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Document and Entity Information - USD ($)	12 Months Ended
Document and Entity Information - USD ($)	Dec. 31, 2017	Feb. 28, 2018	Jun. 30, 2017
Document And Entity Information
Entity Registrant Name	Ipsidy Inc.
Entity Central Index Key	0001534154
Document Type	10-K
Trading Symbol	IDTY
Document Period End Date	Dec. 31, 2017
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity a Well-known Seasoned Issuer	No
Entity a Voluntary Filer	No
Entity's Reporting Status Current	Yes
Entity Filer Category	Smaller Reporting Company
Entity Public Float			$ 68,876,484
Entity Common Stock, Shares Outstanding		403,311,968
Document Fiscal Period Focus	FY
Document Fiscal Year Focus	2017

CONSOLIDATED BALANCE SHEETS - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Current Assets:
Cash	$ 4,413,822	$ 689,105
Accounts receivable, net	165,929	138,359
Current portion of net investment in direct financing lease	52,790	44,990
Inventory, net	492,030	150,679
Other current assets	218,537	166,479
Total current assets	5,343,108	1,189,612
Property and equipment, net	209,719	115,682
Other assets	1,243,531	358,343
Intangible assets, net	2,878,080	3,474,291
Goodwill	6,736,043	6,736,043
Net investment in direct financing lease, net of current portion	618,763	674,015
Total assets	17,029,244	12,547,986
Current Liabilities:
Accounts payable and accrued expenses	1,447,185	1,687,900
Convertible notes payable, net		250,000
Derivative liability		8,388,355
Notes payable, net		109,819
Capital lease obligation, current portion	27,420
Deferred revenue	122,511	398,680
Total current liabilities	1,597,116	10,834,754
Convertible notes payable, net, less current maturities		2,245,596
Notes payable, net less current maturities	2,375,720	3,051,603
Capital lease obligation, net of current portion	115,509
Derivative liability, net of current portion		9,668,276
Total liabilities	4,088,345	25,800,229
Commitments and Contingencies (Note 16)
Stockholders' Deficit:
Common stock, $0.0001 par value, 1,000,000,000 and 500,000,000 shares authorized; 403,311,988 and 234,704,655 shares issued and outstanding as of December 31, 2017 and 2016, respectively	40,331	23,470
Additional paid in capital	79,053,339	35,341,669
Accumulated deficit	(66,407,622)	(48,925,993)
Accumulated comprehensive income	254,851	308,611
Total stockholders' equity (deficit)	12,940,899	(13,252,243)
Total liabilities and stockholders' equity (deficit)	$ 17,029,244	$ 12,547,986

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Dec. 31, 2017	Dec. 31, 2016
Statement of Financial Position [Abstract]
Common stock, at par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock, authorized	1,000,000,000	500,000,000
Common stock, issued	403,311,988	234,704,655
Common stock, outstanding	403,311,988	234,704,655

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)	12 Months Ended
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Revenues:
Products and services	$ 2,228,910	$ 1,877,446
Lease income	74,696	52,492
Total revenues, net	2,303,606	1,929,938
Operating Expenses:
Cost of sales	589,254	492,237
General and administrative	13,026,188	14,243,363
Research and development	222,068	340,317
Depreciation and amortization	475,211	421,494
Total operating expenses	14,312,721	15,497,411
Loss from operations	(12,009,115)	(13,567,473)
Other Income (Expense):
Gain (loss) on derivative liabilities	(452,146)	7,345,000
Gain on extinguishment of notes payable	2,802,234
Loss on modification of derivatives	(319,770)
Loss on modification of warrants	(158,327)
Loss on settlement of notes payable	(5,978,643)
Interest expense	(1,337,081)	(3,625,984)
Other income (expense), net	(5,443,733)	3,719,016
Loss before income taxes	(17,452,848)	(9,848,457)
Income tax expense	28,781	2,946
Net loss	$ (17,481,629)	$ (9,851,403)
Net Loss Per Share - Basic and Diluted (in dollars per share)	$ (0.05)	$ (0.05)
Weighted Average Shares Outstanding - Basic and Diluted (in shares)	338,485,301	217,570,666

CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($)	12 Months Ended
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Consolidated Statements Of Comprehensive Loss
Net Loss	$ (17,481,629)	$ (9,851,403)
Foreign currency translation (loss) gain	(53,760)	257,050
Comprehensive income loss	$ (17,535,389)	$ (9,594,353)

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (DEFICIT) - USD ($)	Common Stock [Member]	Additional Paid-In Capital [Member]	Accumulated Deficit [Member]	Accumulated Other Comprehensive Income [Member]	Total
Balance, beginning at Dec. 31, 2015	$ 18,785	$ 14,923,936	$ (39,074,590)	$ 51,561	$ (24,080,308)
Balance, beginning (in shares) at Dec. 31, 2015	187,854,139
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Reclass of derivatives upon conversion of convertible debt		692,850			692,850
Issuance of common stock upon conversion of debt and related interest	$ 70	21,152			21,222
Issuance of common stock upon conversion of debt and related interest (in shares)	704,074
Stock-based compensation		8,648,212			8,648,212
Common stock issued for services	$ 97	311,006			311,103
Common stock issued for services (in shares)	969,654
Common stock issued in settlement of contingent liability	$ 26	59,655			59,681
Common stock issued in settlement of contingent liability (in shares)	260,537
Common stock issued with convertible debt	$ 103	54,367			54,470
Common stock issued with convertible debt (in shares)	1,033,337
Common stock issued with note payable	$ 193	168,152			168,345
Common stock issued with note payable (in shares)	1,932,914
Common stock issued for debt issuance costs	$ 245	257,451			257,696
Common stock issued for debt issuance costs (in shares)	2,450,000
Common sock issued for acquisition of FIN Holdings	$ 2,250	8,997,750			9,000,000
Common sock issued for acquisition of FIN Holdings (in shares)	22,500,000
Common stock and warrants issued for cash	$ 2,500	1,247,500			1,250,000
Common stock and warrants issued for cash (in shares)	25,000,000
Equity issuance costs	$ 200	(120,442)			$ (120,242)
Equity issuance costs (in shares)	2,000,000				2,966,251
Common stock canceled	$ (1,000)	1,000
Common stock canceled (in shares)	(10,000,000)
Warrants issued for inventory		79,081			79,081
Net loss			(9,851,403)		(9,851,403)
Foreign currency translation				257,050	257,050
Balance, ending at Dec. 31, 2016	$ 23,470	35,341,669	(48,925,993)	308,611	$ (13,252,243)
Balance, ending (in shares) at Dec. 31, 2016	234,704,655				234,704,655
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Reclassification of derivatives removal of price protection in warrants		7,614,974			$ 7,614,974
Issuance of common stock upon conversion of debt and related interest	$ 8,482	21,601,191			21,609,673
Issuance of common stock upon conversion of debt and related interest (in shares)	84,822,006
Stock-based compensation		5,650,072			5,650,072
Common stock issued for services	$ 60	140,091			$ 140,151
Common stock issued for services (in shares)	593,557				594,000
Common stock issued with note payable	$ 450	841,277			$ 841,727
Common stock issued with note payable (in shares)	4,500,000
Common stock issued for debt issuance costs	$ 120	224,340			224,460
Common stock issued for debt issuance costs (in shares)	1,200,000
Common stock and warrants issued for cash	$ 5,846	8,994,444			9,000,290
Common stock and warrants issued for cash (in shares)	58,463,770
Cash and common stock issued for equity issuance costs	$ 100	(664,644)			(664,544)
Cash and common stock issued for equity issuance costs (in shares)	1,000,000
Common stock returned as part of extinguishment of notes payable	$ (250)	(874,750)			(875,000)
Common stock returned as part of extinguishment of notes payable (in shares)	(2,500,000)
Common stock issued compensation subject to performance	$ 2,000				2,000
Common stock issued compensation subject to performance (in shares)	20,000,000
Loss on modification of warrants		158,327			158,327
Common stock issued upon exercise of warrants	$ 53	26,347			26,400
Common stock issued upon exercise of warrants (in shares)	528,000
Net loss			(17,481,629)		(17,481,629)
Foreign currency translation				(53,760)	(53,760)
Balance, ending at Dec. 31, 2017	$ 40,331	$ 79,053,339	$ (66,407,622)	$ 254,851	$ 12,940,899
Balance, ending (in shares) at Dec. 31, 2017	403,311,988				403,311,988

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	12 Months Ended
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	Dec. 31, 2017	Dec. 31, 2016
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (17,481,629)	$ (9,851,403)
Adjustments to reconcile net loss with cash flows from operations:
Depreciation and amortization expense	475,211	421,494
Stock-based compensation	5,650,072	8,648,212
Common stock issued for services	140,151	311,103
Amortization of debt discounts and issuance costs	937,133	3,165,079
Loss (gain) on derivative liability	452,146	(7,345,000)
Gain on settlement of notes payable	(2,802,234)
Loss on modification of derivatives	319,770
Loss on modification of warrants	158,327
Loss on settlement of debt	5,978,643
Write off of assets	212,862	225,862
Gain on sale of property and equipment		(3,681)
Changes in operating assets and liabilities:
Accounts receivable	(36,963)	674,952
Net investment in direct financing lease	47,452	28,939
Other current assets	(52,058)	(32,255)
Inventory, net	(354,227)	(194,473)
Accounts payable and accrued expenses	90,353	(254,560)
Deferred revenue	(276,169)	398,680
Net cash flows from operating activities	(6,541,160)	(3,807,051)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of property and equipment	(13,246)	(23,565)
Proceeds from the sale of property and equipment		8,007
Investment in other assets and software development	(894,435)	(283,813)
Cash acquired in acquisition		419,042
Net cash flows from investing activities	(907,681)	119,671
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from issuance of convertible notes payable, common stock and warrants		1,550,000
Proceeds from issuance of notes payable and common stock	3,000,000	1,375,000
Proceeds from issuance of notes payable, related parties		13,609
Proceeds from the sale of common stock	9,002,290	1,250,000
Proceeds from exercise of common stock warrants	26,400
Payment of debt and equity issuance costs	(750,975)	(229,423)
Principal payments on notes payable	(59,819)	(89,569)
Principal payments on capital lease obligation	(30,842)	(120,242)
Net cash flows from financing activities	11,187,054	3,749,375
Effect of foreign currencies on cash	(13,496)	277,237
Net Change in Cash	3,724,717	339,232
Cash, Beginning of the Year	689,105	349,873
Cash, End of the Year	4,413,822	689,105
Supplemental Disclosure of Cash Flow Information:
Cash paid for interest	22,192	11,051
Cash paid for income taxes	28,781	2,946
Non-cash Investing and Financing Activities:
Issuance of common stock for conversion of debt and accrued interest	21,609,673	21,222
Issuance of common stock in settlement of contingent liability		59,681
Issuance of warrants for inventory costs	224,460	79,081
Reclassification of derivative liabilities upon removal of price protection in warrants	7,614,974	692,850
Issuance of common stock with debt		222,815
Issuance of common stock for debt issuance costs		257,696
Debt discount for fair value of warrants issued in connection with debt		358,411
Debt discount for fair value of embedded conversion features		290,425
Reclassification of inventory to net investment in direct financing lease		747,944
Acquisition of equipment pursuant to a capital lease	163,407
Acquisition of FIN Holdings:
Issuance of common stock as consideration		9,000,000
Assumed liabilities		914,218
Inventory		(112,408)
Other current assets		(299,798)
Property and equipment		(112,408)
Intangible assets		(8,970,562)
Cash acquired		$ 419,042

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

12 Months Ended

Dec. 31, 2017

Accounting Policies [Abstract]

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

NOTE 1 – DESCRIPTION OF BUSINESS AMD SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Ipsidy Inc. (formerly ID Global Solutions Corporation) (“Ipsidy” or the “Company”) was incorporated on September 21, 2011 under the laws of the State of Delaware. Ipsidy is a provider of secure, biometric identification, identity management and electronic transaction processing services. The Company plans to provide pre-transaction verification of identity as well as embed identity attributes within every electronic transaction message processed through our platform, or other electronic systems. The Company provides its biometric identification services to government and public sector organizations, seeking to authenticate and manage identities for a variety of security purposes, including issuing identity cards and exercise of rights such as voting in elections. The Company’s current and future platforms of internally developed software as well as acquired and licensed technology is intended to provide solutions for multi modal biometric matching, multi-factor out of band identity and transaction authentication, and electronic transactions.

Going Concern

As of December 31, 2017, the Company had an accumulated deficit of approximately $66.4 million. For the year ended December 31, 2017, the Company earned revenue of approximately $2.3 million and incurred a loss from operations of approximately $12.0 million.

These consolidated financial statements have been prepared on a going concern basis, which implies the Company will continue to meet its obligations and continue its operations for the next fiscal year. The continuation of the Company as a going concern is dependent upon financial support from the Company’s current shareholders, the ability of the Company to obtain additional equity financing to continue operations, the Company’s ability to generate sufficient cash flows from operations, successfully locating and negotiating with other business entities for potential acquisition and /or acquiring new clients to generate revenues and cash flows. As there can be no assurance that the Company will be able to achieve positive cash flows (become profitable) and raise sufficient capital to maintain operations there is substantial doubt about the Company’s ability to continue as a going concern.

These consolidated financial statements do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classifications of liabilities that may result should the Company be unable to continue as a going concern.

Basis of Consolidation

The consolidated financial statements include the accounts of Ipsidy Inc. and its wholly-owned subsidiaries Innovation in Motion Inc. MultiPay S.A.S., ID Global LATAM, IDGS S.A.S., ID Solutions, Inc., FIN Holdings, Inc., Cards Plus Pty Ltd. and Ipsidy Enterprises Limited (collectively, the “Company”). All significant intercompany balances and transactions have been eliminated in consolidation.

The summary of significant accounting policies presented below is designed to assist in understanding the Company’s consolidated financial statements. Such consolidated financial statements and accompanying notes are the representations of the Company’s management, who are responsible for their integrity and objectivity. These accounting policies conform to accounting principles generally accepted in the United States of America (“US GAAP”) in all material respects, and have been consistently applied in preparing the accompanying consolidated financial statements.

Use of Estimates

In preparing these consolidated financial statements in conformity with US GAAP, management is required to make estimates and assumptions that may affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the consolidated financial statements and the reported amount of revenues and expenses during the reporting periods. Actual results could differ from those estimates. Significant estimates and assumptions included in our consolidated financial statements relate to the realizability of accounts receivable and inventory, valuation of long-lived assets, accruals for potential liabilities, and valuation assumptions related to derivative liabilities, equity instruments and share based payments.

Revenue Recognition

Revenue is recognized when persuasive evidence of an arrangement exists, delivery has occurred, the fee is fixed or determinable, and collectability is probable. Revenue generally is recognized net of allowances for returns and any taxes collected from customers and subsequently remitted to governmental authorities.

Revenue from the sale of unique secure credential products and solutions to customers is recorded at the completion of the project unless the solution includes benefits to the end user in which additional resources or services are required to be provided.

Revenue from cloud-based services arrangements that allow for the use of a hosted software product or service that are provided on a consumption basis (for example, the number of transactions processed over a period of time) is recognized commensurate with the customer utilization of such resources. Generally, the contract calls for a minimum number of transactions to be charged by the Company on a monthly basis. Accordingly, the Company records the minimum transactional fee based on the passage of a month’s time as revenues. Amounts in excess of the monthly minimum, are charged to customers based on the actual number of transactions.

Consulting services revenue is recognized as services are rendered, generally based on the negotiated hourly rate in the consulting arrangement and the number of hours worked during the period. Consulting revenue for fixed-price services arrangements is recognized as services are provided.

The lease of equipment to customers that meet certain criteria are recognized as a direct financing lease. Direct financing lease arrangements are recognized as revenue over the term of the associated lease based on the effective interest method. As of December 31, 2017, the Company has 78 kiosks financed under direct financing leases. The revenue associated with these arrangements is expected to be recognized through April 2026. The imputed interest rate in the arrangements approximates 10.7%.

Accounts Receivable

All customers are granted credit on a short-term basis and related credit risks are considered minimal. The Company routinely reviews its trade receivables and makes provisions for probable doubtful accounts; however, those provisions are estimates and actual results could differ from those estimates and those differences may be material. Trade receivables are deemed uncollectible and removed from accounts receivable and the allowance for doubtful accounts when collection efforts have been exhausted. At December 31, 2017 and 2016, no allowance for doubtful accounts was recorded.

