On January 30, 2017, the Registrant issued a $55,000 10% convertible promissory note ( "Note") to an institutional investor. The Note is due January 30, 2018 and bears an interest rate of 10%, and is convertible into shares of our common stock at 50% of the lowest trading price. The Note was issued with a $1,000 original issue discount. The proceeds of the Note will be used for working capital, however $4,000 of the proceeds of the Note have been allocated to OTC Markets subscription fees ($4,000) and shall be paid by the investor, and the remaining $6,000 shall be remitted to CoroWare for investor relations and attorney fees.