, 2020 (retroactively reduced from
$4,000 per month). This space was provided by a company to which, Mr. Orman, one of the Company’s directors, serves as a Director. See Note 14, Subsequent Events, below, for additional
related party transactions.

CONVERTIBLE NOTES AND DERIVATIV

CONVERTIBLE NOTES AND DERIVATIVE LIABILITIES6 Months Ended
Jun. 30, 2021
Debt Disclosure [Abstract]
CONVERTIBLE NOTES AND DERIVATIVE LIABILITIESNOTE 9. CONVERTIBLE NOTES AND DERIVATIVE LIABILITIES The following tables set forth the components
of the Company’s, convertible debentures as of June 30, 2021 and December 31, 2020:
Components of convertible debentures
June 30, December 31,
Principal value of convertible notes $ 1,093,728 $ 1,662,000
Note discount (280,938 ) (664,442 )
Total convertible notes, net current $ 812,790 $ 997,558 On July 8, 2019, the Company commenced a private
offering of Units at a price of $50,000 per Unit, each Unit consisting of 50,000 shares of the Company’s Common Stock and one $50,000
unsecured Convertible Note 31 1,550,000 1,550,000 In addition, the 5,505,530 5,075,000 1,550,000 3,525,000 552,602 During the year ended December 31, 2020, the Company
issued a total of 24 582,500 595,500 1,000,500 160,000 100,000 135,000 During the year ended December 31, 2020 the Company
recorded $ 257,345 1,690,933 664,442 During the year ended December 31, 2020 the Company
issued 4,067,332 1,984,000 566,408 June 30, 2021 Activity During the six-month period ended June 30, 2021,
the Company received proceeds from convertible notes of $ 388,083 During the six months ended June 30, 2021 the
Company recorded $ 43,030 735,949 27,503 280,938 100,000 During the six months ended June 30, 2021 the
Company issued 18,973,801 956,355 As of June 30, 2021, derivative liabilities were
valued using a probability-weighted average Black-Scholes-Merton pricing model with the following assumptions:
Schedule of assumptions used
June 30, 2021
Exercise Price $ 0.0276 – 0.0345
Stock Price $ 0.05
Risk-free interest rate .08%
Expected volatility 128.50%
Expected life (in years) 0.50 - 1.00
Expected dividend yield 0%
Fair Value: $ 598,676 The risk-free interest rate was based on rates
established by the Federal Reserve Bank. The Company uses the historical volatility of its common stock to estimate the future volatility
for its common stock. The expected life of the conversion feature of the notes was based on the remaining term of the notes. The expected
dividend yield was based on the fact that the Company has not customarily paid dividends in the past and does not expect to pay dividends
in the future. During the six months ended June 30, 2021 the
Company recognized a gain of $ 3,077,973 969,102

NOTES PAYABLE

NOTES PAYABLE6 Months Ended
Jun. 30, 2021
Notes Payable
NOTES PAYABLENOTE 10. NOTES PAYABLE The following tables set forth the components
of the Company’s, notes payable as of June 30, 2021 and December 31, 2020:
Schedule of notes payable
June 30, December 31,
Principal value of Promissory Note $ 9,459,536 $ 8,977,721
Loan discounts (127,878 ) (248,972 )
Promissory Note, long term net of discount $ 9,331,658 $ 8,728,749 Pursuant to the terms of the Securities Purchase
Agreement with AMS the Company issued a non-interest bearing CAD $ 10,000,000 7,330,000 December 31, 2021 The Company performed a valuation study as part
of the AMS acquisition. The valuation study determined that the Promissory Note should be valued at $ 6,632,917 697,083 735,949 On July 3, 2019, the Company entered into a 12%
$ 1,000,000 June 28, 2020 60,000 1,001,000 890,570 On April 21, 2020, the Company received a loan
from the Government of Canada under the Canada Emergency Business Account program (CEBA). This loan was in the amount of $ 40,000 29,352 3 20,000 15,708 During the six months ended June 30, 2021 the
Company entered into Note Agreements with secured investors amounting to $ 238,560

INCOME TAXES

INCOME TAXES6 Months Ended
Jun. 30, 2021
Income Tax Disclosure [Abstract]
INCOME TAXESNOTE 11. INCOME TAXES As of June 30, 2021, the Company has approximately
$ 75,600,000 2030 2034 The tax years from 2014 and forward remain open
to examination by federal and state authorities due to net operating loss and credit carryforwards. The Company is currently not under
examination by the Internal Revenue Service or any other taxing authorities. Since the company has never been profitable, the Company
has established a full valuation allowance against the deferred tax asset associated with the NOLS.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES6 Months Ended
Jun. 30, 2021
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIESNOTE 12. COMMITMENTS AND CONTINGENCIES Effective March 22, 2019, the Company entered
into a lease agreement to lease three offices at 3600 888 3 St SW, Calgary, Alberta, Canada, T2P 5C5. The lease may be terminated by either
party on 30 days’ notice. Rent is $2,000 CAD per month (reduced from $4,000 per month effective October 1, 2020 retroactively adjusted).
This space was provided by a company to which, Mr. Orman, one of the Company’s directors, serves as a Director. On March 29, 2021, the Company received the acceptance
our Offer to Purchase certain assets and facilities located in Cremona, Alberta, Canada. The purchase price is $12,550,000 CAD. The Company
has paid a $200,000 CAD deposit and closing is expected on April 29, 2021. The 55,200 square foot facility is capable of producing 5,200
kilograms of cannabis biomass per year. The facility previously held Health Canada licenses for cultivation and sales of medical dried
flower, as well as extract and edible sales. After closing of the transaction, the Company intends to apply for new Health Canada licenses.
Funding for this acquisition is in the due diligence phase.