Inventories

Inventories of kiosks held by IDGS S.A.S are stated at the lower of cost (using the first-in, first-out method) or net realizable value. The kiosks provide electronic ticketing for transit systems. Inventory of plastic/ID cards, digital printing material, which are held by Cards Plus Pty Ltd., are at the lower of cost (using the average method) or market. The Plastic/ID cards and digital printing material are used to provide plastic loyal ID and other types of cards. Inventories at December 31, 2017 consist of cards inventory and kiosks that have not been placed into service and inventories at December 31, 2016 consist solely of cards inventory. Any adjustments to reduce the cost of inventories to their net realizable value are recognized in earnings in the current period. As of December 31, 2017, the Company recorded an inventory valuation allowance of approximately $353,000 to reflect net realizable value of kiosks are being held for sale and no valuation allowance was necessary regarding the cards inventory. As of December 31, 2016, the Company did not believe an inventory valuation allowance was necessary to record inventory to net realizable value.

Concentration of Credit Risk

The Company’s financial instruments that potentially expose the Company to a concentration of credit risk consist of cash and accounts receivable. The Company’s cash is deposited at financial institutions and cash balances held in United States (“US”) bank accounts are insured by the Federal Deposit Insurance Corporation (“FDIC”) up to $250,000. At various times during the year, the Company may have exceeded amounts insured by the FDIC. At December 31, 2017, the Company held approximately $3,856,1000 in cash not insured by the FDIC. For the Company’s foreign subsidiaries, no amounts are insured. At December 31, 2017, the Company held approximately $124,000 and $173,000 in cash maintained in Colombian and African Banks, respectively.

2017 Revenues and accounts receivable: For the year ended December 31, 2017, 22% of consolidated revenues were derived from one customer who is a US customer and is substantially all of the US based income. Additionally, for the year ended December 31, 2017, 60% and 17% of the consolidated revenues were from Cards Plus (Africa) and the Colombian operations, respectively. Revenue for approximately 97% of the Colombian operations were derived from three customers. As of December 31, 2017, accounts receivable related to Cards Plus (Africa) was 84% of the total and 16% of the total was from the Colombia operations.

2016 Revenues and accounts receivable: For the year ended December 31, 2016, 23% of consolidated revenues were derived from one customer who is a US customer and is substantially all of the US based income. Additionally, for the year ended December 31, 2016, 59% and 18% of the consolidated revenues were from Cards Plus (Africa) and the Colombian operations, respectively. Revenue for approximately 68% of the Colombian operations were derived from three customers. As of December 31, 2016, accounts receivable related to Cards Plus (Africa) was 64% of the total and 36% of the total was from the Colombia operations.

Income Taxes

The Company accounts for income taxes under Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 740 “Income Taxes.” Under the asset and liability method of FASB ASC 740, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Under FASB ASC 740, the effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period the enactment occurs. A valuation allowance is provided for certain deferred tax assets if it is more likely than not that the Company will not realize tax assets through future operations.

Leases

All leases are classified at the inception as direct finance leases or operating leases based on whether the lease transfers substantially all the risks and rewards of ownership. Leases that transfer to the leasee substantially all of the risks and rewards incidental to ownership of the asset are classified as direct finance leases.

Property and Equipment, net

Property and equipment consist of furniture and fixtures and computer equipment, and are stated at cost. Property and equipment are depreciated using the straight-line method over the estimated useful service lives of three to five years. Maintenance and repairs are expensed as incurred and improvements are capitalized. Gains or losses on the disposition of property and equipment are recorded upon disposal.

Other Assets - Software Development Costs

Other assets consist primarily of costs associated with software development of new product offerings and enhancements to existing and new applications. Development costs of computer software to be sold, leased or otherwise marketed are subject to capitalization beginning when a product’s technological feasibility has been established and ending when a product is available for general release to customers. As of December 31, 2017 and 2016, the balance sheet assets were under development and have not been placed in service. Upon completion, the amounts will be recorded in the appropriate asset category and amortized over their estimated useful lives.

Intangible Assets

Excluding goodwill, acquired intangible assets and internally developed software are amortized over their estimated useful lives. Acquired amortizing intangible assets are carried at cost, less accumulated amortization. Internally developed software costs are capitalized upon reaching technological feasibility. Amortization of acquired finite-lived intangible assets is computed over the estimated useful lives of the respective assets.

Goodwill

Goodwill is recorded when the purchase price paid for an acquisition exceeds the fair value of net identified tangible and intangible assets acquired. The Company performs an annual impairment test of goodwill and further periodic tests to the extent indicators of impairment develop between annual impairment tests. The Company’s impairment review process compares the fair value of the reporting unit to its carrying value, including the goodwill related to the reporting unit. To determine the fair value of the reporting unit, the Company may use various approaches including an asset or cost approach, market approach or income approach or any combination thereof. These approaches may require the Company to make certain estimates and assumptions including future cash flows, revenue and expenses. These estimates and assumptions are reviewed each time the Company tests goodwill for impairment and are typically developed as part of the Company’s routine business planning and forecasting process. While the Company believes its estimates and assumptions are reasonable, variations from those estimates could produce materially different results. The Company did not recognize any goodwill impairments for the years ended December 31, 2017 and 2016.

Stock-based compensation

The Company has accounted for stock-based compensation under the provisions of FASB ASC 718 – “Stock Compensation” which requires the use of the fair-value based method to determine compensation for all arrangements under which employees and others receive shares of stock or equity instruments (stock options and common stock purchase warrants). For employee awards, the fair value of each stock option award is estimated on the date of grant using the Black-Scholes valuation model that uses assumptions for expected volatility, expected dividends, expected term, and the risk-free interest rate. For non-employees, the fair value of each stock option award is estimated on the measurement date using the Black-Scholes valuation model that uses assumptions for expected volatility, expected dividends, expected term, and the risk-free interest rate. For non-employees, the Company utilizes the graded vesting attribution method under which the entity treats each separately vesting portion (tranche) as a separate award and recognizes compensation cost for each tranche over its separate vesting schedule. Expected volatilities are based on historical volatility of peer companies and other factors estimated over the expected term of the stock options. For employee awards, the expected term of options granted is derived using the “simplified method” which computes expected term as the average of the sum of the vesting term plus the contract term. The risk-free rate is based on the U.S. Treasury yield curve in effect at the time of grant for the period of the expected term.

Impairment of Long-Lived Assets

Long-lived assets, including intangible assets, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to estimated undiscounted future cash flows expected to be generated by the asset.

If the carrying amount of an asset exceeds its undiscounted estimated future cash flows, an impairment review is performed. An impairment charge is recognized in the amount by which the carrying amount of the asset exceeds the fair value of the asset. Generally, fair value is determined using valuation techniques such as expected discounted cash flows or appraisals, as appropriate. Assets to be disposed of would be separately presented in the balance sheet and reported at the lower of the carrying amount or fair value less costs to sell, and are no longer depreciated or amortized. The assets and liabilities of a disposed group classified as held for sale would be presented separately in the appropriate asset and liability sections of the balance sheet. During the years ended December 31, 2017 and 2016, the Company wrote-off net assets of approximately $216,000 and $225,000, respectively as the assets were no longer being utilized or developed for commercial purposes and we do not anticipate any realizable value.

Research and Development Costs

Research and development costs consist of expenditures for the research and development of new products and technology. These costs are primarily expenses to incurred to perform research projects and develop technology for the Company’s products. Research and development costs are expensed as incurred.

Net Loss per Common Share

The Company computes net loss per share in accordance with FASB ASC 260, “Earnings per Share”. ASC 260 requires presentation of both basic and diluted earnings per share (“EPS”) on the face of the statement of operations. Basic EPS is computed by dividing net loss available to common shareholders by the weighted average number of common shares outstanding during the period. Diluted EPS gives effect to all dilutive potential common shares outstanding during the period including stock options, using the treasury stock method, and convertible notes and stock warrants, using the if-converted method. In computing diluted EPS, the average stock price for the period is used in determining the number of shares assumed to be purchased from the exercise of stock options, warrants and conversion of convertible notes. Diluted EPS excludes all dilutive potential common shares if their effect is anti-dilutive. The following potentially dilutive securities were excluded from the calculation of diluted loss per share for the years ended December 31, 2017 and 2016 because their effect was antidilutive:

Security	2017		2016
Stock Options		103,208,331		86,925,000
Warrants		48,164,543		51,138,697
Convertible Debt		—		53,143,343

Total		151,372,874		191,207,040

Derivative Instruments

The Company accounts for derivatives through the use of a fair value concept whereby all of the Company’s derivative positions are stated at fair value in the accompanying consolidated balance sheets. Due to the potential adjustment in the conversion price associated with certain of the convertible debentures and the potential adjustment in the exercise price of certain of the warrants, the Company determined that certain of the conversion features and warrants are considered derivative liabilities required to be presented at fair value on the accompanying consolidated balance sheet at December 31, 2016 with changes in fair value reported in the consolidated statements of operations. As of December 31, 2017, the Company does not have any instruments that are considered derivative instruments.

Common Stock Purchase Warrants

The Company accounts for common stock purchase warrants in accordance with ASC Topic 815- 40, “Derivatives and Hedging – Contracts in Entity’s Own Equity” (“ASC 815-40”). Based on the provisions of ASC 815- 40, the Company classifies as equity any contracts that (i) require physical settlement or net-share settlement, or (ii) gives the Company a choice of net-cash settlement or settlement in its own shares (physical settlement or net-share settlement). The Company classifies as assets or liabilities any contracts that (i) require net-cash settlement including a requirement to net cash settle the contract if an event occurs and if that event is outside the control of the Company), or (ii) give the counterparty a choice of net-cash settlement or settlement in shares (physical settlement or net-share settlement). On January 31, 2017, the Company entered into agreements with the holders of warrants containing down-round features, resulting in the removal of down-round provisions contained in the warrants. Accordingly, as of December 31, 2017, the Company had no common stock warrants requiring liability presentation.

Business Combinations

The Company recognizes, with certain exceptions, 100% of the fair value of assets acquired, liabilities assumed, and noncontrolling interests when the acquisition constitutes a change in control of the acquired entity. Shares issued in consideration for a business combination, contingent consideration arrangements and pre-acquisition loss and gain contingencies are all measured and recorded at their acquisition-date fair value. Subsequent changes to fair value of contingent consideration arrangements are generally reflected in earnings. Any in-process research and development assets acquired are capitalized as of the acquisition date. Acquisition-related transaction costs are expensed as incurred. The operating results of entities acquired are included in the accompanying consolidated statements of operations from the date of acquisition.

Foreign Currency Translation

The assets, liabilities and results of operations of certain of Ipsidy’s subsidiaries are measured using their functional currency which is the currency of the primary foreign economic environment in which they operate. Upon consolidating these subsidiaries with Ipsidy, the applicable assets and liabilities are translated to US dollars at currency exchange rates as of the applicable dates and their revenues and expenses are translated at the weighted average currency exchange rates during the applicable reporting periods. Translation adjustments resulting from the process of translating these subsidiaries’ financial statements are reported in other comprehensive income (loss) in the accompanying consolidated statements of comprehensive income (loss).

Fair Value Measurements

ASC 820, “Fair Value Measurements”, requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. ASC 820 establishes a fair value hierarchy based on the level of independent, objective evidence surrounding the inputs used to measure fair value. A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. ASC 820 prioritizes the inputs into three levels that may be used to measure fair value: Level 1, defined as observable inputs such as quoted prices in active markets for identical assets or liabilities; Level 2, inputs other than level one that are either directly or indirectly observable such as quoted prices for identical or similar assets or liabilities on markets that are not active; and Level 3, defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions. The Company had derivative liabilities required to be recorded at fair value on a recurring basis at December 31, 2016. As of December 31, 2017, the Company has no financial instruments presented as fair value. See Notes 9 and 15.

Fair Value of Financial Instruments

The Company is required to disclose fair value information about financial instruments when it is practicable to estimate that value. The carrying amounts of the Company’s cash, accounts receivable, other receivables, accounts payable, accrued expenses, and other current liabilities approximate their estimated fair value due to the short-term maturities of these financial instruments and because related interest rates offered to the Company approximate current rates. The fair value of the Company’s notes payable is $3,000,000, which differs from the carrying value or reported amounts of $2,375,720 at December 31, 2017 because of the debt discounts as discussed in Note 6.

Recent Accounting Pronouncements

In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers. The standard’s core principle is that a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. This standard also includes expanded disclosure requirements that result in an entity providing users of financial statements with comprehensive information about the nature, amount, timing, and uncertainty of revenue and cash flows arising from the entity’s contracts with customers. This standard will be effective for the calendar year ending December 31, 2018. The Company has reviewed its revenue streams for the current reporting periods and has determined the impact for the new revenue standard (Topic 606) is insignificant.

The Company anticipates that with the evolution of its revenue and operations in 2018, the new revenue standard application will require additional disclosure and reporting. Although the new revenue standard is comprehensive, considerations of new contractual arrangements in 2018 will be reviewed on a contract by contract basis as our software (intellectual property) could be a right to use or access, include multiple elements, and certain costs could be capitalized if they meet the criteria of incremental costs of obtaining or fulfilling a contract, etc.

In January 2017, the FASB issued Accounting Standards Update 2017-01, “Business Combinations: Clarifying the Definition of a Business” (ASU 2017-01). The standard clarifies the definition of a business and adds guidance to assist entities when evaluating whether transactions should be accounted for as acquisitions or disposals of assets or as businesses. The standard provides a screen to determine whether a set of assets and activities qualifies as a business or as a set of assets. ASU 2017-01 is effective for the calendar year ending December 31, 2018. The amendments require a prospective approach to adoption, and early adoption is only permitted for specific transactions. The Company is currently evaluating the impact of this standard.

In February 2016, the FASB issued ASU 2017-02, Leases. The standard requires all leases with lease terms over 12 months to be capitalized as a right-of-use asset and lease liability on the balance sheet at the date of lease commencement. Leases will be classified as either finance or operating. This distinction will be relevant for the pattern of expense recognition in the income statement. This standard will be effective for the calendar year ending December 31, 2019. The Company is currently in the process of evaluating the impact of adoption of this ASU on the financial statements.

In January 2017, the FASB issued Accounting Standards Update 2017-04, “Intangibles-Goodwill and Other: Simplifying the Test for Goodwill Impairment” (ASU 2017-04). The standard simplifies the subsequent measurement of goodwill by eliminating Step 2 from the goodwill impairment test. Under the amendments of ASU 2017-04, an entity should perform its goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An entity will recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value, but the loss cannot exceed the total amount of goodwill allocated to the reporting unit. ASU 2017-04 is effective for the calendar year ending December 31, 2020. The amendments require a prospective approach to adoption and early adoption is permitted for interim or annual goodwill impairment tests. The Company is currently evaluating the impact of this standard.

In June 2016, the FASB issued ASU 2017-13, Financial Instruments-Credit Losses. The standard requires a financial asset (including trade receivables) measured at amortized cost basis to be presented at the net amount expected to be collected. Thus, the income statement will reflect the measurement of credit losses for newly-recognized financial assets as well as the expected increases or decreases of expected credit losses that have taken place during the period. This standard will be effective for the calendar year ending December 31, 2020. The Company is currently in the process of evaluating the impact of adoption of this ASU on the financial statements.

In August 2016, the FASB issued Accounting Standards Updated 2016-15, “Statement of Cash Flows - Classification of Certain Cash Receipts and Cash Payments” (ASU 2016-15). The standard addresses eight specific cash flow issues to reduce diversity in practice in how certain cash receipts and cash payments are presented on the Statements of Cash Flows. ASU 2016-15 is effective for the calendar year ending December 31, 2018. The amendments require a retrospective approach to adoption and early adoption is permitted, including in an interim period. The Company does not believe it will have a material impact.

ACQUISITIONS

12 Months Ended

Dec. 31, 2017

Business Combinations [Abstract]

ACQUISITIONS

NOTE 2 –ACQUISITIONS

FIN Holdings, Inc.

On February 8 2016, the Company entered into a Share Exchange Agreement with Fin Holdings, Inc., a Florida corporation (“FIN”), and all of the FIN shareholders (the “FIN Shareholders”), pursuant to which the Company acquired 100% of the issued and outstanding shares of FIN (the “FIN Shares”) which included FIN’s two wholly-owned subsidiaries, ID Solutions, Inc. and Cards Plus Pty Ltd. (collectively, the “Subsidiaries”), from the FIN Shareholders. One of the FIN shareholders was the Company’s Chief Operating Officer and owned then approximately 1.7% of the Company’s outstanding common stock at the time of the acquisition. In consideration for the FIN Shares, the Company issued to the FIN Shareholders an aggregate of 22,500,000 shares of common stock of the Company (the “Purchase Shares”) with a fair value of $0.40 per share or $9,000,000. The closing occurred on February 8, 2016.

In accordance with ASC 805, “Business Combinations”, the Company accounted for the acquisition of FIN using the acquisition method of accounting. The purchase price was allocated to specific identifiable tangible and intangible assets at their respective fair values at the date of acquisition.

The following table summarizes the total fair value of the consideration transferred as well as the fair values of the assets and liabilities assumed.

Common stock consideration	$	9,000,000
Liabilities assumed		914,218
Total purchase consideration		9,914,218
Current assets		(843,317	)
Property and equipment		(100,339	)
Customer relationships		(1,587,159	)
Intellectual property		(814,049	)
Goodwill	$	6,569,354

Goodwill is calculated as the excess of the consideration transferred over the net assets recognized and represents the expected revenue and benefits of the combined company. FIN was acquired on February 8, 2016 pursuant to a Share Exchange Agreement at which time control was achieved through a restructuring of the reporting hierarchy to Ipsidy management.

The consolidated financial statements for the year ended December 31, 2016 include FIN’s results for the period from the date of acquisition to December 31, 2016. Revenue for the years ended December 31, 2017 and 2016, included in the results of operations was approximately $1,909,000 and $1,583,000, respectively, and net operating profit of approximately $320,000 and $242,000, respectively.

The following unaudited proforma financial information gives effect to the Company’s acquisition of FIN as if the acquisition had occurred on January 1, 2016 and had been included in the Company’s consolidated statement of operations for the year ended 2016.

Proforma net revenue		$	2,051,494
Proforma net loss			(9,858,944	)

The activity for goodwill for the years ending December 31, 2017 and 2016 is as follows:

Balance, January 1, 2016	$	166,689
Acquisition of FIN Holdings		6,569,354
Balance, December 31, 2016	$	6,736,043
Balance, December 31, 2017	$	6,736,043

PROPERTY AND EQUIPMENT, NET

12 Months Ended

Dec. 31, 2017

Property, Plant and Equipment [Abstract]

PROPERTY AND EQUIPMENT, NET

NOTE 3 – PROPERTY AND EQUIPMENT, NET

Property and equipment consisted of the following as of December 31, 2017 and December 31, 2016:

	2017		2016

Property and equipment	$	179,351	$	302,128
Equipment under capital lease (see Note 12)		156,867		—

		336,218		302,128
Less Accumulated depreciation		126,499		186,446
Property and equipment, net	$	209,719	$	115,682

Depreciation expense totaled $82,616 and $38,843 for the years ended December 31, 2017 and 2016, respectively.

OTHER ASSETS

12 Months Ended

Dec. 31, 2017

Other Assets [Abstract]

OTHER ASSETS

NOTE 4 – OTHER ASSETS

The Company’s other assets consist of software being developed for new product offerings that have not been placed into service. Other assets consisted of the following at December 31, 2017 and December 31, 2016:

	2017		2016
Software and development	$	1,139,409	$	358,343
Other		104,122		—
	$	1,243,531	$	358,343

INTANGIBLE ASSETS, NET (OTHER THAN GOODWILL)

12 Months Ended

Dec. 31, 2017

Goodwill and Intangible Assets Disclosure [Abstract]

INTANGIBLE ASSETS, NET (OTHER THAN GOODWILL)

NOTE 5 – INTANGIBLE ASSETS, NET (OTHER THAN GOODWILL)

The Company’s intangible assets consist of intellectual property acquired from Multi-Pay and FIN and are amortized over their estimated useful lives as indicated below. The following is a summary of activity related to intangible assets for the years ended December 31, 2017 and 2016:

Useful Lives	Customer Relationships 10 Years			Intellectual Property 10 Years			Non-Compete 5 Years			Patents Pending		Total
Carrying Value at December 31, 2015	$	—			1,423,504			13,030			—		1,436,534
Additions		1,587,159			814,049			—			19,200		2,420,408
Amortization		(140,993	)		(236,695	)		(4,963	)		—		(382,651	)
Carrying Value at December 31, 2016		1,446,166		$	2,000,858		$	8,067		$	19,200	$	3,474,291
Additions		—			—			—			9,246		9,246
Write off of assets		—			(212,862	)		—			—		(212,862	)
Amortization		(158,716	)		(231,062	)		(2,817	)		—		(392,595	)
Carrying Value at December 31, 2017	$	1,287,450		$	1,556,934		$	5,250		$	28,446	$	2,878,080

The following is a summary of intangible assets as of December 31, 2016:

Useful Lives	Customer Relationships			Intellectual Property			Non-Compete			Patents Pending		Total
Cost	$	1,587,159		$	2,444,646		$	14,087		$	19,200	$	4,065,092
Accumulated amortization		(140,993	)		(443,788	)		(6,020	)		—		(590,801	)
Carrying Value at December 31, 2016	$	1,446,166		$	2,000,858		$	8,067		$	19,200	$	3,474,291

The following is a summary of intangible assets as of December 31, 2017:

Useful Lives	Customer Relationships			Intellectual Property			Non-Compete			Patents Pending		Total
Cost	$	1,587,159		$	2,146,561		$	14,087		$	28,446	$	3,776,253
Accumulated amortization		(299,709	)		(589,627	)		(8,837	)		—		(898,173	)
Carrying Value at December 31, 2017	$	1,287,450		$	1,556,934		$	5,250		$	28,446	$	2,878,080

Future expected amortization of intangible assets is as follows:

Year Ending December 31,
2018	$	373,638
2019		373,252
2020		366,313
2021		364,498
2022		355,008
Thereafter		1,045,371
	$	2,878,080

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

+ References + Details

ACCOUNTS PAYABLE AND ACCRUED EXPENSES

12 Months Ended

Dec. 31, 2017

Payables and Accruals [Abstract]

ACCOUNTS PAYABLE AND ACCRUED EXPENSES

NOTE 6 – ACCOUNTS PAYABLE AND ACCRUED EXPENSES

Accounts payable and accrued expenses consisted of the following as of December 31, 2017 and December 31, 2016:

	2017		2016
Trade payables	$	232,842	$	341,002
Accrued interest		275,000		600,624
Accrued payroll and related		468,012		421,771
Other		471,331		324,503
Total	$	1,447,185	$	1,687,900

NOTES PAYABLE, NET

12 Months Ended

Dec. 31, 2017

Debt Disclosure [Abstract]

NOTES PAYABLE, Net

NOTE 7 - NOTES PAYABLE, NET

On January 31, 2017, the Company entered into Conversion Agreements with several accredited investors (the “Investors”) pursuant to which substantially all Investors agreed to convert all amounts of notes payable and convertible notes payable due and payable to such persons including interest under the terms of their respective financing or loan agreement as of January 31, 2017 into shares of Company common stock at $0.10 per share. Certain Investors that had a conversion price less than $0.10 converted at such applicable conversion price. The Conversion Agreements resulted in the conversion of notes and convertible notes amounting to approximately $6,331,000 into 84,822,006 shares of Company common stock with a fair value of approximately $21,610,000. The Investors also agreed to waive any existing rights with respect to certain anti-dilution rights contained in their Stock Purchase Warrants. The Company agreed to reduce the exercise of all outstanding Stock Purchase Warrants acquired as part of a financing or loan that had an exercise price in excess of $0.10 per share to $0.10 per share.

As a result of the above agreements associated with the conversion Agreements, the Company recorded a loss on the conversion of debt of approximately $6.0 million (including the effect of the elimination of related conversion feature derivative liabilities – see Note 7), a loss on the modification of warrants of approximately $0.2 million, and a loss on the modification of the derivatives of approximately $0.3 million.

On February 22, 2017, the Company entered into an Agreement and Release the (“February 22, 2017 Agreement”) with a holder of certain debentures that represented final and full payment of all amounts owed under these debentures which included debt with a face value of $300,000, accrued interest of approximately $31,000, cancellation of 3,600,000 warrants previously accounted for as derivative liabilities as well as certain pledged shares (2,500,000 shares) in exchange for $300,000 in cash which was paid in May 2017. As a result of the February 22, 2017 Agreement, the Company recorded a gain on the extinguishment of notes payable of approximately $2.8 million.

See notes 8 and 9.

The following is a summary of notes payable as of December 31, 2017 and December 31, 2016:

	2017		2016
In connection with the acquisition of MultiPay in 2016, the Company assumed three promissory notes. Payments of $6,300 including principal and interest are due monthly. The interest rate at December 31, 2017 is 15.47% per annum. Total outstanding principal and interest was repaid in September 16, 2017.	$	—	$	46,210

In November 2016, the Company issued a 12% promissory note due in January 2017 to an officer and principal stockholder in the amount of $13,609. The noteholder also received 20,414 shares of the Company’s common stock with a fair value of $2,041. This amount was repaid in April 2017.		—		13,609

The below section of notes payable were all converted to common stock at $0.10 per share, in connection with the January 2017, conversion agreements described above except for the January 2017 Senior Unsecured Note that remains outstanding at December 31, 2017.

In September 2015, the Company issued 12% notes totaling $973,000. The notes are secured by the assets of the Company, matured in September 2017, and accrued interest is convertible into common stock of the Company at a rate of $0.10 per share. In connection with the issuance of these notes, the Company also issued warrants for the purchase of 6,486,667 shares of the Company’s common stock at an exercise price of $0.15 per share for a period of five years. The Company also incurred debt issuance costs of $77,840, which are presented as a discount against the notes and amortized into interest expense over the term of the notes.		—		963,000

In October 2015, the Company issued 12% notes in the amount of $225,000. The notes are secured by the assets of the Company, matured in October 2017, and accrued interest is convertible into common stock of the Company at a rate of $0.10 per share. In connection with the issuance of these notes, the Company also issued warrants for the purchase of 1,500,000 shares of the Company’s common stock at an exercise price of $0.15 per share for a period of five years. The Company also incurred debt issuance costs of $36,400, which are presented as a discount against the notes and amortized into interest expense over the term of the notes.		—		225,000

In November 2015, the Company issued a 12% note in the amount of $25,000. The note is secured by the assets of the Company, matured in October 2017, and accrued interest is convertible into common stock of the Company at a rate of $0.10 per share. In connection with the issuance of this note, the Company also issued warrants for the purchase of 166,667 shares of the Company’s common stock at an exercise price of $0.15 per share for a period of five years. The Company also incurred debt issuance costs of $94,400, which are presented as a discount against the note and amortized into interest expense over the term of the note.	—	25,000

In December 2015, the Company issued 12% notes totaling $850,000. The notes are secured by the assets of the Company and matured in December 2017. Any unpaid accrued interest on the note is convertible into common stock of the Company at a rate of $0.48 per share. In connection with the issuance of these notes, the Company also issued warrants for the purchase of 1,770,834 shares of the Company’s common stock at an exercise price of $0.48 per share for a period of five years. The conversion rate on the accrued interest and the warrants provide the holders with anti-dilution protection that requires these features to be bifurcated and presented as derivative liabilities. See Note 8. The Company also incurred debt issuance costs of $165,300 which are presented as a discount against the notes and amortized into interest expense over the term of the notes.	—	850,000

In January 2016, the Company issued 12% notes totaling of $100,000. These notes are secured by the assets of the Company, matured in January 2017, and accrued interest is convertible into common stock of the Company at a rate of $0.48 per share. In connection with the issuance of these notes, the Company also issued warrants for the purchase of 208,332 shares of the Company’s common stock at an exercise price of $0.48 per share for a period of five years. The conversion rate on the accrued interest and the warrants provide the holders with anti-dilution protection that requires these features to be bifurcated and presented as derivative liabilities. See Note 8.		—			100,000

In December 2016, the Company issued promissory notes with an aggregate face value of $1,275,000 which are payable one year from the date of issuance and bear interest of 10% per annum for the initial six months of the term of the Notes and 15% per annum for the remaining six months of the term of the Notes. The note holders also received 1,912,500 shares of common stock, with a fair value of $191,250. The Company allocated the proceeds to the notes and common stock based on their relative fair values, resulting in a discount against the notes for the common stock of $166,304, which will be amortized into expense over the one-year term of the notes. In connection with the issuance of the notes and common stock, the Company also incurred debt issuance costs of $212,427 of which $184,719 was recorded as debt issuance cost against the notes to be amortized over the term of the notes.		—			1,275,000

In January 2017, the Company issued a Senior Unsecured Note with a face value of $3,000,000, payable two years from issuance, along with aggregate of 4,500,000 shares of Common Stock, with a fair value of $1,170,000. The loan is due to a Board Member upon his election in September 2017. The Company allocated the proceeds to common stock based upon the fair value and recorded a discount of $841,727 to be amortized into interest expense over the two-year term of the note. The Company also paid issuance costs consisting of a cash fee of $120,000 and 1,020,000 shares of common stock of the Company with a fair value of $312,000, and a total of $310,790 was recorded as debt issuance costs to be amortized into interest expense over the two-year term of the note.		3,000,000			—
Total Principal Outstanding	$	3,000,000		$	3,497,819
Less Current Maturities		—			(109,819	)
		3,000,000			3,388,000
Unamortized Deferred Discounts		(455,935	)		(159,375	)
Unamortized Debt Issuance Costs		(168,345	)		(177,072	)
Notes Payable, net of current maturities	$	2,375,720		$	3,051,603

The following is a roll-forward of the Company’s notes payable and related discounts for the years ended December 31, 2017 and 2016:

	Principal Balance			Debt Issuance Costs			Debt Discounts			Total
Balance at December 31, 2015	$	2,196,669			(368,653	)		(1,193,947	)		634,069
New issuances		1,388,609			(260,719	)		(233,134	)		894,756
Payments		(87,459	)		—			—			(87,459	)
Amortization		—			452,350			1,267,706			1,720,056
Balance at December 31, 2016		3,497,819			(177,022	)		(159,375	)		3,161,422
New issuances		3,000,000			(310,790	)		(841,727	)		1,847,483
Payments/Conversions		(3,497,819	)		—			—			(3,497,819	)
Amortization		—			319,467			545,167			864,634
Balance at December 31, 2017	$	3,000,000		$	(168,345	)	$	(455,935	)	$	2,375,720

Future maturities of notes payable are as follows for the calendar years 2018 and 2019:

2018	$	—
2019		3,000,000
	$	3,000,000

CONVERTIBLE NOTES PAYABLE, NET

12 Months Ended

Dec. 31, 2017

Debt Disclosure [Abstract]

CONVERTIBLE NOTES PAYABLE, NET

NOTE 8. CONVERTIBLE NOTES PAYABLE, NET

See Note 6 for transactions associated with the reduction in convertible notes payable on January 31, 2017.

Convertible notes consisted of the following as of December 31, 2017 and December 31, 2016:

	2017		2016
The below section of convertible notes payable were all converted to common stock at $0.10 per share in connection with the January 2017 conversion agreements described in Note 6.

In June 2015, the Company issued 10% convertible notes with in the aggregate principal amount of $700,000. The notes are secured by the assets of the Company, matured in June 2017, and are convertible into common stock of the Company at a conversion rate of $0.03 per share, subject to adjustment. In connection with the issuance of these notes, the Company also issued warrants for the purchase of 15,400,000 shares of the Company’s common stock at an exercise price of $0.05 per share for a period of five years. The conversion rate on the notes and exercise price of the warrants were subject to adjustment for anti-dilution protection that requires these features to be bifurcated and presented as derivative liabilities. See Note 8. The Company also incurred debt issuance costs of $124,000, which are presented as a discount against the note and amortized into interest expense over the term of the notes. During the years ended December 31, 2016, a holder of a note elected to convert principal and accrued interest totaling $21,222 into 704,074 shares of common stock.	$	—	$	680,000

In July 2015, the Company issued 10% convertible notes with in the aggregate principal amount of $190,000. The notes are secured by the assets of the Company, matured in July 2017, and are convertible into common stock of the Company at a conversion rate of $0.03 per share, subject to adjustment. In connection with the issuance of these notes, the Company also issued warrants for the purchase of 4,180,000 shares of the Company’s common stock at an exercise price of $0.05 per share for a period of five years. The conversion rate on the notes and exercise price of the warrants are subject to adjustment for anti-dilution protection that requires these features to be bifurcated and presented as derivative liabilities. See Note 6. The Company also incurred debt issuance costs of $16,200, which are presented as a discount against the note and amortized into interest expense over the term of the notes.		—		166,000

In February 2016, the Company re-issued a 12% convertible note in the amount of $172,095. The note is secured by the assets of the Company, matured in September 2017, and is convertible into common stock of the Company at a rate of $0.10 per share. In connection with the issuance of this note, the Company issued warrants for the purchase of 1,146,667 shares of the Company’s common stock at an exercise price of $0.15 per share for a period of five years.