STOCKHOLDERS_ EQUITY

STOCKHOLDERS’ EQUITY6 Months Ended
Jun. 30, 2021
Equity [Abstract]
STOCKHOLDERS’ EQUITYNOTE 13. STOCKHOLDERS’ EQUITY Series A Preferred Stock In April 2018, the Company issued 60,000 1.00
· entitles the holder thereof to 1,250 votes on all matters submitted to a vote of the shareholders:
· The holders of outstanding Series A Convertible Preferred Stock shall only be entitled to receive dividends upon declaration by the Board of Directors of a dividend payable on the Company’s Common Stock, whereupon the holders of the Series A Convertible Preferred Stock shall receive a dividend on the number of shares of Common Stock into which each share of Series A Convertible Preferred Stock is convertible;
· Each Series A Preferred Share is convertible into 1,250 shares of Common Stock
· not redeemable. The beneficial conversion (“BCF”)
feature attributed to the purchase of Preferred Stock was deemed to have no value on the date of purchase because there was no public
trading market for the Convertible Preferred Stock, and none is expected to develop in the future. Therefore, the BCF related to the Preferred
Shares was considered to have no value on the date of issuance. The Company is authorized to issue up to 100,000
shares of Series A Preferred Stock, par value of $1.00. There were 58,180 60,000 The Board of Directors may, without stockholder
approval, determine the dividend rates, redemption prices, preferences on liquidation or dissolution, conversion rights, voting rights,
and any other preferences. Series B Preferred Stock / Common Stock In February 2019, the Company commenced an offering
of up to $3 million in principal amount of Units at a price of $1.00 per Unit, each Unit consisting of one share of Series “B”
Convertible Preferred Stock, each Convertible Preferred Share convertible into one share of the Company’s Common Stock at the election
of the holder and one Common Stock Purchase Warrant exercisable to purchase one share of Common Stock at an exercise price of $2.00 per
share, which offering is to be offered only to “accredited investors,” as that term is defined in Rule 501 of Regulation D.
This Offering was closed at the end of August 2019. As of December 31, 2020, the Company had accepted $475,000 in subscriptions in this
offering. The Company is authorized to issue 3,000,000 shares
of Series B Preferred Stock, par value of $1.00. There were 475,000 shares of Series B Convertible
Preferred Stock issued and outstanding as of June 30, 2021, and December 31, 2020, respectively. The Company is authorized to issue 300,000,000
0.0001
73,760,595
The Board of Directors may, without stockholder
approval, determine the dividend rates, redemption prices, preferences on liquidation or dissolution, conversion rights, voting rights,
and any other preferences. Shares Issued in Connection with the Assignment
Agreement with Great Northern Ltd On September 28, 2018, Great Northern Cannabis,
Ltd (“GN”), entered a Letter of Intent with P2P Green Power Energy Solutions and certain individuals to acquire all of the
issued and outstanding shares of AMS. On October 10, 2018, the Company entered into an Assignment and Assumption Agreement (“the
AA Agreement”) with GN. Under the terms of the AA Agreement, the Company essentially purchased the right to acquire AMS from GN
for the following consideration:
· A refundable payment of CAD $200,000
· An accountable reimbursement of GN expenses and fees related to the AMS acquisition not to exceed CAD $300,000
· In the event that we didn’t enter into a management agreement with GN post-closing, we agreed to issue GN, 2,500,000 shares of our Common Stock trading under symbol “CPMD” All of the above consideration was expressly contingent
upon the closing of the AMS acquisition which was consummated by the Company on December 31, 2019. The payments of $200,000 and $300,000
were made to GN. On August 30, 2019, the parties determined that no management agreement had been entered into so the Company issued 2,500,000
shares to GN valued at $5,800,000 as required pursuant to the Agreement. Under the guidelines of ASC 805, Business Combinations, since
we disclosed that the AMS transaction was complete, the goodwill re-measurement period ended and therefore we could not adjust goodwill
for this transaction. As a result, we recorded an acquisition expense on the Company’s income statement for $ 5,800,000 Shares Reserved for Issuance As of June 30, 2021, the Company had 272,654,379
72,725,000 475,000 197,131,851 2,322,528 Stock Options During the period ended June 30, 2021 and December
31, 2020, the Company did not record any stock-based compensation expense related to stock options, as there were none outstanding. Stock Purchase Warrants The following table reflects all outstanding
and exercisable warrants on June 30, 2021 and December 31, 2020:
Warrant activity
Number of Warrants Outstanding (a) Weighted Average Exercise Price Average Remaining Contractual Life (Years)
Warrants outstanding, January 1, 2018 – $ – –
Warrants issued 350,000 0.57 1.50
Warrants exercised – – –
Warrant forfeited – – –
Warrants outstanding, December 31, 2018 350,000 $ 0.57 .12
Warrants issued (a) 1,519,750 $ 1.01 .59
Warrants outstanding December 31, 2019 1,869,750 $ 0.92 .80
Warrants exercised (25,000 ) – –
Warrants outstanding December 31, 2020 1,844,750 $ 0.92 .50
Warrants issued (b) 477,778 $ 0.30 5.00
Warrants outstanding June 30, 2021 2,322,528 - Stock purchase warrants are exercisable for two-five
years from the date of issuance.
(a) The number of warrants reflected in this table does not include 475,000 warrants that were issued at various times during 2019 in connection with the issuance of the Company’s Series B Preferred stock. These warrants are exercisable for three years at a strike price of $2.00 per share. The Company accounts for warrants issued to purchase shares of its common stock or preferred stock as equity in accordance with FASB ASC 480, Accounting for Derivative Financial Instruments Indexed to, and Potentially Settled in, a Company’s Own Stock, Distinguishing Liabilities from Equity. Therefore, no stock-based compensation expense was recorded for the issuance of these 475,000 warrants.
(b) The Company issued 477,448 common share purchase warrants during the second quarter to an accredited investor
as part of a convertible debenture. These warrants are exercisable at $0.30 per share and expire at the end of five years. The value of the stock purchase warrants for
the periods ended June 30, 2021, and December 31, 2020, was determined using the following Black-Scholes methodology:
Assumptions used
Expected dividend yield (1) 0.00
Risk-free interest rate range (2) 1.75 2.91
Volatility range (3) 1.23 442.92
Expected life (in years) 2.00 5.00 _____________
(1) The Company has no history or expectation of paying cash dividends on its Common Stock.
(2) The risk-free interest rate is based on the U.S. Treasury yield for a term consistent with the expected life of the awards in effect at the time of grant.
(3) The volatility of the Company’s Common Stock is based on trading activity for the previous three year period ended at each stock purchase warrant contract date. During the six month period ended June 30, 2021
and June 30, 2020, the Company recorded $193,399 and $413,158, respectively, in stock-based compensation.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS6 Months Ended
Jun. 30, 2021
Subsequent Events [Abstract]
SUBSEQUENT EVENTSNOTE 14. SUBSEQUENT EVENTS On July 2, 2021, the Company issued 1600 Preferred
A shares to an accredited investor at $31.25 per share for net proceeds of $49,997. On July 9, 2021, the Company closed the sale of
the Hanover property originally executed on January 6, 2021 to an arms-length party for proceeds of $2,000,000 CAD. These proceeds were
used to repay the Koze mortgage against the property for $1,600,000 USD which included the original principal of $1,000,000 USD plus accrued
interest of $124,735 USD and penalties of $475,265. This mortgage has now been discharged. On July 13, 2021, the Company issued 2400 Preferred
A shares to an accredited investor at $31.25 per share for net proceeds of $75,000. On July 23, 2021, the Company issued 2400 Preferred
A shares to an accredited investor at $31.25 per share for net proceeds of $75,000.