—

172,095

In April 2016, the Company issued 12% convertible notes in the amount of $1,550,000. The notes are secured by the assets of the Company, mature in October 2017, and are convertible into common stock of the Company at a rate of $0.25 per share. In connection with the issuance of these notes, the Company also issued 1,033,337 shares of common stock and warrants for the purchase of 6,200,000 shares of the Company’s common stock at an exercise price of $0.25 per share for a period of five years. The conversion rate on the notes and exercise price of the warrants are subject to adjustment for anti-dilution protection that requires these features to be bifurcated and presented as derivative liabilities at their fair values. The Company also incurred debt issuance costs of $226,400, which are presented as a discount against the note and amortized into interest expense over the term of the notes. In August 2017, the Company entered into an agreement with the April 2017 Accredited Investors to reduce the exercise price on the embedded conversion features and warrants to $0.10 and increase the number of warrants to 15,500,000. The August 2017 change in terms of these Convertible Notes has been determined to be a loan extinguishment in accordance with ASC 470 Debt. The reported amounts under a loan extinguishment are not significantly different than that of the Company’s reported amounts.		—		1,550,000

Total Principal Outstanding	$	—	$	2,568,095
Less Current Maturities		—		(250,000	)
		—		2,318,095
Unamortized Deferred Discounts		—		(6,466	)
Unamortized Debt Issuance Costs		—		(66,033	)
Notes Payable, Net	$	—	$	2,245,596

The following is a roll-forward of the Company’s convertible notes and related discounts for the years ended December 31, 2017 and 2016:

		Principal Balance			Discounts Issuance Costs			Debt Discounts			Total
Balance at December 31, 2015	$	1,038,095		$	(71,700	)	$	(583,049	)	$	383,346
New issuances		1,550,000			(226,400	)		(636,373	)		(687,227	)
Conversions		(20,000	)		—			—			(20,000	)
Amortization		—			232,067			1,212,956			1,445,023
Balance at December 31, 2016		2,568,095			(66,033	)		(6,466	)		2,495,596

Conversions		(2,568,095	)		—			—			(2,568,095	)
Amortization		—			66,033			6,466			72,499
Balance at December 31, 2017	$	—		$	—		$	—		$	—

DERIVATIVE LIABILITY

12 Months Ended

Dec. 31, 2017

Derivative Instruments and Hedging Activities Disclosure [Abstract]

DERIVATIVE LIABILITY

NOTE 9 –DERIVATIVE LIABILITY

Due to the potential adjustment in the conversion price associated with certain of the convertible debentures and the potential adjustment in the exercise price of certain of the warrants, the Company had determined that certain conversion features and warrants are derivative liabilities.

As described in Note 6 above, the Company on January 31, 2017 entered into Conversion Agreements with Investors pursuant to which each Investor agreed to convert all amounts of debt accrued and payable to such persons including interest under the terms of their respective financing or loan agreement into shares of Company common stock at $0.10 per share. Certain Investors that had a conversion price less than $0.10 converted at such applicable conversion price. The investors at the time of conversion also agreed to waive any existing rights with respect to certain price protection and anti-dilution rights contained in their Stock Purchase Warrants.

Additionally, on February 22, 2017, the Company entered into an Agreement and Release with a holder of certain debentures that represented final and full payment of all amounts owed under such debentures which included debt with a face value of $300,000, accrued interest of approximately $31,000, cancellation of 3,600,000 warrants (previously accounted for as derivative liabilities) as well as certain pledged shares (2,500,000 shares) in exchange for $300,000 in cash. These debentures also had potential price adjustments on these debentures that have also been eliminated.

Therefore, as a result of the conversion and repayment of the outstanding indebtedness and related accrued interest as well as the elimination of anti-dilution rights of Stock Purchase Warrants, the Company no longer holds liabilities with derivatives requiring fair value as of December 31, 2017.

The fair values of the embedded conversion features and the warrants are estimated and recorded as derivative liabilities on the date of issuance, offset by a discount on the related convertible note payable up to the face amount of the note, with any excess fair value recorded as derivative expense on the date of issuance. The Company’s convertible debt is convertible into common stock at conversion rates that vary based on certain triggering events. Accordingly, the conversion feature is required to be presented at fair value on the dates of issuance, settlement, and at each reporting date. The Company also has warrants to purchase common stock outstanding that provide for adjustments to the exercise prices upon the future dilutive issuances. The Company utilizes Monte Carlo simulations and stochastic forecasting to estimate the fair value of the warrants and conversion options. The ranges of assumptions utilized in estimating the fair value of the warrants and conversion options on the dates of issuance, settlement, and as of and for the years ended December 31, 2017 and 2016, are as follows:

	2017	2016
Expected Volatility	19% to 87%	19% to 87%
Expected Term	0.0 to 5.0 Years	0.0 to 5.0 Years
Risk Free Rate	0.036% to 1.93%	0.036% to 1.93%
Dividend Rate	0.00%	0.00%
Triggering Capital raise probabilities	50% to 75%	50% to 75%

A summary of derivative activity for the years ended December 31, 2017 and 2016 is as follows:


Balance at January 1, 2016	$	25,445,645

New issuances		648,836
Conversion feature reclassified to equity upon conversion of related notes payable.		(692,850	)
Change in fair value		(7,345,000	)
Balance at December 31, 2016	$	18,056,631
Modification of derivatives		319,770
Cancellation of warrants previously accounted for as derivative liabilities and elimination of derivative conversion features resulting from conversion of related party debt to equity		(11,213,573	)
Change in fair value		452,146
Reclassification of derivatives to equity upon removal of price protection in warrants		(7,614,974	)
Balance at December 31, 2017	$	—

As discussed above (Notes 7 and 8) certain notes payable, convertible notes payable and related interest were converted into equity in January 2017. Accordingly, the associated derivative liability related to these notes payable, convertible notes payable and related interest is classified as long-term liabilities at December 31, 2016 in accordance with US GAAP.

RELATED PARTY TRANSACTIONS

12 Months Ended

Dec. 31, 2017

RELATED PARTY TRANSACTIONS

NOTE 10 – RELATED PARTY TRANSACTIONS

2017 transactions

Amount Due Officer and Director

In November 2016, the Company issued a note payable for $13,609 to one of its directors, which was outstanding at December 31, 2016. The note was repaid in April 2017. In November 2016, the director also received 20,414 shares of the Company’s common stock with a fair value of $2,041.

Notes Payable

In January 2017, the Company issued to the Stern Trust a Senior Unsecured Note with a face value of $3,000,000, payable two years from issuance, along with aggregate of 4,500,000 shares of Common Stock, with a fair value of $1,147,500. The loan became a Note due to a one of its Board of Directors upon Mr. Stern’s election in September 2017. During 2017, the Company recorded $275,000 of interest expense under the terms and conditions of the loan.

Convertible Notes Payable

On January 31, 2017, the Company entered into Conversion Agreements with Mr. Selzer, a director of the Company and Vista Associates, a family partnership pursuant to which Mr. Selzer converted $150,000 in debt plus interest into 1,753,500 shares of common stock and $40,000 of debt plus interest into 1,537,778 shares of common stock.

Purchase of Common Stock

In March 2017, Mr. Selzer purchased an additional 500,000 shares of common stock and in December 2017, Mr. Stern purchased an additional 2,000,000 shares of common stock in the capital stock offerings as described in Note 10.

Other

In connection with the Company’s ability to secure third-party financing during the year ended December 31, 2017, the Company paid Network 1 Financial Securities, Inc. (“Network 1”), a registered broker-dealer, cash fees of $710,000, issued Network 1 2,200,000 shares of common stock and provided 1,153,846 common stock purchase warrants for five years at a price of $0.143 cents per share. A member of the Company’s Board of Directors previously maintained a partnership with a key principal of Network 1.

The Company leases it Corporate headquarters from Bridgeworks LLC, (“Bridgeworks”), a company providing office facilities to emerging companies, principally owned by Mr. Beck and his family. Mr. Beck is Chairman, Chief Executive Officer and President of the Company. During 2017, the Company paid Bridgeworks $71,950.

Additionally, as noted above Parity provided consulting services to the Company prior to Phillip Beck becoming an executive officer. During 2017, the Company paid Parity $34,964 for consulting services.

On September 13, 2017, one of its former officers and a former director (Douglas Solomon) of the Company entered into a Confidential Settlement Agreement and General Release (the “Settlement Agreement”) pursuant to which the Offer Letter and Executive Retention Agreement entered between the Company and Mr. Solomon dated January 31, 2017 were terminated effective September 1, 2017 and Mr. Solomon resigned as Executive Director, Government Relations Enterprise Security upon execution of the Settlement Agreement. The Company agreed to pay Mr. Solomon $8,048.13 representing unused 2017 vacation entitlement and pay for one day, reimburse Mr. Solomon for all expenses consistent with the Company’s reimbursement policy and pay Mr. Solomon’s CORBA employee only benefits through September 2018 if Mr. Solomon elected to be included under such coverage. In addition, the Company acknowledged that the 20,000,000 stock options previously granted to Mr. Solomon have vested effective as of September 1, 2017. The parties also provided mutual releases from all claims, demands, actions, causes of action or liabilities. As further consideration for entering into the Settlement Agreement, Mr. Solomon and the Company entered into an Agency Agreement dated September 13, 2017 pursuant to which Mr. Solomon agreed to be engaged as a non-exclusive sales agent for the Company’s products on an as needed basis for a term of three years in consideration of sales commissions including a monthly non-refundable minimum commission to be paid for 24 months. During the quarter ended September 30, 2017, the Company paid Mr. Solomon $13,028 under the terms of such agreement.

2016 Transactions

Acquisition of FIN

As discussed in Note 2, the Company acquired all of the issued and outstanding shares of FIN in February 2016. The Company’s Chief Operating Officer and a 1.7% shareholder in the Company was also a significant shareholder in FIN at the time of the acquisition.

Outstanding Indebtedness

As of December 31, 2016, the Company had an outstanding indebtedness due to a member of the Company’s Board of Directors. Total amounts due to this related party amounted to $190,000 at December 31, 2016.

Other

In connection with the Company’s ability to secure third-party financing, the Company paid Network 1 Financial Securities, Inc. (“Network 1”), a registered broker-dealer, a cash fee and reimbursement of expenses totaling of $364,000 and issued Network 1 4,450,000 shares of common stock of the Company in accordance with its agreement during the year ended December 31, 2017. A member of the Company’s Board of Directors previously maintained a partnership with a key principal of Network 1. The agreement calls for Network 1 to receive an 8% commission of the total amount of proceeds from any financing it secures for the Company in addition to 8% in shares of common stock.

On August 10, 2016, the Company entered into a Letter Agreement (the “Amendment”) with Parity Labs, LLC (“Parity”), a company principally owned by Mr. Beck and his family, to amend the compensation section of that certain Advisory Agreement previously entered into between the Company and Parity on November 16, 2015, for the provision of strategic advisory services, to provide for the issuance to Parity of a common stock option (the “Parity Option”) to acquire 20,000,000 shares of common stock of the Company exercisable at $0.05 per share for a period of ten years. The Parity Option vested in entirety when Mr. Beck became Chief Executive Officer of Ipsidy Inc. on January 31, 2017. The Company’s headquarters are located in Long Beach, New York where the Company currently leases private offices. The facilities are managed by Bridgeworks LLC, (“Bridgeworks”) a company providing office facilities to emerging companies, principally owned by Mr. Beck and his family. The arrangement with Bridgeworks LLC allows the Company to use offices and conference rooms for a fixed, monthly fee $4,500. Since 2014, Mr. Beck has served as managing member of Parity, and since 2016, as Chairman, a Member and co-founder of Bridgeworks.

STOCKHOLDER'S EQUITY

12 Months Ended

Dec. 31, 2017

Equity [Abstract]

STOCKHOLDER'S EQUITY

NOTE 11– STOCKHOLDERS’ DEFICIT

On August 24, 2016, the Company amended its certificate of incorporation to increase the number of its authorized shares of common stock from 300,000,000 shares to 500,000,000 shares and then on September 28, 2017, the stockholders of the Company approved increasing the number of authorized shares of common stock from 500,000,000 to 1,000,000,000. The Company had 403,311,988 and 234,704,655 shares issued and outstanding as of December 31, 2017 and 2016, respectively. In addition, the Company is authorized to issue 20,000,000 shares of preferred stock.

Common Stock

2017 Common Stock Transactions

●

As described in Note 6, on January 31, 2017, in connection with the issuance of a $3,000,000 Senior Unsecured Note, an aggregate of 4,500,000 shares of Common Stock was issued to the Stern Trust and the Company issued Network 1 Financial Securities, Inc. (“Network 1”), a registered broker-dealer, 1,200,000 shares of common stock of the Company in conjunction with its services.

●

As described in Notes 6 and 7, on January 31, 2017, the Company entered into Conversion Agreements with Investors pursuant to which each Investor agreed to convert all amounts of debt accrued and payable to such person including interest under the terms of their respective financing or loan agreement as of January 31, 2017 into shares of Company common stock at $0.10 per share. The Conversion Agreements resulted in the issuance of an approximately of 84,822,000 shares of Company common stock.

●

On March 22, 2017, the Company entered into Subscription Agreements with several accredited investors (the “March 2017 Accredited Investors”) pursuant to which the March 2017 Accredited Investors agreed to purchase an aggregate of 20,000,000 shares of the Company’s common stock for an aggregate purchase price of $4,000,000. The proceeds were received in 2017. In connection with this private offering, the Company paid Network 1, a registered broker-dealer, a cash fee of $240,000 and issued Network 1,000,000 shares of common stock of the Company.

●

Additionally, the Company cancelled certificates for 2,500,000 shares of common stock acquired in conjunction with the purchase of certain debentures.

●

During the year ended December 31, 2017, the Company issued approximately 594,000 shares of common stock as consideration for services. The fair value of the shares, totaling approximately $140,000 was estimated based on the publicly quoted trading price and recorded as expense.

●

On December 18, 2017, the Company entered into Subscription Agreements with accredited investors (the “December 2017 Accredited Investors”) pursuant to which the December 2017 Accredited Investors agreed to purchase an aggregate of approximately 38,464,000 shares of the Company’s common stock for an aggregate purchase price of $5,000,000. In connection with this private offering, the Company agreed to pay Network 1, a registered broker-dealer, a cash fee of $350,000 and issue common stock purchase warrants valued at $181,154 to acquire 1,153,846 shares of common stock of the Company exercisable for a term of five years at an exercise price of $0.143 per share.

2016 Common Stock Transactions

●

During the year ended December 31, 2016, the Company issued 704,074 shares of common stock upon the conversion of principal and interest on convertible debt totaling $21,222.

●

During the year ended December 31, 2016, the Company issued 4,450,000 shares of common stock for broker dealer services. The fair value of the shares based on publicly quoted trading prices was $377,938.

●

During the year ended December 31, 2016, the Company issued 969,654 shares of common stock as consideration for services. The fair value of the shares, totaling $311,103, was estimated based on the publicly quoted trading price and recorded as expense.

●

During the year ended December 31, 2016, the Company issued 2,966,251 shares of common stock in connection with the issuance of certain debt instruments. The fair value of the shares was estimated based on publicly quoted trading prices and $222,815 was allocated to debt issuance costs recorded against the carrying value of the related debt and amortized into interest expense over the terms of the respective debt agreements.

●

During the year ended December 31, 2016, the Company issued 22,500,000 shares of common stock as consideration for the acquisition of FIN Holdings valued at $9,000,000. The fair value of the shares was estimated based on the publicly traded shares. See Note 2.

●

During the year ended December 31, 2016, the Company issued 260,537 shares of common stock in partial settlement of a contingent liability of $59,681 related to its acquisition of MultiPay. See Note 10.

●

From August 10, 2016 through August 26, 2016, the Company entered into and closed Subscription Agreements with several accredited investors (the “August 2017 Accredited Investors”) pursuant to which the August 2017 Accredited Investors purchased an aggregate of 25,000,000 shares of the Company’s common stock (the “2017 Subscription Shares”) for an aggregate purchase price of $1,250,000. In order to reduce the dilution as a result of this private offering, certain shareholders of the Company including the Chief Executive Officer, directors and others agreed to return to the Company 10,000,000 shares of common stock in the aggregate for cancellation. In connection with the sale of shares, the Company issued 2,000,000 shares of common stock and paid $120,242 of cash for equity issuance costs.