NATURE OF OPERATIONS AND SIGN_2

NATURE OF OPERATIONS AND SIGNIFICANT ACCOUNTING POLICIES (Policies)6 Months Ended
Jun. 30, 2021
Accounting Policies [Abstract]
Nature of OperationsNature of Operations CannaPharmaRx, Inc. (the “Company”)
is a Delaware corporation. In November 2018 it formed an Ontario corporation, Hanover CPMD Acquisition Corporation, to facilitate the
acquisition described below. As of the date of this Report, the Company intends to engage in acquisitions or joint ventures with a company
or companies that will allow to become a national or internationally branded cannabis cultivation company, or otherwise engage in the
cannabis industry. Management is engaged in seeking out and evaluating businesses for acquisition. However, if an opportunity in another
industry arises the Company will review that opportunity as well.
HistoryHistory The Company was originally incorporated in the
State of Colorado in August 1998 under the name “Network Acquisitions, Inc.” It changed its name to Cavion Technologies, Inc.
in February 1999 and subsequently to Concord Ventures, Inc. in October 2006. On December 21, 2000, the Company filed for protection under
Chapter 11 of the United States Bankruptcy Code. In connection with the filing, on February 16, 2001, the Company sold its entire business,
and all of its assets, for the benefit of its creditors. After the sale, the Company still had liabilities of $8.4 million and was subsequently
dismissed by the Court from the Chapter 11 reorganization, effective March 13, 2001, at which time the last of the Company’s then
remaining directors resigned. On March 13, 2001, the Company had no business or source of income, no assets, no employees or directors,
outstanding liabilities of approximately $8.4 million, and had terminated its duty to file reports under securities law. In February 2008,
after filing of a Form 10 registration statement pursuant to the Securities Exchange Act of 1934, as amended, we were re-listed on the
OTC Bulletin Board. In April 2010, the Company re-domiciled in Delaware
under the name CCVG, Inc. (“CCVG”). Effective December 31, 2010, the Company completed an Agreement and Plan of Merger and
Reorganization (the “Reorganization") which provided for the merger of two of the Company’s wholly-owned subsidiaries.
As a result of this reorganization, the Company’s name became “Golden Dragon Inc.,” which became the surviving publicly
quoted parent holding company. On May 9, 2014, the Company entered into a Share
Purchase Agreement (the “ Share Purchase Agreement Canna
Colorado In October 2014, the Company changed its legal
name to “CannaPharmaRx, Inc.” In April 2016, the Company ceased operations.
As a result, the Company was then considered a “shell” company as defined under the Securities Exchange Act of 1934, as amended,
as defined in Rule 405 of the Securities Act and Rule 12b-2 of the Exchange Act. Effective December 31, 2018, the Company and Hanover
CPMD Acquisition Corp. (“CPMD Hanover”) a newly formed, wholly-owned subsidiary, entered into a Securities Purchase Agreement
with Alternative Medical Solutions, Inc., an Ontario, Canada corporation (“AMS”), its shareholders, wherein the Company acquired
all of the issued and outstanding securities of AMS. AMS is a corporation organized under the laws of the Province of Ontario, Canada.
It is a late-stage marijuana licensed producer applicant in Canada. It is currently in the Pre-License Inspection and Licensing phase,
which is Stage 5 of 6, with a fully approved license. Upon completion of the final construction of the facility, Health Canada will inspect
the facility and relevant operating procedures to ensure it meets the standards that have been approved in the application. There can
be no assurances that the Company will receive this license. The facility is a 48,750 square foot marijuana
grow facility built on a 6.7-acre parcel of land located in Hanover, Ontario Canada. To date, the exterior construction of the building
has been completed. However, no interior construction has begun. Upon full completion, the facility will contain up to 20 separate growing
rooms which we believe will provide an annual production capacity of 9,500 kilos of marijuana (20,900 lbs.). Completion of the build-out
of the facility is expected to take an estimated 20 weeks. Together with the remaining equipment needed to complete the grow the Company
estimates that it will require approximately CAD$20.0 million in additional financing which it may seek to raise via equity and debt.
There can be no assurances that the Company will successfully raise the financing required to complete the construction of the facility
and begin cultivation. As a result of the completion of the acquisition
of AMS on December 31, 2019, the Company no longer fits the definition of a “shell company,” as defined in Rule 405 of the
Securities Act and Rule 12b-2 of the Exchange Act. It filed the required disclosure on Form 8-K/A with the SEC on February 14, 2019, advising
that it was no longer a shell company pursuant to the aforesaid Rule. On January 6, 2021, the Company executed an Agreement
of Purchase and Sale through its wholly owned subsidiary, Alternative Medical Solutions Inc. for the sale of the lands and premises located
at Hanover, Ontario, Canada. The price is $2,000,000 CAD. As a result, and in anticipation of the closing, the Company recorded an impairment
of goodwill and fixed assets relating to the property of $ 7,962,694
Effective February 25, 2019, the Company acquired
3,936,500 2,500,000 7,988,963 5,507,400 3,671,597 GN owns a 60,000 square foot cannabis cultivation
and grow facility located on 38 acres in Stevensville, Ontario, Canada. Because the Company is a minority shareholder of GN and GN is
a privately held company, the Company cannot confirm that the information it currently has on GN’s operations is complete or fully
reliable. GN estimates annual total production capacity from the Stevensville facility of up to 12,500 kilograms of cannabis. GN believes
the Stevensville facility to be complete, and GN’s subsidiary, 9869247 Canada Limited, received a license to cultivate from the
Canadian Ministry of Health on July 5, 2019. As a result, in October 2019, GN commenced cultivation activities and began generating revenues
during the first calendar quarter of 2020. The Company expects that it will obtain additional information on the business activities of
GN as it has renewed discussions to acquire additional interests and is performing its due diligence procedures. Effective June 11, 2019, the Company entered into
a Securities Purchase Agreement with Sunniva, Inc, a British Columbia, Canada corporation (“Sunniva”) wherein the Company
agreed to acquire all of the issued and outstanding securities of Sunniva’s wholly-owned subsidiaries Sunniva Medical Inc. (“SMI”)
and 1167025 B.C. LTD (“1167025”) for CAD $16.0 million in cash and a note in the principal amount of CAD $4.0 million. These
companies are the current owners of the Sunniva Canada Campus, which includes construction assets for a planned 759,000 square-foot greenhouse
located on an approximately 114-acre property in Okanagan Falls, British Columbia. On June 8, 2020, the Company received a notice
of termination of this Purchase Agreement, as amended, from Sunniva. As a result, the Company incurred a charge of $ 1,881,126 COVID-19 On March 11, 2020, the World Health Organization
(“WHO”) declared the Covid-19 outbreak to be a global pandemic. In addition to the devastating effects on human life, the
pandemic is having a negative ripple effect on the global economy, leading to disruptions and volatility in the global financial markets.
Most US states and many countries have issued policies intended to stop or slow the further spread of the disease.
Covid-19Covid-19
Basis of PresentationBasis of Presentation The accompanying financial statements have been
prepared in accordance with the Financial Accounting Standards Board (“ FASB Codification GAAP All figures are in U.S. dollars unless indicated otherwise.
Use of EstimatesUse of Estimates The preparation of financial statements in conformity
with US GAAP requires management to make estimates and assumptions that affect the reported amounts of liabilities and disclosure of contingent
assets and liabilities at the date of the financial statements and the reported amounts of expenses during the reporting period. The most
significant estimates relate to purchase price allocation of acquired businesses, impairment of long-lived assets and goodwill, valuation
of financial instruments, income taxes, and contingencies. The Company bases its estimates on historical experience, known or expected
trends, and various other assumptions that are believed to be reasonable given the quality of information available as of the date of
these financial statements. The results of these assumptions provide the basis for making estimates about the carrying amounts of assets
and liabilities that are not readily apparent from other sources. Actual results could differ from these estimates.
Cash and Cash EquivalentsCash and Cash Equivalents The Company considers all highly liquid temporary
cash investments with an original maturity of three months or less to be cash equivalents. On June 30, 2021, and December 31, 2020, the
Company cash and cash equivalents totaled $ 110,158 334,969
Comprehensive Gain or LossComprehensive Gain or Loss ASC 220 “Comprehensive Income,” establishes
standards for the reporting and display of comprehensive income and its components in the financial statements. As of June 30, 2021, and
December 31, 2020, the Company determined that it had items that represented components of comprehensive income and, therefore, has included
a statement of comprehensive income in the financial statements.