Warrants

●

During the year ended December 31, 2017, the Company issued 1,153,846 warrants in connection with the issuance of approximately 38,461,500 shares of common stock at an exercise price of $.143 per share for a period of five years. See above

●

During the year ended December 31, 2017, an investor exercised 528,000 warrants at $0.05 cents for an aggregate price of $26,400 in exchange for shares of common stock of the Company.

●

On February 22, 2017, the Company entered the “February 22, 2017 Agreement”) with a holder of certain debentures that represented final and full payment of all amounts owed under these debentures which included debt with a face value of $300,000, accrued interest of approximately $31,000, and cancellation of 3,600,000 warrants. See Note 6.

●

During the year ended December 31, 2016, in connection with the issuance of convertible debt and promissory notes, the Company issued warrants to acquire 15,708,332 shares of common stock each with a five-year term. Of these warrants, 208,332 were issued with an exercise price of $0.48 per share and 15,500,000 were issued with an exercise price of $0.25 per share (subsequently repriced in August 2017 to $0.10 per share). Additionally, the Company issued warrants to a supplier to acquire 258,621 shares of common stock at an exercise price of $0.58 per share.

The following is a summary of the Company’s warrant activity for the years ended December 31, 2017 and 2016:

	Number of Shares			Weighted Average Exercise Price		Weighted Average Remaining Life
Outstanding at December 31, 2015		35,171,744		$	0.10
Granted		15,966,953		$	0.11
Outstanding at December 31, 2016		51,138,697		$	0.11		2.8 Years
Granted		1,153,846		$	0.14		5.0 Years
Exercised/Cancelled		(4,128,000	)		0.08		—
Outstanding at December 31, 2017		48,164,543		$	0.08		2.9 Years

Stock Options

The Company has adopted the Ipsidy Inc. 2014 Equity Compensation Plan and the 2017 Incentive Stock Plan. The Company has no other stock options plans in effect as of December 31, 2017.

On November 21, 2014, our Board of Directors authorized the Ipsidy Inc. Equity Compensation Plan (the “2014 Plan”). On September 28, 2017, the shareholders of the Company approved the 2017 Incentive Stock Plan (“2017 Incentive Plan”). The following is a summary of principal features of the 2014 Plan and the 2017 Incentive Plan. The summaries, however, does not purport to be a complete description of all the provisions of each plan.

The 2014 Plan covers 25,000,000 shares of common stock and the 2017 Incentive Plan covers 70,000,000 shares of common stock. Both Plans are administered by the Compensation Committee.

The terms of Awards granted under the plans shall be contained in an agreement between the participant and the Company and such terms shall be determined by the Compensation Committee consistent with the provisions of the applicable plan. The terms of Awards may or not require a performance condition in order to vest the equity comprised in the relevant Award. The terms of each Option granted shall be contained in a stock option agreement between the optionee and the Company and such terms shall be determined by the Compensation Committee consistent with the provisions of the applicable plan

The Company has also granted equity awards that have not been approved by security holders.

2017 Stock Option Issuances

●

In connection with the engagement of the CEO and Chief Financial Officer (“CFO”) on January 31, 2017, the Company granted the CEO and CFO stock options to acquire 15,000,000 shares and 5,000,000 shares of common stock of the Company respectively at an exercise price of $0.10 per share for a period of ten years. Further, the Company has entered into Restricted Stock Purchase Agreements with the CEO and CFO in which they were provided 15,000,000 shares and 5,000,000 shares of common stock at a per share price of $0.0001, which shares of common stock vest upon achieving a performance threshold which has not been achieved at December 31, 2017.

●

Additionally, the Company granted two employee stock options to acquire 1,250,000 shares of common stock at an exercise price representing fair value at the time of grant.

2016 Stock Option Issuances

●

In March and April 2016, the Company granted to employees, options to acquire 2,500,000 shares of common stock, of which 1,000,000 are exercisable at an exercise price of $0.45 per share vesting over two years, 1,000,000 are exercisable at an exercise price of $0.40 per share vesting on the date of grant and 500,000 are exercisable at an exercise price of $0.10 per share vesting quarterly over two years. The options have a 5 year term.

●

On August 10, 2016, the Company issued to several of its employees and consultants stock options (the “Plan Options”) under its Equity Compensation Plan to acquire an aggregate of 17,000,000 shares (including 6,500,000 performance based shares) of common stock of the Company exercisable at $0.05 per share. The Plan Options contain vesting periods of 12 quarters commencing on October 1, 2017 as well as various vesting based on achieving certain performance milestones. The Plan Options are exercisable for a period of ten years.

●

On August 10, 2016, the Company entered into an amended agreement (the “Amendment”) with Parity Labs, LLC (“Parity”) to amend the compensation section of an existing Advisory Agreement previously entered into between the Company and Parity on November 16, 2015 for the provision of strategic advisory services. The Amendment calls for the Company to issue to Parity the option (the “Parity Option”) to acquire 20,000,000 shares of common stock of the Company, exercisable at $0.05 per share for a period of ten years. The Parity Option vests as to 10,000,000 shares of common stock immediately and then in 12 equal tranches of 833,333 shares per month commencing on September 1, 2017. The Parity Option vested in entirety upon Mr. Beck becoming Chief Executive Officer of Ipsidy, Inc. in January 2017. Mr. Beck is a manager of Parity.

●

Additionally, the Company amended existing stock options to acquire 50,300,000 shares of common stock by extending the term from five years to ten years. The additional compensation cost related to the extension of the term was approximately $516,000.

●

In October 2016, options to acquire 875,000 shares (500,000 performance based shares) of common stock for an exercise price of $0.10 per share were forfeited.

The Company determined the grant date fair value of the options granted during the years ended December 31, 2017 and 2016 using the Black Scholes Method and the following assumptions:

	2017	2016
Expected Volatility	79.0% to 93.0%	79.0% to 93.0%
Expected Term	2.5 – 5.9 Years	2.5 to 5.9 Years
Risk Free Rate	1.16% to 1.49%	1.16% to 1.49%
Dividend Rate	0.00%	0.00%

Activity related to stock options for the years ended December 31, 2017 and 2016 is summarized as follows:

	Number of Shares			Weighted Average Exercise Price		Weighted Average Contractual Term (Yrs.)		Aggregate Intrinsic Value

Outstanding as of January 1, 2016		47,800,000		$	0.32		8.7	$	7,698,650
Granted		40,000,000		$	0.32		10.0	$	7,475,000
Forfeited		(875,000	)	$	0.07		—	$	—
Outstanding as of December 31, 2016		86,925,000		$	0.21		9.5	$	10,023,400
Granted		21,250,000		$	0.11		10.0	$	2,868,750
Forfeited		(4,966,669	)	$	0.08		—	$	—
Outstanding as of December 31, 2017		103,208,331		$	0.19		8.3	$	11,457,291
Exercisable as of December 31, 2017		81,787,506		$	0.22		8 2	$	3,316,208

The following table summarizes stock option information as of December 31, 2017:

Exercise Prices		Outstanding		Weighted Average Contractual Life		Exercisable
$	0.0001		3,500,000		7.8 Years		3,500,000
$	0.05		33,450,000		8.6 Years		25,020,838
$	0.10		27,250,000		8.8 Years		16,833,336
$	0.13		250,000		9.8 Years		—
$	0.15		5,258,331		7.6 Years		4,258,332
$	0.25		500,000		8.3 Years		300,000
$	0.29		1,000,000		9.3 Years		—
$	0.40		1,000,000		8.2 Years		1,000,000
	0.45		31,000,000		7.8 Years		30,875,000
	Total		103,208,331		8.3 Years		81,787,506

As of December 31, 2017, there was approximately $2,187,000 and $881,000 of unrecognized compensation costs related to employee stock options and non-employee stock options outstanding which will be recognized in 2017 through 2019. The company will recognize forfeitures as they occur. Stock compensation expense for the years ended December 31, 2017 and December 31, 2016 was approximately $5,651,000 and $8,648,000, respectively.

DIRECT FINANCING LEASE

12 Months Ended

Dec. 31, 2017

Direct Financing Lease Details

DIRECT FINANCING LEASE

NOTE 12 – DIRECT FINANCING LEASE

In September 2016, the Company and an entity in Colombia entered into a rental contract for the rental of 78 kiosks to provide cash collection and fare services at transportation stations. The lease term commenced in May 2017 when the kiosks were installed and operational. The term of the rental contract is ten years at an approximate monthly rental of $11,900. The lessee has the option at the end of the lease term to purchase each unit for approximately $40. The term of the lease approximates the expected economic life of the kiosks. As such, the lease was accounted for as a direct financing lease.

The Company has recorded the transaction at its net investment in the lease and will receive monthly payments of $11,856 before estimated executory costs, or $142,272, annually, to reduce investment in the lease and record income associated with the related amount due. Executory costs are estimated to be $1,677 month and initial direct costs are not considered significant. The transaction resulted in incremental revenue in the years ended December 31, 2017 of approximately $74,700 and December 31, 2016 of approximately $52,500.

The equipment under the capital lease is valued at approximately $748,000. At the inception of the lease term, the aggregate minimum future lease payments to be received is approximately $1,422,000 before executory cost. Unearned income is recorded at the inception of this lease was approximately $474,000 and will be recorded over the term of the lease using the effective income rate method. Future minimum lease payments to be received under the lease for the next five years and thereafter are as follows:

Year Ending December 31,
2018	$	122,145
2019		122,145
2020		122,145
2021		122,145
2022		122,145
Thereafter		407,175
		1,017,900
Less deferred revenue		(346,347	)
Net investment in lease	$	671,553

LEASE OBLIGATION PAYABLE

12 Months Ended

Dec. 31, 2017

Direct Financing Lease Details

LEASE OBLIGATION PAYABL

NOTE 13 – LEASE OBLIGATION PAYABLE

The Company entered into a lease in March 2017 for the rental of its printer for its secured plastic and credential card products business under an arrangement that is classified as a capital lease. The leased equipment is amortized on a straight line basis over its lease term including the last payment (61 payments) which would transfer ownership to the Company. Total amortization related to the lease equipment as of December 31, 2017 is $26,614. The following is a schedule showing the future minimum lease payments under capital lease by year and the present value of the minimum lease payments as of December 31, 2017. The interest rate related to the lease obligation is 12% and the maturity date is March 31, 2022. Future cash payment related to this capital lease are as follow for the calendar years ending from 2018-2022.


2018	$	43,096
2019		43,096
2020		43,096
2021		43,096
2022		10,776
Total minimum lease payments		183,160

Less: Amount representing interest		40,231

Present value of minimum lease payments	$	142,929

INCOME TAXES

12 Months Ended

Dec. 31, 2017

Income Tax Disclosure [Abstract]

INCOME TAXES

NOTE 14 – INCOME TAXES

The Company accounts for income taxes in accordance with ASC 740 which prescribes a recognition threshold and measurement process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. ASC 740 also provides guidance on de-recognition, classification, interest and penalties, accounting in interim period, disclosure and transition. There were no unrecognized tax benefits as of December 31, 2017 and 2016.

The Company’s loss before income taxes from US and Foreign sources for the years ended December 31, 2017 and 2016, are as follows:

	2017			2016
United States	$	(15,488,668	)	$	(8,701,796	)
Outside United States		(1,964,180	)		(1,146,661	)
Loss before income taxes	$	(17,452,848	)	$	(9,848,457	)

The following table summarizes the significant differences between the U.S. Federal statutory tax rate and the Company’s effective tax rate for financial statement purposes for the years ended December 31, 2017 and 2016:


	2017			2016

US Federal Statutory Tax Rate		34.00	%		34.00	%
State taxes		3.63	%		3.63	%
Permanent items		(5.94	%)		35.71	%
Amortization of Discount - APIC		2.04	%		—
NOL True-Ups		(2.78	%)		—
Change in tax rates		(23.88	%)		—
Change in valuation allowance		(7.07	%)		(73.34	%)

		0.00	%		0.00	%

The tax effects of temporary differences that give rise to deferred tax assets and liabilities as of December 31, 2017 and 2016 are summarized as follows:

	2017			2016
Deferred Tax Assets
Net Operating Loss	$	4,305,729		$	2,669,107
Stock Options		5,276,885			5,655,810
Charitable Contributions		1,267			290,528
Basis Difference in Intangible Assets		39,125			—
Accrued Payroll		97,127			—
Debt issuance costs		—			1,882
Valuation Allowance		(9,559,975	)		(8,463,727	)
Total Deferred Tax Asset		160,158			153,600

Debt Discounts		(115,553	)		(60,524	)
Debt Issuance Costs		(42,667	)		(91,451	)
Basis Difference Fixed Assets		(1,938	)		(1,625	)
Total Deferred Tax Liability		(160,158	)		(153,600	)

Net Deferred Tax Asset	$	—		$	—

As of December 31, 2017, the Company has available federal net operating loss carry forward of $14.5 million and state net operating loss carry forwards of $14.5 million, the most significant of which expire from 2020 until 2037. Additionally, the Company has income tax net operating loss carryforwards related to our international operations which have an indefinite life.

The Company assess the recoverability of its net operating loss carry forwards and other deferred tax assets and records a valuation allowance to the extent recoverability does not satisfy the “more likely than not” recognition criteria. The Company continues to maintain the valuation allowance until sufficient positive evidence exists to support full or partial reversal. As of December 31, 2017 the Company had a valuation allowance totaling $12.9 million against its deferred tax assets, net of deferred tax liabilities, due to insufficient positive evidence, primarily consisting of losses within the taxing jurisdictions that have tax attributes and deferred tax assets.

The Tax Cuts and Jobs Act of 2017 was signed into law on December 22, 2017. The law includes significant changes to the US Corporate income tax system, including a Federal corporate rate reduction from 35% to 21%, limitations on the deductibility of interest expense and executive compensation and the transition of US international taxation from a worldwide tax system to a territorial tax system. As the Company is not currently a taxpayer due to ongoing operating losses, the impact on the financial statements is not material. We have reflected the lower rates in the calculation above in the December 31, 2017 information.

FAIR VALUE MEASUREMENTS

12 Months Ended

Dec. 31, 2017

Fair Value Disclosures [Abstract]

FAIR VALUE MEASUREMENTS

NOTE 15 – FAIR VALUE MEASUREMENTS

The fair value of an asset or liability is the price that would be received to sell an asset or transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The Company utilizes a fair value hierarchy that maximizes the use of observable inputs and minimizes the use of unobservable inputs when measuring fair value and defines three levels of inputs that may be used to measure fair value as previously defined in the summary of accounting policies and procedures.

The Company’s financial liabilities as of December 31 that are measured at fair value on a recurring basis were as follows:


	Level 1		Level 2		Level 3
2017
Derivative instruments (included in current liabilities)		—		—		—
2016
Derivative instruments (included in current liabilities)		—		—	$	18,056,631

We classified the derivative liability as Level 3 due to the lack of relevant observable market data over fair value inputs such as the probability-weighting of the various scenarios in the arrangement. The change in the derivative activity for the years ended December 31, 2017 and 2016 is included in Note 8 to the consolidated financial statements.

During the year ended December 31, 2017, no non-financial assets and liabilities were measured at fair value. The Company’s non-financial assets and liabilities that were measured at fair value during the year ended December 31, 2016 were as follows:

	Level 1		Level 2		Level 3
Property and equipment	$	—	$	100,339		—
Current assets	$	311,867		—		—
Accounts payables and other current liabilities	$	914,218		—		—
Intangible assets	$	112,408		—	$	2,401.208
Goodwill	$	—		—	$	6,569,354

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

COMMITMENTS AND CONTINGENCIES

12 Months Ended

Dec. 31, 2017

Commitments and Contingencies Disclosure [Abstract]

COMMITMENTS AND CONTINGENCIES

NOTE 16 – COMMITMENTS AND CONTINGENCIES

Contingent Purchase Consideration

The Company had recorded a contingent liability of approximately $370,000 related to the acquisition of Multipay because of the contingency of the shares to be issued and debt to be released upon the payment of certain liabilities by the Multipay Shareholders. During the year ended December 31, 2016, the Company issued 260,537 shares of common stock in settlement of approximately $60,000 of the existing obligation, paid certain existing obligations and the remaining balance of approximately $49,000 as of December 31, 2016 was included in accounts payable and accrued expenses. A majority of the remaining obligations were paid during the year ended December 31, 2017.

Legal Matters

From time to time the Company is a party to various legal or administrative proceedings arising in the ordinary course of our business. While any litigation contains an element of uncertainty, we have no reason to believe that the outcome of such proceedings will have a material adverse effect on the financial condition or results of operations of the Company.

Executive Compensation

As of December 31, 2017, the Company had employment agreements with certain key members of the management team providing base salary amounts and provisions for stock compensation, cash bonuses and other benefits to be granted at the discretion of the Board of Directors.