ReclassificationsReclassifications Certain prior year amounts have been reclassified
to conform to the current period presentation. These reclassifications had no impact on net earnings and financial position.
Derivative Financial InstrumentsDerivative Financial Instruments The Company does not use derivative instruments
to hedge exposures to cash flow, market, or foreign currency risk. Terms of convertible and other promissory notes are reviewed to determine
whether they contain embedded derivative instruments that are required to be accounted for separately from the host contract and recorded
on the balance sheet at fair value. The fair value of derivative liabilities is required to be revalued at each reporting date, with
corresponding changes in fair value recorded in current period operating results. For the periods ended June 30, 2021, and December 31,
2020, the Company had derivative liabilities of $ 598,676
3,676,649
Beneficial Conversion FeaturesBeneficial Conversion Features In accordance with FASB ASC 470-20, “Debt
with Conversion and Other Options” the Company records a beneficial conversion feature (“BCF”) related to the issuance
of convertible debt or preferred stock instruments that have conversion features at fixed rates that are in-the-money when issued. The
BCF for the convertible instruments is recognized and measured by allocating a portion of the proceeds equal to the intrinsic value of
that feature to additional paid-in capital. The intrinsic value is generally calculated at the commitment date as the difference between
the conversion price and the fair value of the common stock or other securities into which the security is convertible, multiplied by
the number of shares into which the security is convertible. If certain other securities are issued with the convertible security, the
proceeds are allocated among the different components. The portion of the proceeds allocated to the convertible security is divided by
the contractual number of the conversion shares to determine the effective conversion price, which is used to measure the BCF. The effective
conversion price is used to compute the intrinsic value. The value of the BCF is limited to the basis that is initially allocated to the
convertible security.
Foreign Currency TranslationForeign Currency Translation The functional currency and the reporting currency
of CannaPharmaRx US operations is United States dollars, (“USD”). The functional currency of the Company’s Canadian
operations in Canadian dollars (“CAD”), Management has adopted ASC 830 “Foreign Currency Matters” for transactions
that occur in foreign currencies. Monetary assets denominated in foreign currencies are translated using the exchange rate prevailing
at the balance sheet date. Average monthly rates are used to translate revenues and expenses. Transactions denominated in currencies other than
the functional currency are translated into the functional currency at the exchange rates prevailing at the dates of the transaction.
Exchange gains or losses arising from foreign currency transactions are included in the determination of net income for the respective
periods. Assets and liabilities of the Company’s
operations are translated into the reporting currency, United States dollars, at the exchange rate in effect at the balance sheet dates.
Revenue and expenses are translated at average rates in effect during the reporting periods. Equity transactions are recorded at the historical
rate when the transaction occurred. The resulting translation adjustment is reflected as accumulated other comprehensive income, a separate
component of stockholders' equity in the statement of stockholders' equity. These translation adjustments are reflected in accumulated
other comprehensive income, a separate component of the Company's stockholders' equity.
Harmonized Sales TaxHarmonized Sales Tax The Harmonized Sales Tax (“HST”) is
a combination of the Canadian Goods and Services Tax (“GST”) and Provincial Sales Tax (“PST”) that is applied
to taxable goods and services. By fusing sales tax at the federal level with sales tax at the provincial level, the participating provinces
harmonized both taxes into a single federal-provincial sales tax. HST is a consumption tax paid by the consumer at the point of sale (POS).
The vendor or seller collects the tax proceeds from consumers by adding the HST rate to the cost of goods and services. They then remit
the total collected tax to the government periodically. The HST is in effect in five of the ten Canadian
provinces: New Brunswick, Newfoundland and Labrador, Nova Scotia, Ontario, and Prince Edward Island. The HST is collected by the Canada
Revenue Agency (CRA), which remits the appropriate amounts to the participating provinces. The HST may differ across these five provinces,
as each province will set its own PST rates within the HST. In provinces and territories which have not enacted the HST, the CRA collects
only the 5% goods and services tax. The current rate in Ontario is 13%.
Capital Assets- Construction In ProgressCapital Assets- Construction In Progress As of June 30, 2021, and December 31, 2020, the
Company had $ 1,608,994 1,566,316
Long-Lived AssetsStock-Based Compensation The Company has adopted ASC Topic 718, (Compensation—Stock
Compensation) Long-Lived Assets The Company evaluates the recoverability of its
long-lived assets whenever events or changes in circumstances have indicated that an asset may not be recoverable. The long-lived asset
is grouped with other assets at the lowest level for which identifiable cash flows are largely independent of the cash flows of other
groups of assets and liabilities. If the sum of the projected undiscounted cash flows is less than the carrying value of the assets, the
assets are written down to the estimated fair value. The Company evaluated the recoverability of its
long-lived assets on December 31, 2020 on its subsidiaries with material amounts on their respective balance sheets and determined that
an impairment $ 146,084 The Company had a net balance at June 30, 2021
of $ 7,717
Fair Values of Assets and LiabilitiesFair Values of Assets and Liabilities The Company groups its financial assets and financial
liabilities generally measured at fair value in three levels, based on the markets in which the assets and liabilities are traded, and
the reliability of the assumptions used to determine fair value.
Level 1: Valuation is based on quoted prices in active markets for identical assets or liabilities. Level 1 assets and liabilities generally include debt and equity securities that are traded in an active exchange market. Valuations are obtained from readily available pricing sources for market transactions involving identical assets or liabilities.
Level 2: Valuation is based on observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. For example, Level 2 assets and liabilities may include debt securities with quoted prices that are traded less frequently than exchange-traded instruments.
Level 3: Valuation is based on unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. This category generally includes certain private equity investments and long-term derivative contracts. The fair value hierarchy also requires an entity
to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The Company may also be required, from time to
time, to measure certain other financial assets at fair value on a nonrecurring basis. These adjustments to fair value usually result
from the application of lower-of-cost-or-market accounting or write-downs of individual assets. During the period ended December 31, 2020,
the Company wrote down its fixed assets at the Hanover facility of approximately $ 186,000
Financial InstrumentsFinancial Instruments The estimated fair value for financial instruments
was determined at discrete points in time based on relevant market information. These estimates involve uncertainties and could not be
determined with exact precision. The fair value of the Company’s financial instruments, which include cash, prepaid expenses, accounts
payable, and the related party loan, each approximate their carrying value due either to their short length to maturity or interest rates
that approximate prevailing market rates.
Income TaxesIncome Taxes The Company accounts for income taxes under the
liability method, which requires recognition of deferred tax assets and liabilities for the expected future tax consequences of events
that have been included in the financial statements or tax returns. Under this method, deferred tax assets and liabilities are determined
based on the difference between the financial statements and tax bases of assets and liabilities using enacted tax rates in effect for
the year in which the differences are expected to reverse.
Income (Loss) Per ShareIncome (Loss) Per Share Income (loss) per share is presented in accordance
with Accounting Standards Update (“ ASU Earning per Share EPS
Business SegmentsBusiness Segments The Company’s activities during the three months ended June 30,
2021 and the year ended December 31, 2020, comprised a single segment.
Recently Issued Accounting PronouncementsRecently Issued Accounting Pronouncements The Company has implemented all new accounting
pronouncements that are in effect and that may impact its financial statements and does not believe that there are any other new pronouncements
that have been issued that might have a material impact on its financial position or results of operations. The Company adopted ASC 842
on January 1, 2019. However, the adoption of the standard had no impact on the Company’s financial statements since all Company
leases are month to month or short-term rental. The Company adopted ASU 2019-12, Income Taxes, Topic 740 on January 1, 2021. There is
no material impact on the Company’s financial statements.