As of January 31, 2017, the Company made certain changes to the management team and its Board of Directors and entered into Executive Retention Agreements with four members of the management team. The Executive Retention Agreements include provisions for base salary, bonus amounts upon meeting certain performance milestones, severance benefits for involuntary termination from a change in control or other events as defined in their respective agreements. Additionally, the vesting of certain awards could be accelerated upon a change in control (as defined).

Operating Leases

On December 19, 2014, the Company entered in a twelve-month lease for office facilities in Florida at a monthly rate of $3,000, with an option to extend the lease for another twelve months for $3,300 per month for 2017. On December 28, 2016, the parties extended the lease for an additional twelve months through December 31, 2017 at a monthly rent of $3,400 per month. The Company provided termination notice to the landlord and will cease paying rent at this location effective August 31, 2017.

The Company entered into a new office lease in Plantation, Florida beginning July 1, 2017 for approximately 2,100 square feet. Monthly rent will approximate $2,600 per month for thirty-seven months with a 3% increase on each subsequent annual anniversary. The company will be responsible for their respective share of building expenses.

Additionally, the Company leased office space during 2017 in Long Beach, New York at a monthly rent of $2,250. Beginning in February 2017, the monthly rent was increased to $4,500 as additional office space was required. During Company expanded its footprint and monthly rent is $7,425. The lease can be terminated on 30 day’s notice.

In addition, the Company is party to operating leases for its office location and warehouse in Colombia. The Company through April 30, 2017, paid $4,400 a month for its office location. In April 2017, MultiPay S.A.S. entered into a new lease beginning April 22, 2017 for two years to replace it current offices. The new lease cost is approximately $8,500 per month with an inflation adjustment after one year. The lease will be extended for one additional year unless written notice to the contrary is provided at least six months in advance The Company also rents a warehouse at a rate of approximately $2,700 a month per a one-year lease that expires on August 31, 2017. Furthermore, the Company leased an apartment at approximately $2,100 a month, which was terminated in December 2017

The Company also leases space for its operation in South Africa. The current lease expired on June 30, 2017 and the approximate monthly rent is $6,500. Additionally, Cards Plus entered into an equipment lease for approximately $3,600 per month for five years. The Company is currently reviewing lease options and is operating on a month to month basis.

Rent expense for the years ended 2017 and 2016 was approximately $360,000 and $230,000 respectively.

The Company has entered an agreement with an identity consulting organization to provide services for a two-year period beginning October 1, 2017 at a rate of $15,000 per month. The agreement can be terminated at the end of the first year.

SEGMENT INFORMATION

12 Months Ended

Dec. 31, 2017

Segment Reporting [Abstract]

SEGMENT INFORMATION

NOTE 17 – SEGMENT INFORMATION

General information

The segment and geographic information provided in the table below is being reported consistent with the Company’s method of internal reporting. Operating segments are defined as components of an enterprise for which separate financial information is available and which is evaluated regularly by the chief operating decision maker (“CODM”) in deciding how to allocate resources and in assessing performance. The CODM regularly reviews net revenue and gross profit by geographic regions. The Company products and services operate in two reportable segments; identity management and payment processing.

Information about revenue, profit/loss and assets

The CODM evaluates performance and allocates resources based on net revenue and operating results of the geographic region as the current operations of each geography are either primarily identity management or payment processing. Identity management revenue is generated in North America and Africa and payment processing is earned in South America which are the three geographic regions of the Company. We have included the lease income in payment processing are the leases are related to unattended ticking kiosks.

Long lived assets are in North America, South America and Africa. Most assets are intangible assets recorded from the acquisition of MultiPay (South America) in 2016 and FIN Holdings (North America and Africa) in 2017. Assets for North America, South America and Africa amounted to approximately $7.2 million, $.9 million and $1.8 million respectively of which $5.3 million, $.2 million and $1.3 million related to goodwill as of December 31, 2017.

Analysis of revenue by segment and geographic region and reconciliation to consolidated revenue, gross profit, and net loss are provided below. The Company has included in the schedule below an allocation of corporate overhead based on management’s estimate of resource requirements.

	Year Ended December 31,
	2017			2016
Net Revenues:
North America	$	518,023		$	450,781
South America		394,320			348,335
Africa		1,391,263			1,130,822
		2,303,606			1,929,938

Identity Management		1,909,286			1,581,603
Payment Processing		394,320			348,335
		2,303,606			1,929,938

Loss From Operations
North America		(2,672,161	)		(2,973,328	)
South America		(8,300,968	)		(7,426,341	)
Africa		(1,035,987	)		(3,167,804
		(12,009,115	)		(13,567,473	)

Identity Management		(3,708,147	)		(6,141,132	)
Payment Processing		(8,300,968	)		(7,426,341	)
		(12,009,115	)		(13,567,473	)

Gain (loss) on derivative liability		(4,106,652	)		7,345,000
Interest expense		(1,337,081	)		(3,625,984	)

Loss before income taxes		(17,452,848	)		(9,848,457	)

Income tax expense		28,781			2,946

Net Loss	$	(17,481,629	)	$	(9,851,403	)

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)

12 Months Ended

Dec. 31, 2017

Accounting Policies [Abstract]

Going Concern

Going Concern

Basis of Consolidation

Basis of Consolidation

Use of Estimates

Use of Estimates

Revenue Recognition

Revenue Recognition

Accounts Receivable

Accounts Receivable

Inventories

Inventories

Concentration of Credit Risk

Concentration of Credit Risk

Income Taxes

Income Taxes

Leases

Leases

Property and Equipment, net

Property and Equipment, net

Other Assets - Software Development Costs

Other Assets - Software Development Costs

Intangible Assets

Intangible Assets

Goodwill

Goodwill

Stock-based compensation

Stock-based compensation

Impairment of Long-Lived Assets

Impairment of Long-Lived Assets

Research and Development Costs

Research and Development Costs

Net Loss per Common Share

Net Loss per Common Share

Security	2017		2016
Stock Options		103,208,331		86,925,000
Warrants		48,164,543		51,138,697
Convertible Debt		—		53,143,343

Total		151,372,874		191,207,040

Derivative Instruments

Derivative Instruments

Common Stock Purchase Warrants

Common Stock Purchase Warrants

Business Combinations

Business Combinations

Foreign Currency Translation

Foreign Currency Translation

Fair Value Measurements

Fair Value Measurements

Fair Value of Financial Instruments

Fair Value of Financial Instruments

Recent Accounting Pronouncements

Recent Accounting Pronouncements

DESCRIPTION OF BUSINESS AMD SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

12 Months Ended

Dec. 31, 2017

Accounting Policies [Abstract]

Schedule of potentially dilutive securities

The following potentially dilutive securities were excluded from the calculation of diluted loss per share for the years ended December 31, 2017 and 2016 because their effect was antidilutive:

Security	2017		2016
Stock Options		103,208,331		86,925,000
Warrants		48,164,543		51,138,697
Convertible Debt		—		53,143,343

Total		151,372,874		191,207,040

ACQUISITIONS (Tables)

12 Months Ended

Dec. 31, 2017

Schedule of pro forma financial information

Proforma net revenue		$	2,051,494
Proforma net loss			(9,858,944	)

Schedule for activity of goodwill

The activity for goodwill for the years ending December 31, 2017 and 2016 is as follows:

Balance, January 1, 2016	$	166,689
Acquisition of FIN Holdings		6,569,354
Balance, December 31, 2016	$	6,736,043
Balance, December 31, 2017	$	6,736,043

Fin Holdings, Inc. [Member]

Schedule of fair values of assets and liabilities

The following table summarizes the total fair value of the consideration transferred as well as the fair values of the assets and liabilities assumed.

Common stock consideration	$	9,000,000
Liabilities assumed		914,218
Total purchase consideration		9,914,218
Current assets		(843,317	)
Property and equipment		(100,339	)
Customer relationships		(1,587,159	)
Intellectual property		(814,049	)
Goodwill	$	6,569,354

PROPERTY AND EQUIPMENT, NET (Tables)

12 Months Ended

Dec. 31, 2017

Property, Plant and Equipment [Abstract]

Schedule of property and equipment

Property and equipment consisted of the following as of December 31, 2017 and December 31, 2016:

	2017		2016

Property and equipment	$	179,351	$	302,128
Equipment under capital lease (see Note 12)		156,867		—

		336,218		302,128
Less Accumulated depreciation		126,499		186,446
Property and equipment, net	$	209,719	$	115,682

OTHER ASSETS (Tables)

12 Months Ended

Dec. 31, 2017

Other Assets Tables

Schedule of other assets

Other assets consisted of the following at December 31, 2017 and December 31, 2016:

	2017		2016
Software and development	$	1,139,409	$	358,343
Other		104,122		—
	$	1,243,531	$	358,343

INTANGIBLE ASSETS, NET (OTHER THAN GOODWILL) (Tables)

12 Months Ended

Dec. 31, 2017

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of intangible assets

The following is a summary of activity related to intangible assets for the years ended December 31, 2017 and 2016:

Useful Lives	Customer Relationships 10 Years			Intellectual Property 10 Years			Non-Compete 5 Years			Patents Pending		Total
Carrying Value at December 31, 2015	$	—			1,423,504			13,030			—		1,436,534
Additions		1,587,159			814,049			—			19,200		2,420,408
Amortization		(140,993	)		(236,695	)		(4,963	)		—		(382,651	)
Carrying Value at December 31, 2016		1,446,166		$	2,000,858		$	8,067		$	19,200	$	3,474,291
Additions		—			—			—			9,246		9,246
Write off of assets		—			(212,862	)		—			—		(212,862	)
Amortization		(158,716	)		(231,062	)		(2,817	)		—		(392,595	)
Carrying Value at December 31, 2017	$	1,287,450		$	1,556,934		$	5,250		$	28,446	$	2,878,080

The following is a summary of intangible assets as of December 31, 2016:

Useful Lives	Customer Relationships			Intellectual Property			Non-Compete			Patents Pending		Total
Cost	$	1,587,159		$	2,444,646		$	14,087		$	19,200	$	4,065,092
Accumulated amortization		(140,993	)		(443,788	)		(6,020	)		—		(590,801	)
Carrying Value at December 31, 2016	$	1,446,166		$	2,000,858		$	8,067		$	19,200	$	3,474,291

The following is a summary of intangible assets as of December 31, 2017:

Useful Lives	Customer Relationships			Intellectual Property			Non-Compete			Patents Pending		Total
Cost	$	1,587,159		$	2,146,561		$	14,087		$	28,446	$	3,776,253
Accumulated amortization		(299,709	)		(589,627	)		(8,837	)		—		(898,173	)
Carrying Value at December 31, 2017	$	1,287,450		$	1,556,934		$	5,250		$	28,446	$	2,878,080

Schedule of future amortization expense of intangible assets

Future expected amortization of intangible assets is as follows:

Year Ending December 31,
2018	$	373,638
2019		373,252
2020		366,313
2021		364,498
2022		355,008
Thereafter		1,045,371
	$	2,878,080

ACCOUNTS PAYABLE AND ACCRUED EXPENSES (Tables)

12 Months Ended

Dec. 31, 2017

Payables and Accruals [Abstract]

Schedule of accounts payable and accrued expenses

Accounts payable and accrued expenses consisted of the following as of December 31, 2017 and December 31, 2016:

	2017		2016
Trade payables	$	232,842	$	341,002
Accrued interest		275,000		600,624
Accrued payroll and related		468,012		421,771
Other		471,331		324,503
Total	$	1,447,185	$	1,687,900

NOTES PAYABLE, NET (Tables)

12 Months Ended

Dec. 31, 2017

Debt Disclosure [Abstract]

Schedule of notes payable

The following is a summary of notes payable as of December 31, 2017 and December 31, 2016:

	2017		2016
In connection with the acquisition of MultiPay in 2016, the Company assumed three promissory notes. Payments of $6,300 including principal and interest are due monthly. The interest rate at December 31, 2017 is 15.47% per annum. Total outstanding principal and interest was repaid in September 16, 2017.	$	—	$	46,210

In November 2016, the Company issued a 12% promissory note due in January 2017 to an officer and principal stockholder in the amount of $13,609. The noteholder also received 20,414 shares of the Company’s common stock with a fair value of $2,041. This amount was repaid in April 2017.		—		13,609

The below section of notes payable were all converted to common stock at $0.10 per share, in connection with the January 2017, conversion agreements described above except for the January 2017 Senior Unsecured Note that remains outstanding at December 31, 2017.

In September 2015, the Company issued 12% notes totaling $973,000. The notes are secured by the assets of the Company, matured in September 2017, and accrued interest is convertible into common stock of the Company at a rate of $0.10 per share. In connection with the issuance of these notes, the Company also issued warrants for the purchase of 6,486,667 shares of the Company’s common stock at an exercise price of $0.15 per share for a period of five years. The Company also incurred debt issuance costs of $77,840, which are presented as a discount against the notes and amortized into interest expense over the term of the notes.		—		963,000

In October 2015, the Company issued 12% notes in the amount of $225,000. The notes are secured by the assets of the Company, matured in October 2017, and accrued interest is convertible into common stock of the Company at a rate of $0.10 per share. In connection with the issuance of these notes, the Company also issued warrants for the purchase of 1,500,000 shares of the Company’s common stock at an exercise price of $0.15 per share for a period of five years. The Company also incurred debt issuance costs of $36,400, which are presented as a discount against the notes and amortized into interest expense over the term of the notes.		—		225,000

In November 2015, the Company issued a 12% note in the amount of $25,000. The note is secured by the assets of the Company, matured in October 2017, and accrued interest is convertible into common stock of the Company at a rate of $0.10 per share. In connection with the issuance of this note, the Company also issued warrants for the purchase of 166,667 shares of the Company’s common stock at an exercise price of $0.15 per share for a period of five years. The Company also incurred debt issuance costs of $94,400, which are presented as a discount against the note and amortized into interest expense over the term of the note.	—	25,000

In December 2015, the Company issued 12% notes totaling $850,000. The notes are secured by the assets of the Company and matured in December 2017. Any unpaid accrued interest on the note is convertible into common stock of the Company at a rate of $0.48 per share. In connection with the issuance of these notes, the Company also issued warrants for the purchase of 1,770,834 shares of the Company’s common stock at an exercise price of $0.48 per share for a period of five years. The conversion rate on the accrued interest and the warrants provide the holders with anti-dilution protection that requires these features to be bifurcated and presented as derivative liabilities. See Note 8. The Company also incurred debt issuance costs of $165,300 which are presented as a discount against the notes and amortized into interest expense over the term of the notes.	—	850,000

In January 2016, the Company issued 12% notes totaling of $100,000. These notes are secured by the assets of the Company, matured in January 2017, and accrued interest is convertible into common stock of the Company at a rate of $0.48 per share. In connection with the issuance of these notes, the Company also issued warrants for the purchase of 208,332 shares of the Company’s common stock at an exercise price of $0.48 per share for a period of five years. The conversion rate on the accrued interest and the warrants provide the holders with anti-dilution protection that requires these features to be bifurcated and presented as derivative liabilities. See Note 8.		—			100,000

In December 2016, the Company issued promissory notes with an aggregate face value of $1,275,000 which are payable one year from the date of issuance and bear interest of 10% per annum for the initial six months of the term of the Notes and 15% per annum for the remaining six months of the term of the Notes. The note holders also received 1,912,500 shares of common stock, with a fair value of $191,250. The Company allocated the proceeds to the notes and common stock based on their relative fair values, resulting in a discount against the notes for the common stock of $166,304, which will be amortized into expense over the one-year term of the notes. In connection with the issuance of the notes and common stock, the Company also incurred debt issuance costs of $212,427 of which $184,719 was recorded as debt issuance cost against the notes to be amortized over the term of the notes.		—			1,275,000

In January 2017, the Company issued a Senior Unsecured Note with a face value of $3,000,000, payable two years from issuance, along with aggregate of 4,500,000 shares of Common Stock, with a fair value of $1,170,000. The loan is due to a Board Member upon his election in September 2017. The Company allocated the proceeds to common stock based upon the fair value and recorded a discount of $8471,727 to be amortized into interest expense over the two-year term of the note. The Company also paid issuance costs consisting of a cash fee of $120,000 and 1,020,000 shares of common stock of the Company with a fair value of $312,000, and a total of $310,790 was recorded as debt issuance costs to be amortized into interest expense over the two-year term of the note.		3,000,000			—
Total Principal Outstanding	$	3,000,000		$	3,497,819
Less Current Maturities		—			(109,819	)
		3,000,000			3,388,000
Unamortized Deferred Discounts		(455,935	)		(159,375	)
Unamortized Debt Issuance Costs		(168,345	)		(177,072	)
Notes Payable, net of current maturities	$	2,375,720		$	3,051,603

Schedule of notes payable and related discounts

The following is a roll-forward of the Company’s notes payable and related discounts for the years ended December 31, 2017 and 2016:

	Principal Balance			Debt Issuance Costs			Debt Discounts			Total
Balance at December 31, 2015	$	2,196,669			(368,653	)		(1,193,947	)		634,069
New issuances		1,388,609			(260,719	)		(233,134	)		894,756
Payments		(87,459	)		—			—			(87,459	)
Amortization					452,350			1,267,706			1,720,056
Balance at December 31, 2016		3,497,819			(177,022	)		(159,375	)		3,161,422
New issuances		3,000,000			(310,790	)		(841,727	)		1,847,483
Payments/Conversions		(3,497,819	)		—			—			(3,497,819	)
Amortization		—			319,467			545,167			864,634
Balance at December 31, 2017	$	3,000,000		$	(168,345	)	$	(455,935	)	$	2,375,720

Schedule of future maturities of notes payable

Future maturities of notes payable are as follows for the calendar years 2018 and 2019:

2018	$	—
2019		3,000,000
	$	3,000,000

CONVERTIBLE NOTES PAYABLE, NET (Tables)

12 Months Ended

Dec. 31, 2017

Debt Disclosure [Abstract]

Schedule of convertible notes payable outstanding

Convertible notes consisted of the following as of December 31, 2017 and December 31, 2016:

	2017		2016
The below section of convertible notes payable were all converted to common stock at $0.10 per share in connection with the January 2017 conversion agreements described in Note 6.

In June 2015, the Company issued 10% convertible notes with in the aggregate principal amount of $700,000. The notes are secured by the assets of the Company, matured in June 2017, and are convertible into common stock of the Company at a conversion rate of $0.03 per share, subject to adjustment. In connection with the issuance of these notes, the Company also issued warrants for the purchase of 15,400,000 shares of the Company’s common stock at an exercise price of $0.05 per share for a period of five years. The conversion rate on the notes and exercise price of the warrants were subject to adjustment for anti-dilution protection that requires these features to be bifurcated and presented as derivative liabilities. See Note 8. The Company also incurred debt issuance costs of $124,000, which are presented as a discount against the note and amortized into interest expense over the term of the notes. During the years ended December 31, 2016, a holder of a note elected to convert principal and accrued interest totaling $21,222 into 704,074 shares of common stock.	$	—	$	680,000

In July 2015, the Company issued 10% convertible notes with in the aggregate principal amount of $190,000. The notes are secured by the assets of the Company, matured in July 2017, and are convertible into common stock of the Company at a conversion rate of $0.03 per share, subject to adjustment. In connection with the issuance of these notes, the Company also issued warrants for the purchase of 4,180,000 shares of the Company’s common stock at an exercise price of $0.05 per share for a period of five years. The conversion rate on the notes and exercise price of the warrants are subject to adjustment for anti-dilution protection that requires these features to be bifurcated and presented as derivative liabilities. See Note 6. The Company also incurred debt issuance costs of $16,200, which are presented as a discount against the note and amortized into interest expense over the term of the notes.		—		166,000

—

172,095

In April 2016, the Company issued 12% convertible notes in the amount of $1,550,000. The notes are secured by the assets of the Company, mature in October 2017, and are convertible into common stock of the Company at a rate of $0.25 per share. In connection with the issuance of these notes, the Company also issued 1,033,337 shares of common stock and warrants for the purchase of 6,200,000 shares of the Company’s common stock at an exercise price of $0.25 per share for a period of five years. The conversion rate on the notes and exercise price of the warrants are subject to adjustment for anti-dilution protection that requires these features to be bifurcated and presented as derivative liabilities at their fair values. The Company also incurred debt issuance costs of $226,400, which are presented as a discount against the note and amortized into interest expense over the term of the notes. In August 2017, the Company entered into an agreement with the April 2017 Accredited Investors to reduce the exercise price on the embedded conversion features and warrants to $0.10 and increase the number of warrants to 15,500,000. The August 2017 change in terms of these Convertible Notes has been determined to be a loan extinguishment in accordance with ASC 470 Debt. The reported amounts under a loan extinguishment are not significantly different than that of the Company’s reported amounts.		—		1,550,000

Total Principal Outstanding	$	—	$	2,568,095
Less Current Maturities		—		(250,000	)
		—		2,318,095
Unamortized Deferred Discounts		—		(6,466	)
Unamortized Debt Issuance Costs		—		(66,033	)
Notes Payable, Net	$	—	$	2,245,596

Schedule of convertible notes and related discounts

The following is a roll-forward of the Company’s convertible notes and related discounts for the years ended December 31, 2017 and 2016:

		Principal Balance			Discounts Issuance Costs			Debt Discounts			Total
Balance at December 31, 2015	$	1,038,095		$	(71,700	)	$	(583,049	)	$	383,346
New issuances		1,550,000			(226,400	)		(636,373	)		(687,227	)
Conversions		(20,000	)		—			—			(20,000	)
Amortization		—			232,067			1,212,956			1,445,023
Balance at December 31, 2016		2,568,095			(66,033	)		(6,466	)		2,495,596

Conversions		(2,568,095	)		—			—			(2,568,095	)
Amortization		—			66,033			6,466			72,499
Balance at December 31, 2017	$	—		$	—		$	—		$	—

DERIVATIVE LIABLITY (Tables)

12 Months Ended

Dec. 31, 2017

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of ranges of assumptions utilized in estimating fair value of conversion options and warrants

The ranges of assumptions utilized in estimating the fair value of the warrants and conversion options on the dates of issuance, settlement, and as of and for the years ended December 31, 2017 and 2016, are as follows:

	2017
Expected Volatility	19% to 87%	19% to 87%
Expected Term	0.0 to 5.0 Years	0.0 to 5.0 Years
Risk Free Rate	0.036% to 1.93%	0.036% to 1.93%
Dividend Rate	0.00%	0.00%
Triggering Capital raise probabilities	50% to 75%	50% to 75%

Schedule of derivative activity

A summary of derivative activity for the years ended December 31, 2017 and 2016 is as follows:


Balance at January 1, 2016	$	25,445,645

New issuances		648,836
Conversion feature reclassified to equity upon conversion of related notes payable.		(692,850	)
Change in fair value		(7,345,000	)
Balance at December 31, 2016	$	18,056,631
Modification of derivatives		319,770
Cancellation of warrants previously accounted for as derivative liabilities and elimination of derivative conversion features resulting from conversion of related party debt to equity		(11,213,573	)
Change in fair value		452,146
Reclassification of derivatives to equity upon removal of price protection in warrants		(7,614,974	)
Balance at December 31, 2017	$	—

- Definition

Tabular disclosure of pertinent information about a derivative or group of derivatives on a disaggregated basis, such as for individual instruments, or small groups of similar instruments. May include a combination of the type of instrument, risks being hedged, notional amount, hedge designation, related hedged item, inception date, maturity date, or other relevant item.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=84234895&loc=d3e41641-113959

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4B
-URI http://asc.fasb.org/extlink&oid=84234895&loc=SL5624163-113959

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=84234895&loc=d3e41678-113959

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=84234895&loc=d3e41638-113959

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 1B
-URI http://asc.fasb.org/extlink&oid=84234895&loc=SL5580258-113959

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 1A
-URI http://asc.fasb.org/extlink&oid=84234895&loc=SL5579245-113959

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4C
-URI http://asc.fasb.org/extlink&oid=84234895&loc=SL5624171-113959

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=84234895&loc=SL5579240-113959

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=84234895&loc=d3e41620-113959

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(n)(2))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

+ Details

STOCKHOLDER'S EQUITY (Tables)

12 Months Ended

Dec. 31, 2017

Equity [Abstract]

Schedule of warrant activity

The following is a summary of the Company’s warrant activity for the years ended December 31, 2017 and 2016:

	Number of Shares			Weighted Average Exercise Price		Weighted Average Remaining Life
Outstanding at December 31, 2015		35,171,744		$	0.10
Granted		15,966,953		$	0.11
Outstanding at December 31, 2016		51,138,697		$	0.11		2.8 Years
Granted		1,153,846		$	0.14		5.0 Years
Exercised/Cancelled		(4,128,000	)		0.08		—
Outstanding at December 31, 2017		48,164,543		$	0.08		2.9 Years

Schedule of black - scholes option-pricing model valuation assumption

The Company determined the grant date fair value of the options granted during the years ended December 31, 2017 and 2016 using the Black Scholes Method and the following assumptions:

	2017	2016
Expected Volatility	79.0% to 93.0%	79.0% to 93.0%
Expected Term	2.5 – 5.9 Years	2.5 to 5.9 Years
Risk Free Rate	1.16% to 1.49%	1.16% to 1.49%
Dividend Rate	0.00%	0.00%

Schedule of outstanding stock options

Activity related to stock options for the years ended December 31, 2017 and 2016 is summarized as follows:

	Number of Shares			Weighted Average Exercise Price		Weighted Average Contractual Term (Yrs.)		Aggregate Intrinsic Value

Outstanding as of January 1, 2016		47,800,000		$	0.32		8.7	$	7,698,650
Granted		40,000,000		$	0.32		10.0	$	7,475,000
Forfeited		(875,000	)	$	0.07		—	$	—
Outstanding as of December 31, 2016		86,925,000		$	0.21		9.5	$	10,023,400
Granted		21,250,000		$	0.11		10.0	$	2,868,750
Forfeited		(4,966,669	)	$	0.08		—	$	—
Outstanding as of December 31, 2017		103,208,331		$	0.19		8.3	$	11,457,291
Exercisable as of December 31, 2017		81,787,506		$	022		8 2	$	3,316,208

Schedule of stock option

The following table summarizes stock option information as of December 31, 2017:

Exercise Prices		Outstanding		Weighted Average Contractual Life		Exercisable
$	0.0001		3,500,000		7.8 Years		3,500,000
$	0.05		33,450,000		8.6 Years		25,020,838
$	0.10		27,250,000		8.8 Years		16,833,336
$	0.13		250,000		9.8 Years		—
$	0.15		5,258,331		7.6 Years		4,258,332
$	0.25		500,000		8.3 Years		300,000
$	0.29		1,000,000		9.3 Years		—
$	0.40		1,000,000		8.2 Years		1,000,000
	0.45		31,000,000		7.8 Years		30,875,000
	Total		103,208,331		8.3 Years		81,787,506

- Definition

Tabular disclosure of warrants or rights issued. Warrants and rights outstanding are derivative securities that give the holder the right to purchase securities (usually equity) from the issuer at a specific price within a certain time frame. Warrants are often included in a new debt issue to entice investors by a higher return potential. The main difference between warrants and call options is that warrants are issued and guaranteed by the company, whereas options are exchange instruments and are not issued by the company. Also, the lifetime of a warrant is often measured in years, while the lifetime of a typical option is measured in months. Disclose the title of issue of securities called for by warrants and rights outstanding, the aggregate amount of securities called for by warrants and rights outstanding, the date from which the warrants or rights are exercisable, and the price at which the warrant or right is exercisable.

+ References + Details

DIRECT FINANCING LEASE (Tables)

12 Months Ended

Dec. 31, 2017

Direct Financing Lease Details

Schedule of future minimum lease payments to be received

Future minimum lease payments to be received under the lease for the next five years and thereafter are as follows:

Year Ending December 31,
2018	$	122,145
2019		122,145
2020		122,145
2021		122,145
2022		122,145
Thereafter		407,175
		1,017,900
Less deferred revenue		(346,347	)
Net investment in lease	$	671,553

LEASE OBLIGATION PAYABLE (Tables)

12 Months Ended

Dec. 31, 2017

Direct Financing Lease Details

Schedule of interest rate related to the lease obligation

The interest rate related to the lease obligation is 12% and the maturity date is March 31, 2022. Future cash payment related to this capital lease are as follow for the calendar years ending from 2018-2022.


2018	$	43,096
2019		43,096
2020		43,096
2021		43,096
2022		10,776
Total minimum lease payments		183,160

Less: Amount representing interest		40,231

Present value of minimum lease payments	$	142,929

INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2017

Income Tax Disclosure [Abstract]

Schedule of income taxes

The Company’s loss before income taxes from US and Foreign sources for the years ended December 31, 2017 and 2016, are as follows:

	2017			2016
United States	$	(15,488,668	)	$	(8,701,796	)
Outside United States		(1,964,180	)		(1,146,661	)
Loss before income taxes	$	(17,452,848	)	$	(9,848,457	)

Schedule of reconciliation from the U.S. Federal statutory income rate

	2017			2016

US Federal Statutory Tax Rate		34.00	%		34.00	%
State taxes		3.63	%		3.63	%
Permanent items		(5.94	%)		35.71	%
Amortization of Discount - APIC		2.04	%		—
NOL True-Ups		(2.78	%)		—
Change in tax rates		(23.88	%)		—
Change in valuation allowance		(7.07	%)		(73.34	%)

		0.00	%		0.00	%

Schedule of components of deferred tax assets and liabilities

The tax effects of temporary differences that give rise to deferred tax assets and liabilities as of December 31, 2017 and 2016 are summarized as follows:

	2017			2016
Deferred Tax Assets
Net Operating Loss	$	4,305,729		$	2,669,107
Stock Options		5,276,885			5,655,810
Charitable Contributions		1,267			290,528
Basis Difference in Intangible Assets		39,125
Accrued Payroll		97,127
Debt issuance costs		—			1,882
Valuation Allowance		(9,559,975	)		(8,463,727	)
Total Deferred Tax Asset		160,158			153,600

Debt Discounts		(115,553	)		(60,524	)
Debt Issuance Costs		(42,667	)		(91,451	)
Basis Difference Fixed Assets		(1,938	)		(1,625	)
Total Deferred Tax Liability		(160,158	)		(153,600	)

Net Deferred Tax Asset	$	—		$	—

FAIR VALUE MEASUREMENTS (Tables)

12 Months Ended

Dec. 31, 2017

Fair Value Disclosures [Abstract]

Schedule of assets and liabilities measured at fair value on a recurring basis

The Company’s financial liabilities as of December 31 that are measured at fair value on a recurring basis were as follows:


	Level 1		Level 2		Level 3
2017
Derivative instruments (included in current liabilities)		—		—		—
2016
Derivative instruments (included in current liabilities)		—		—		18,056,631

Schedule of non-financial assets measured at fair value

	Level 1		Level 2		Level 3
Property and equipment:		—		100,339		—
Current assets		311,867		—		—
Accounts payables and other current liabilities		914,218		—		—
Intangible assets		112,408		—		2,401.208
Goodwill		—		—		6,569,354

SEGMENT INFORMATION (Tables)

12 Months Ended

Dec. 31, 2017

Segment Reporting [Abstract]

Schedule of geographic region

	Year Ended December 31,
	2017			2016
Net Revenues:
North America	$	518,023		$	450,781
South America		394,320			348,335
Africa		1,391,263			1,130,822
		2,303,606			1,929,938

Identity Management		1,909,286			1,581,603
Payment Processing		394,320			348,335
		2,303,606			1,929,938

Loss From Operations
North America		(2,672,161	)		(2,973,328	)
South America		(8,300,968	)		(7,426,341	)
Africa		(1,035,987	)		(3,167,804
		(12,009,115	)		(13,567,473	)

Identity Management		(3,708,147	)		(6,141,132	)
Payment Processing		(8,300,968	)		(7,426,341	)
		(12,009,115	)		(13,567,473	)

Gain (loss) on derivative liability		(4,106,652	)		7,345,000
Interest expense		(1,337,081	)		(3,625,984	)

Loss before income taxes		(17,452,848	)		(9,848,457	)

Income tax expense		28,781			2,946

Net Loss	$	(17,481,629	)	$	(9,851,403	)

DESCRIPTION OF BUSINESS AMD SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - shares	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Number of shares	151,372,874	191,207,040
10% Convertible Notes Due June 2017 [Member]
Number of shares		53,143,343
Employee Stock Option [Member]
Number of shares	103,208,331	86,925,000
Warrant [Member]
Number of shares	48,164,543	51,138,697