PREPAID EXPENSES (Tables)

PREPAID EXPENSES (Tables)6 Months Ended
Jun. 30, 2021
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Schedule of prepaid expensesSchedule
of prepaid expenses
June 30, 2021 December 31, 2020
Prepaid expenses(a) 159,654 132,031
Prepaid financing(b) 209,500 –
Total $ 369,154 $ 132,031
a) This prepayment remains in trust, from proceeds of the Astor Street, LLC promissory notes, currently being held with the intention of forming part of the initial payment of the pending Cremona acquisition. On March 29, 2021, the Company received the acceptance our Offer to Purchase certain assets and facilities located in Cremona, Alberta, Canada. The purchase price is $12,550,000 CAD. The Company has paid a $200,000 CAD deposit and closing is expected on April 29, 2021. The 55,200 square foot facility is capable of producing 5,200 kilograms of cannabis biomass per year. The facility previously held Health Canada licenses for cultivation and sales of medical dried flower, as well as extract and edible sales. After closing of the transaction, the Company intends to apply for new Health Canada licenses. Funding for this acquisition is in the due diligence phase.
b) The Company has paid $209,500 in commitment fees to two arms length parties to arrange financing for pending
Cremona acquisition. This financing is currently in the due diligence phase.

PROPERTY, PLANT, AND EQUIPMENT

PROPERTY, PLANT, AND EQUIPMENT (Tables)6 Months Ended
Jun. 30, 2021
Property, Plant and Equipment [Abstract]
Property and EquipmentProperty and Equipment
June 30, 2021 December 31, 2020
Gross Carrying Amount Accumulated Depreciation Net Book Value Gross Carrying Amount Accumulated Depreciation Net Book Value
Computers, software, and office equipment $ 11,408 $ (3,691 ) $ 7,717 $ 4,869 $ (2,435 ) $ 2,435
Land – – – – – –
Construction in progress 1,608,994 – 1,608,994 1,566,316 – 1,566,316
Total fixed assets $ 1,620,402 $ (3,691 ) $ 1,616,711 $ 1,571,185 $ (2,435 ) $ 1,566,316

ACCOUNT PAYABLE AND ACCRUED L_2

ACCOUNT PAYABLE AND ACCRUED LIABILITIES (Tables)6 Months Ended
Jun. 30, 2021
Payables and Accruals [Abstract]
Schedule of accounts payable and accrued liabilitiesSchedule of accounts payable and accrued liabilities
June 30, 2021 December 31, 2020
Accounts payable and accrued expenses $ 4,116,507 $ 3,585,000
Accrued interest (a) 152,238 96,477
Accrued legal settlement (b) 190,000 190,000
Total accounts payable and accrued liabilities $ 4,458,745 $ 3,871,477

RELATED PARTY TRANSACTIONS (Tab

RELATED PARTY TRANSACTIONS (Tables)6 Months Ended
Jun. 30, 2021
Related Party Transactions [Abstract]
Schedule of related party transactionsSchedule
of related party transactions
June 30, 2021
December 31, 2020
Loan payable, related parties $ 41,219 $ 274,758
Total loan payable, related parties $ 41,219 $ 274,758
Interest-free loans of $41,219 from the Company’s CEO and a director, respectively, amounting to $21,461 and $19,758 due to former directors. Effective March 22, 2019, the Company established
its principal place of business and leases offices at 3600, 888 – 3rd St SW, Calgary, Alberta, Canada, T2P 5C5. The lease may be
terminated by either party on 30 days’ notice. Rent is $2,000 CAD per month effective October 1, 2020 (retroactively reduced from
$4,000 per month). This space was provided by a company to which, Mr. Orman, one of the Company’s directors, serves as a Director. See Note 14, Subsequent Events, below, for additional
related party transactions.

CONVERTIBLE NOTES AND DERIVAT_2

CONVERTIBLE NOTES AND DERIVATIVE LIABILITIES (Tables)6 Months Ended
Jun. 30, 2021
Debt Disclosure [Abstract]
Components of convertible debenturesComponents of convertible debentures
June 30, December 31,
Principal value of convertible notes $ 1,093,728 $ 1,662,000
Note discount (280,938 ) (664,442 )
Total convertible notes, net current $ 812,790 $ 997,558
Schedule of assumptions usedSchedule of assumptions used
June 30, 2021
Exercise Price $ 0.0276 – 0.0345
Stock Price $ 0.05
Risk-free interest rate .08%
Expected volatility 128.50%
Expected life (in years) 0.50 - 1.00
Expected dividend yield 0%
Fair Value: $ 598,676

NOTES PAYABLE (Tables)

NOTES PAYABLE (Tables)6 Months Ended
Jun. 30, 2021
Notes Payable
Schedule of notes payableSchedule of notes payable
June 30, December 31,
Principal value of Promissory Note $ 9,459,536 $ 8,977,721
Loan discounts (127,878 ) (248,972 )
Promissory Note, long term net of discount $ 9,331,658 $ 8,728,749

STOCKHOLDERS_ EQUITY (Tables)

STOCKHOLDERS’ EQUITY (Tables)6 Months Ended
Jun. 30, 2021
Equity [Abstract]
Warrant activityWarrant activity
Number of Warrants Outstanding (a) Weighted Average Exercise Price Average Remaining Contractual Life (Years)
Warrants outstanding, January 1, 2018 – $ – –
Warrants issued 350,000 0.57 1.50
Warrants exercised – – –
Warrant forfeited – – –
Warrants outstanding, December 31, 2018 350,000 $ 0.57 .12
Warrants issued (a) 1,519,750 $ 1.01 .59
Warrants outstanding December 31, 2019 1,869,750 $ 0.92 .80
Warrants exercised (25,000 ) – –
Warrants outstanding December 31, 2020 1,844,750 $ 0.92 .50
Warrants issued (b) 477,778 $ 0.30 5.00
Warrants outstanding June 30, 2021 2,322,528 -
Assumptions usedAssumptions used
Expected dividend yield (1) 0.00
Risk-free interest rate range (2) 1.75 2.91
Volatility range (3) 1.23 442.92
Expected life (in years) 2.00 5.00

NATURE OF OPERATIONS AND SIGN_3

NATURE OF OPERATIONS AND SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($)2 Months Ended4 Months Ended5 Months Ended6 Months Ended12 Months Ended
Feb. 25, 2019May 08, 2020Jun. 08, 2020Jun. 30, 2021Dec. 31, 2020
AccountingPoliciesLineItems [Line Items]
Cash and cash equivalents $ 110,158 $ 334,969
Derivative Liability, Current598,676 3,676,649
Construction in progress1,608,994 1,566,316
Long lived asset impairment146,084
Office equipment $ 7,717
Hanover Facility [Member]
AccountingPoliciesLineItems [Line Items]
Fixed assets wrote down186,000
Sunniva [Member]
AccountingPoliciesLineItems [Line Items]
Write off of deposit $ 1,881,126
GN Common Stock [Member]
AccountingPoliciesLineItems [Line Items]
Stock exchanged, shares received3,671,597
Common Stock [Member]
AccountingPoliciesLineItems [Line Items]
Stock exchanged, shares exchanged5,507,400
Common Stock [Member] | GN Ventures [Member]
AccountingPoliciesLineItems [Line Items]
Shares given in business combination7,988,963
GN Ventures [Member]
AccountingPoliciesLineItems [Line Items]
Shares given in business combination7,988,963
GN Ventures [Member] | GN Common Stock [Member]
AccountingPoliciesLineItems [Line Items]
Shares acquired in business combination3,936,500
GN Ventures [Member] | GN Warrants [Member]
AccountingPoliciesLineItems [Line Items]
Shares acquired in business combination2,500,000
Lands And Premises Hanover Ontario C N [Member]
AccountingPoliciesLineItems [Line Items]
Asset Impairment Charges $ 7,962,694

GOING CONCERN AND LIQUIDITY (De

GOING CONCERN AND LIQUIDITY (Details Narrative) - USD ($)Jun. 30, 2021Mar. 31, 2021Dec. 31, 2020Jun. 30, 2020Mar. 31, 2020Dec. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Cash $ 110,158 $ 334,969 $ 3,793 $ 1,547
Working capital14,761,780
Retained earnings $ 6,394,290 $ 6,850,337 $ 8,801,599 $ (2,726,536) $ (1,347,534) $ (4,854,198)

DEPOSITS (Details Narrative)

DEPOSITS (Details Narrative) - USD ($)12 Months Ended
Dec. 31, 2020Jun. 30, 2021Jan. 06, 2021Jun. 08, 2020
DepositsLineItems [Line Items]
Deposits $ 0 $ 80,680
Lands And Premises Hanover Ontario C N [Member]
DepositsLineItems [Line Items]
Deposits $ 80,680
Asset impairment $ 7,962,694
Sunniva [Member]
DepositsLineItems [Line Items]
Deposits $ 1,308,830

Schedule of prepaid expenses (D

Schedule of prepaid expenses (Details) - USD ($)Jun. 30, 2021Dec. 31, 2020
PrepaidExpensesLineItems [Line Items]
Prepaid expenses $ 369,154 $ 132,031
Prepaid Expenses [Member]
PrepaidExpensesLineItems [Line Items]
Prepaid expenses[1]159,654 132,031
Prepaid Financing [Member]
PrepaidExpensesLineItems [Line Items]
Prepaid expenses $ 209,500 $ 0
[1]The Company has paid $209,500 in commitment fees to two arms length parties to arrange financing for pending
Cremona acquisition. This financing is currently in the due diligence phase.

INVESTMENT (Details Narrative)

INVESTMENT (Details Narrative) - USD ($)Jan. 15, 2021Feb. 25, 2019Oct. 06, 2020Dec. 31, 2019Jun. 30, 2021Dec. 31, 2020May 20, 2020
Entity Listings [Line Items]
Investments $ 6,750,779 $ 6,711,289
GN Ventures [Member]
Entity Listings [Line Items]
Stock received in acquisition, shares3,936,500
Warrants received in acquisition2,500,000
Stock issued for acquisition7,988,963
Consideration transferred $ 11,264,438
Impairment of investment $ 7,070,841
Investments $ 4,193,597 $ 6,672,019
Stock exchanged, shares issued5,507,400
Stock exchanged, shares acquired3,671,597
Stock exchanged, value of shares acquired $ 2,478,422
Klonetics Plant [Member] | Canada, Dollars | Class A Common Stock [Member]
Entity Listings [Line Items]
Payment for investment $ 50,000 $ 50,000
Stock received for investment83,333 83,333

PROPERTY, PLANT, AND EQUIPMEN_2

PROPERTY, PLANT, AND EQUIPMENT (Details) - USD ($)Jun. 30, 2021Dec. 31, 2020
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross $ 1,620,402 $ 1,571,185
Accumulated depreciation(3,691)(2,435)
Property, plant and equipment, net1,616,711 1,566,316
Computers Software Office Equipment [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross11,408 4,869
Accumulated depreciation(3,691)(2,435)
Property, plant and equipment, net7,717 2,435
Land [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross0 0
Accumulated depreciation0 0
Property, plant and equipment, net0 0
Construction in Progress [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross1,608,994 1,566,316
Accumulated depreciation0 0
Property, plant and equipment, net $ 1,608,994 $ 1,566,316

PROPERTY, PLANT, AND EQUIPMEN_3

PROPERTY, PLANT, AND EQUIPMENT (Details Narrative) - USD ($)6 Months Ended
Jun. 30, 2021Jun. 30, 2020Dec. 31, 2020
Property, Plant and Equipment [Abstract]
Depreciation expense $ 1,184 $ 758
Construction in progress $ 1,608,994 $ 1,566,316

ACCOUNT PAYABLE AND ACCRUED L_3

ACCOUNT PAYABLE AND ACCRUED LIABILITIES (Details) - USD ($)Jun. 30, 2021Dec. 31, 2020
Payables and Accruals [Abstract]
Accounts payable and accrued expenses $ 4,116,507 $ 3,585,000
Accrued interest (a)[1]152,238 96,477
Accrued legal settlement (b)[2]190,000 190,000
Total accounts payable and accrued liabilities $ 4,458,745 $ 3,871,477
[1]The Company has paid $209,500 in commitment fees to two arms length parties to arrange financing for pending
Cremona acquisition. This financing is currently in the due diligence phase.
[2]Represents
interest accrued on the outstanding convertible notes and other notes - see Note 11, Notes Payables)

Schedule of related party trans

Schedule of related party transactions (Details) - USD ($)Jun. 30, 2021Dec. 31, 2020
Related Party Transactions [Abstract]
Total loan payable, related parties $ 41,219 $ 274,758

CONVERTIBLE NOTES AND DERIVAT_3

CONVERTIBLE NOTES AND DERIVATIVE LIABILITIES (Details - Convertible debentures) - USD ($)Jun. 30, 2021Dec. 31, 2020
Debt Disclosure [Abstract]
Principal value of convertible notes $ 1,093,728 $ 1,662,000
Note discount(280,938)(664,442)
Total convertible notes, net current $ 812,790 $ 997,558

CONVERTIBLE NOTES AND DERIVAT_4

CONVERTIBLE NOTES AND DERIVATIVE LIABILITIES (Details - Assumptions Used)6 Months Ended
Jun. 30, 2021
Measurement Input, Exercise Price [Member]
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liabilities description0.0276 – 0.0345
Measurement Input, Share Price [Member]
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liabilities description0.05
Measurement Input, Risk Free Interest Rate [Member]
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liabilities description.08%
Measurement Input, Price Volatility [Member]
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liabilities description128.50%
Measurement Input, Expected Term [Member]
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liabilities description0.50 - 1.00
Measurement Input, Expected Dividend Rate [Member]
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liabilities description0%
Measurement Input Expected Fair Value [Member]
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative liabilities description598,676

CONVERTIBLE NOTES AND DERIVAT_5

CONVERTIBLE NOTES AND DERIVATIVE LIABILITIES (Details Narrative) - USD ($)3 Months Ended6 Months Ended12 Months Ended
Jun. 30, 2021Mar. 31, 2021Sep. 30, 2020Jun. 30, 2020Mar. 31, 2020Jun. 30, 2021Jun. 30, 2020Jul. 08, 2019Dec. 31, 2020Dec. 31, 2019
Debt Instrument [Line Items]
Beneficial conversion feature $ 289,426 $ 34,205 $ 438,000
Unamortized note discount280,938 $ 280,938 $ 664,442
Amortization of note discount735,949 $ 1,009,149
Change in the fair value of derivatives447,493 $ (43,618)3,077,973 (969,102)
Convertible Notes [Member]
Debt Instrument [Line Items]
Debt converted, amount converted $ 956,355 $ 1,984,000
Debt converted, shares issued18,973,801 4,067,332
Gain (loss) on conversion of debt $ 566,408
Conv Note 160 [Member]
Debt Instrument [Line Items]
Repayment of convertible note $ 160,000
Debt converted, amount converted $ 100,000
Debt converted, shares issued135,000
Convertible Notes [Member]
Debt Instrument [Line Items]
Unamortized note discount280,938 $ 280,938 664,442
Interest expense, debt43,030 257,345
Amortization of note discount735,949 $ 1,690,933
Proceeds from convertible notes388,083
Accrued interest27,503 27,503
Note in default $ 100,000 100,000
Change in the fair value of derivatives $ 3,077,973 $ 969,102
Private Offering [Member]
Debt Instrument [Line Items]
Unit description50,000 shares of the Company’s Common Stock and one $50,000
unsecured Convertible Note
Units issued new, units24 31
Proceeds from sale of units $ 1,550,000
Beneficial conversion feature $ 1,550,000
Private Offering [Member] | Unsecured 5 Convertible Notes [Member]
Debt Instrument [Line Items]
Proceeds from convertible notes $ 582,500
Private Offering [Member] | Unsecured 8 Convertible Notes [Member]
Debt Instrument [Line Items]
Proceeds from convertible notes595,500
Private Offering [Member] | Unsecured 10 Convertible Notes [Member]
Debt Instrument [Line Items]
Proceeds from convertible notes $ 1,000,500
Private Offering [Member] | Units [Member]
Debt Instrument [Line Items]
Units issued new, units5,505,530
Stock issued new, value $ 5,075,000
Unamortized note discount1,550,000
Interest expense, debt3,525,000
Amortization of note discount $ 552,602

NOTES PAYABLE (Details)

NOTES PAYABLE (Details) - Convertible Debentures [Member] - USD ($)Jun. 30, 2021Dec. 31, 2020
Debt Instrument [Line Items]
Principal value of Promissory Note $ 9,459,536 $ 8,977,721
Loan discounts(127,878)(248,972)
Promissory Note, long term net of discount $ 9,331,658 $ 8,728,749

NOTES PAYABLE (Details Narrativ

NOTES PAYABLE (Details Narrative)4 Months Ended6 Months Ended8 Months Ended
Apr. 21, 2020USD ($)Apr. 21, 2020CAD ($)Jun. 30, 2021USD ($)Jul. 03, 2019USD ($)sharesDec. 29, 2020USD ($)Dec. 29, 2020CAD ($)Dec. 31, 2020USD ($)Jun. 03, 2019USD ($)
Secured Notes Payable [Member]
Debt Instrument [Line Items]
Debt maturity dateDec. 31,
2021
Interest expense $ 735,949
Secured Notes Payable [Member] | Canada, Dollars
Debt Instrument [Line Items]
Debt face amount $ 10,000,000
Secured Notes Payable [Member] | United States of America, Dollars
Debt Instrument [Line Items]
Debt face amount7,330,000
Promissory note carrying amount6,632,917
Original issue discount697,083
Koze Investments [Member]
Debt Instrument [Line Items]
Debt face amount $ 1,000,000
Debt maturity dateJun. 28,
2020
Interest expense $ 60,000
Warrants issued, shares | shares1,001,000
Penalties accrued $ 890,570
Canada Emergency Business Account [Member] | Canada, Dollars
Debt Instrument [Line Items]
Proceeds from loans $ 40,000 $ 20,000
Canada Emergency Business Account [Member] | United States of America, Dollars
Debt Instrument [Line Items]
Proceeds from loans $ 29,352 $ 15,708
Loan term3 years3 years
Note Agreements [Member]
Debt Instrument [Line Items]
Promissory note carrying amount $ 238,560

INCOME TAXES (Details Narrative

INCOME TAXES (Details Narrative)6 Months Ended
Jun. 30, 2021USD ($)
Operating Loss Carryforwards [Line Items]
Net operating loss carryforwards $ 75,600,000
Operating Loss Carryforwards, Expiration DateDec. 31,
2030
State and Local Jurisdiction [Member]
Operating Loss Carryforwards [Line Items]
Operating Loss Carryforwards, Expiration DateDec. 31,
2034

STOCKHOLDERS' EQUITY (Details -

STOCKHOLDERS' EQUITY (Details - Warrant activity) - Warrant [Member] - $ / shares6 Months Ended12 Months Ended
Jun. 30, 2021Dec. 31, 2020Dec. 31, 2019Dec. 31, 2018
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Warrants outstanding, ending balance[1]1,844,750 1,869,750 350,000 0
Warrants outstanding, ending balance $ 0.92 $ 0.92 $ 0.57 $ 0
Warrants issued[1]477,778 1,519,750 350,000
Warrants issued $ 0.30 $ 1.01 [1] $ 0.57
Warrants issued5 years7 months 2 days[1]1 year 6 months
Warrants exercised[1](25,000)0
Warrants exercised $ 0 $ 0
Warrants forfeited[1]0
Warrants forfeited $ 0
Warrants outstanding6 months9 months 18 days1 month 13 days
Warrants outstanding, beginning balance[1]2,322,528 1,844,750 1,869,750 350,000
Class of Warrant or Right, Exercise Price of Warrants or Rights $ 0.92 $ 0.92 $ 0.57
[1]The Company had previously been a party to an action filed by Gary M. Cohen, a former officer and director of the Company in 2014. In March 2015, the Company entered into a Settlement Agreement with Mr. Cohen wherein the Company agreed to repurchase 2,250,000 shares of its Common Stock from Mr. Cohen in consideration for $350,000. Mr. Cohen passed away while there was a remaining balance of $190,000 remaining to be paid in accordance with the Settlement Agreement. The Company has taken the position that his death has discharged any obligation the Company might have to make the balance of the payments. The Company has not received any demand for payment or otherwise been involved in any attempt to collect this balance for a period of greater than two years prior to the date of this Report.

STOCKHOLDERS' EQUITY (Details_2

STOCKHOLDERS' EQUITY (Details - Warrant assumptions) - Warrant [Member]6 Months Ended
Jun. 30, 2021
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Expected dividend yield0.00%[1]
Risk-free interest rate - minimum1.75%[2]
Risk-free interest rate - maximum2.91%[2]
Volatility - minimum1.23%[3]
Volatility - maximum442.92%[3]
Minimum [Member]
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Expected life2 years
Maximum [Member]
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Expected life5 years
[1]The Company issued 477,448 common share purchase warrants during the second quarter to an accredited investor
as part of a convertible debenture. These warrants are exercisable at $0.30 per share and expire at the end of five years.
[2]The Company has no history or expectation of paying cash dividends on its Common Stock.
[3]The risk-free interest rate is based on the U.S. Treasury yield for a term consistent with the expected life of the awards in effect at the time of grant.

STOCKHOLDERS_ EQUITY (Details N

STOCKHOLDERS’ EQUITY (Details Narrative) - USD ($)3 Months Ended6 Months Ended12 Months Ended
Jun. 30, 2021Jun. 30, 2020Jun. 30, 2021Jun. 30, 2020Dec. 31, 2019Dec. 31, 2020Apr. 30, 2018
Class of Stock [Line Items]
Common Stock, Shares Authorized300,000,000 300,000,000 300,000,000
Common Stock, Par or Stated Value Per Share $ 0.0001 $ 0.0001 $ 0.0001
Common Stock, Shares, Outstanding73,760,595 73,760,595 46,986,794
Acquisition expenses $ 0 $ (18,488) $ 0 $ 1,862,638
Stock reserved for issuance272,654,379 272,654,379
Series A Preferred Stock Conversion [Member]
Class of Stock [Line Items]
Stock reserved for issuance72,725,000 72,725,000
Series B Preferred Stock Conversion [Member]
Class of Stock [Line Items]
Stock reserved for issuance475,000 475,000
Convertible Note Conversions [Member]
Class of Stock [Line Items]
Stock reserved for issuance197,131,851 197,131,851
Warrant Exercises [Member]
Class of Stock [Line Items]
Stock reserved for issuance2,322,528 2,322,528
Alternative Medical Solutions [Member]
Class of Stock [Line Items]
Acquisition expenses $ 5,800,000
Series A Preferred Stock [Member]
Class of Stock [Line Items]
Preferred shares, issued58,180 58,180 60,000 60,000
Preferred shares, par value $ 1 $ 1 $ 1
Convertible stock terms of conversionEach Series A Preferred Share is convertible into 1,250 shares of Common Stock
Preferred shares, outstanding58,180 58,180 60,000