DESCRIPTION OF BUSINESS AMD SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative)	12 Months Ended
	Dec. 31, 2017 USD ($) Kiosk	Dec. 31, 2016 USD ($)
Cash, FDIC insured amount	$ 250,000
Cash, FDIC uninsured amount	38,561,000
Revenue	2,303,606	$ 1,929,938
Accumulated deficit	(66,407,622)	(48,925,993)
Loss from operations	(12,009,115)	(13,567,473)
Impairment of long lived assets	216,000	$ 225,000
Inventory valuation allowance	$ 353,000
Direct Financing Lease Arrangements [Member]
Number of kiosks \| Kiosk	78
Direct financing lease, imputed interest rate	0.107
12% Note Due January 2017 [Member]
Fair value of notes payable	$ 3,000,000
Fair value difference	$ 2,375,720
Minimum [Member]
Property and equipment, estimated useful life	3 years
Maximum [Member]
Property and equipment, estimated useful life	5 years
COLOMBIA [Member]
Cash held by acquiry	$ 124,000
COLOMBIA [Member] \| Revenues [Member] \| Customer [Member]
Percentage of concentration risk	17.00%	18.00%
COLOMBIA [Member] \| Revenues [Member] \| Three Customers [Member]
Percentage of concentration risk	97.00%	68.00%
COLOMBIA [Member] \| Accounts Receivable [Member] \| Customer [Member]
Percentage of concentration risk	16.00%	36.00%
South Africa [Member]
Cash held by acquiry	$ 173,000
South Africa [Member] \| Revenues [Member] \| Customer [Member]
Percentage of concentration risk	60.00%	59.00%
South Africa [Member] \| Accounts Receivable [Member] \| Customer [Member]
Percentage of concentration risk	84.00%	64.00%
United States [Member] \| Revenues [Member] \| Customer [Member]
Percentage of concentration risk	22.00%	23.00%

ACQUISITIONS (Details) - USD ($)	12 Months Ended
ACQUISITIONS (Details) - USD ($)	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Goodwill	$ 6,736,043	$ 6,736,043	$ 166,689
Fin Holdings, Inc. [Member]
Common stock consideration	9,000,000
Liabilities assumed	914,218
Total purchase consideration	9,914,218
Current assets	(843,317)
Property and equipment	(100,339)
Customer relationships	(1,587,159)
Intellectual property	(814,049)
Goodwill	$ 6,736,043

ACQUISITIONS (Details 1) - Fin Holdings, Inc. [Member]	12 Months Ended
ACQUISITIONS (Details 1) - Fin Holdings, Inc. [Member]	Dec. 31, 2016 USD ($)
Proforma net revenue	$ 2,051,494
Proforma net loss	$ (9,858,944)

ACQUISITIONS (Details 2) - USD ($)	12 Months Ended
ACQUISITIONS (Details 2) - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Goodwill [Roll Forward]
Balance at beginning	$ 6,736,043	$ 166,689
Acquisition of FIN Holdings		6,569,354
Balance at end	$ 6,736,043	$ 6,736,043

ACQUISITIONS (Details Narrative) - USD ($)		12 Months Ended
ACQUISITIONS (Details Narrative) - USD ($)	Feb. 08, 2017	Dec. 31, 2017	Dec. 31, 2016	Feb. 08, 2016
Revenue		$ 2,303,606	$ 1,929,938
Loss from operations		(12,009,115)	(13,567,473)
Fin Holdings, Inc. [Member]
Revenue		1,909,000	1,583,000
Loss from operations		$ 320,000	$ 242,000
Fin Holdings, Inc. [Member] \| Chief Operating Officer [Member]
Percentage of common stock acquired				1.70%
Share Exchange Agreement [Member] \| Fin Holdings, Inc. [Member]
Percentage of common stock acquired				100.00%
Number of shares issued	22,500,000
Share issued price per share				$ 0.40
Value for number of shares issued				$ 9,000,000

PROPERTY AND EQUIPMENT, NET (Details) - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 336,218	$ 302,128
Less Accumulated depreciation	126,499	186,446
Property and equipment, net	209,719	115,682
Property Equipment [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	179,351	302,128
Equipment Under Capital Lease [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 156,867

PROPERTY AND EQUIPMENT, NET (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Property, Plant and Equipment [Abstract]
Depreciation expense	$ 82,616	$ 38,843

OTHER ASSETS (Details) - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Other Assets Details
Software and development	$ 1,139,409	$ 358,343
Other	104,122
Other assets	$ 1,243,531	$ 358,343

INTANGIBLE ASSETS, NET (OTHER THAN GOODWILL) (Details) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Finite-Lived Intangible Assets [Line Items]
Carrying Value at beginning	$ 3,474,291	$ 1,436,534
Additions	9,246	2,420,408
Write off of assets	(212,862)
Amortization	(392,595)	(382,651)
Carrying Value at end	$ 2,878,080	3,474,291
Customer Relationships [Member]
Finite-Lived Intangible Assets [Line Items]
Useful Lives	10 years
Carrying Value at beginning	$ 1,446,166
Additions		1,587,159
Write off of assets
Amortization	(158,716)	(140,993)
Carrying Value at end	$ 1,287,450	1,446,166
Intellectual Property [Member]
Finite-Lived Intangible Assets [Line Items]
Useful Lives	10 years
Carrying Value at beginning	$ 2,000,858	1,423,504
Additions		814,049
Write off of assets	(212,862)
Amortization	(231,062)	(236,695)
Carrying Value at end	$ 1,556,934	2,000,858
Non-Compete [Member]
Finite-Lived Intangible Assets [Line Items]
Useful Lives	5 years
Carrying Value at beginning	$ 8,067	13,030
Additions
Write off of assets
Amortization	(2,817)	(4,963)
Carrying Value at end	5,250	8,067
Patents Pending [Member]
Finite-Lived Intangible Assets [Line Items]
Carrying Value at beginning	19,200
Additions	9,246	19,200
Write off of assets
Amortization
Carrying Value at end	$ 28,446	$ 19,200

INTANGIBLE ASSETS, NET (OTHER THAN GOODWILL) (Details 1) - USD ($)	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Finite-Lived Intangible Assets [Line Items]
Cost	$ 3,776,253	$ 4,065,092
Accumulated amortization	(898,173)	(590,801)
Carrying Value	2,878,080	3,474,291	$ 1,436,534
Customer Relationships [Member]
Finite-Lived Intangible Assets [Line Items]
Cost	1,587,159	1,587,159
Accumulated amortization	(299,709)	(140,993)
Carrying Value	1,287,450	1,446,166
Intellectual Property [Member]
Finite-Lived Intangible Assets [Line Items]
Cost	2,146,561	2,444,646
Accumulated amortization	(589,627)	(443,788)
Carrying Value	1,556,934	2,000,858	1,423,504
Non-Compete [Member]
Finite-Lived Intangible Assets [Line Items]
Cost	14,087	14,087
Accumulated amortization	(8,837)	(6,020)
Carrying Value	5,250	8,067	13,030
Patents Pending [Member]
Finite-Lived Intangible Assets [Line Items]
Cost	2,844	19,200
Accumulated amortization
Carrying Value	$ 28,446	$ 19,200

INTANGIBLE ASSETS, NET (OTHER THAN GOODWILL) (Details 2) - USD ($)	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
2018	$ 373,638
2019	373,252
2020	366,313
2021	364,498
2022	355,008
Thereafter	1,045,371
Carrying Value	$ 2,878,080	$ 3,474,291	$ 1,436,534

ACCOUNTS PAYABLE AND ACCRUED EXPENSES (Details) - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Payables and Accruals [Abstract]
Trade payables	$ 232,842	$ 341,002
Accrued interest	275,000	600,624
Accrued payroll and related	468,012	421,771
Other	471,331	324,503
Total	$ 1,447,185	$ 1,687,900

NOTES PAYABLE, NET (Details) - USD ($)	Dec. 31, 2017	Jan. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Short-term Debt [Line Items]
Total Principal Outstanding	$ 3,000,000		$ 3,497,819	$ 2,196,669
Less Current Maturities			(109,819)
Notes Payable, Gross	3,000,000		3,388,000
Unamortized Deferred Discounts	(455,935)		(159,375)	(1,193,947)
Unamortized Debt Issuance Costs	(168,345)		(177,022)	$ (368,653)
Notes Payable, net of current maturities	2,375,720		3,051,603
15.47% Promissory Note [Member]
Short-term Debt [Line Items]
Total Principal Outstanding			46,210
12% Promissory Notes Due in January 2017 [Member]
Short-term Debt [Line Items]
Total Principal Outstanding			13,609
12% Note Due September 2017 [Member]
Short-term Debt [Line Items]
Total Principal Outstanding			963,000
12% Note Due October 2017 [Member]
Short-term Debt [Line Items]
Total Principal Outstanding			225,000
12% Note Due October 2017 [Member]
Short-term Debt [Line Items]
Total Principal Outstanding			25,000
12% Note Due December 2017 [Member]
Short-term Debt [Line Items]
Total Principal Outstanding			850,000
12% Note Due January 2017 [Member]
Short-term Debt [Line Items]
Total Principal Outstanding			100,000
12% Note Due August 2016 [Member]
Short-term Debt [Line Items]
Total Principal Outstanding
10% Promissory notes [Member]
Short-term Debt [Line Items]
Total Principal Outstanding			1,275,000
Unamortized Deferred Discounts			166,304
Senior unsecured note [Member]
Short-term Debt [Line Items]
Total Principal Outstanding	$ 3,000,000
Unamortized Deferred Discounts		$ 841,727

NOTES PAYABLE, Net (Details 1) - USD ($)	12 Months Ended
NOTES PAYABLE, Net (Details 1) - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Principal Balance
Balance at beginning	$ 3,497,819	$ 2,196,669
New issuances	3,000,000	1,388,609
Payments/Conversions	(3,497,819)	(87,459)
Amortization
Balance at end	3,000,000	3,497,819
Debt Issuance Costs
Balance at beginning	(177,022)	(368,653)
New issuances	(310,790)	(260,719)
Payments/Conversions
Amortization	319,467	452,350
Balance at end	(168,345)	(177,022)
Debt Discounts
Balance at beginning	(159,375)	(1,193,947)
New issuances	(841,727)	(233,134)
Payments/Conversions
Amortization	545,167	1,267,706
Balance at end	(455,935)	(159,375)
Total
Balance at beginning	3,161,422	634,069
New issuances	1,847,483	894,756
Payments/Conversions	(3,497,819)	(87,459)
Amortization	864,634	1,720,056
Balance at end	$ 2,375,720	$ 3,161,422

NOTES PAYABLE, Net (Details 2)	Dec. 31, 2017 USD ($)
Notes Payable Net Details 2
2018
2019	3,000,000
Total future maturities of notes payable	$ 3,000,000

NOTES PAYABLE, NET (Details Narrative)			1 Months Ended								12 Months Ended
NOTES PAYABLE, NET (Details Narrative)	Feb. 22, 2017 USD ($) shares	Nov. 30, 2016 USD ($) shares	Nov. 30, 2017 USD ($)	Jan. 31, 2017 USD ($) $ / shares shares	Dec. 31, 2016 USD ($) shares	Jan. 31, 2016 $ / shares shares	Dec. 31, 2015 USD ($) $ / shares shares	Nov. 30, 2015 USD ($) $ / shares shares	Oct. 31, 2015 USD ($) $ / shares shares	Sep. 30, 2015 USD ($) $ / shares shares	Dec. 31, 2017 USD ($) Number	Dec. 31, 2016 USD ($) shares
Short-term Debt [Line Items]
Total Principal Outstanding					$ 3,497,819		$ 2,196,669				$ 3,000,000	$ 3,497,819
Debt discount					(159,375)		(1,193,947)				(455,935)	(159,375)
Debt issuance costs					222,815							222,815
Fair value of shares issued												(120,242)
Value of shares issued on conversion												$ 358,411
Number of shares issued on conversion \| shares												704,074
Gain on extinguishment of notes payable											2,802,234
Loss on modification of derivatives											(319,770)
Loss on modification of warrant											(158,327)
Loss on modification of debt											$ (5,978,643)
Common stock issues shares \| shares												2,966,251
15.47% Promissory Note [Member]
Short-term Debt [Line Items]
Number of notes issued \| Number											3
Total Principal Outstanding					46,210							$ 46,210
Amount of principal and interest payment											$ 6,300
Interest rate											15.47%
12% Note Due September 2017 [Member]
Short-term Debt [Line Items]
Face amount										$ 973,000
Total Principal Outstanding					963,000							963,000
Interest rate										12.00%
Description of collateral										<p style="margin: 0pt"><font style="font: 10pt Times New Roman, Times, Serif">The notes are secured by the assets of the Company.</font></p>
Conversion price (in dollars per share) \| $ / shares										$ 0.10
Debt issuance costs										$ 77,840
12% Note Due October 2017 [Member]
Short-term Debt [Line Items]
Face amount									$ 225,000
Total Principal Outstanding					225,000							225,000
Interest rate									12.00%
Description of collateral									<p style="margin: 0pt"><font style="font: 10pt Times New Roman, Times, Serif">The notes are secured by the assets of the Company.</font></p>
Conversion price (in dollars per share) \| $ / shares									$ 0.10
Debt issuance costs									$ 36,400
12% Note Due October 2017 [Member]
Short-term Debt [Line Items]
Face amount								$ 25,000
Total Principal Outstanding					25,000							25,000
Interest rate								12.00%
Description of collateral								<p style="margin: 0pt"><font style="font: 10pt Times New Roman, Times, Serif">The notes is secured by the assets of the Company.</font></p>
Conversion price (in dollars per share) \| $ / shares								$ 0.10
Debt issuance costs								$ 94,400
12% Note Due December 2017 [Member]
Short-term Debt [Line Items]
Face amount							$ 850,000
Total Principal Outstanding					850,000							850,000
Interest rate							12.00%
Description of collateral							<p style="margin: 0pt"><font style="font: 10pt Times New Roman, Times, Serif">The notes were secured by the assets of the Company.</font></p>
Conversion price (in dollars per share) \| $ / shares							$ 0.48
Debt issuance costs							$ 165,300
12% Note Due January 2017 [Member]
Short-term Debt [Line Items]
Total Principal Outstanding					100,000							100,000
Interest rate						12.00%
Description of collateral						<p style="margin: 0pt"><font style="font: 10pt Times New Roman, Times, Serif">These notes are secured by the assets of the Company.</font></p>
Conversion price (in dollars per share) \| $ / shares						$ 0.48
10% Promissory Notes [Member]
Short-term Debt [Line Items]
Total Principal Outstanding					1,275,000							1,275,000
Debt discount					166,304							166,304
Debt issuance costs					212,427							212,427
Amortized debt issuance costs					$ 184,719							$ 184,719
Description interest rate					<p style="margin: 0pt"><font style="font: 10pt Times New Roman, Times, Serif">Payable one year from the date of issuance and bear interest of 10% per annum for the initial six months of the term of the Notes and 15% per annum for the remaining six months of the term of the Notes. </font></p>
Interest rate					10.00%							10.00%
Fair value of shares issued					$ 191,250
Warrant term					1 year
Common stock issues shares \| shares					1,912,500
Senior Unsecured Note [Member]
Short-term Debt [Line Items]
Face amount				$ 3,000,000
Total Principal Outstanding											3,000,000
Debt discount				841,727
Debt issuance costs				312,000
Debt issuance costs consisting shares value				$ 120,000
Debt issuance costs consisting shares \| shares				1,020,000
Amortized debt issuance costs				$ 310,790
Fair value of shares issued				$ 1,170,000
Warrant term				2 years
Common stock issues shares \| shares				4,500,000
12% Promissory Notes Due in January 2017 [Member]
Short-term Debt [Line Items]
Face amount		$ 13,609
Total Principal Outstanding					$ 13,609							$ 13,609
Interest rate		12.00%
Number of common shares purchased \| shares		20,414
Fair value of shares issued		$ 2,041	$ 2,041
Common stock issues shares \| shares		20,414
Warrant [Member] \| 12% Note Due September 2017 [Member]
Short-term Debt [Line Items]
Number of common shares purchased \| shares										6,486,667
Exercise price (in dollars per share) \| $ / shares										$ 0.15
Warrant term										5 years
Warrant [Member] \| 12% Note Due October 2017 [Member]
Short-term Debt [Line Items]
Number of common shares purchased \| shares									1,500,000
Exercise price (in dollars per share) \| $ / shares									$ 0.15
Warrant term									5 years
Warrant [Member] \| 12% Note Due October 2017 [Member]
Short-term Debt [Line Items]
Number of common shares purchased \| shares								166,667
Exercise price (in dollars per share) \| $ / shares								$ 0.15
Warrant term								5 years
Warrant [Member] \| 12% Note Due December 2017 [Member]
Short-term Debt [Line Items]
Number of common shares purchased \| shares							1,770,834
Exercise price (in dollars per share) \| $ / shares							$ 0.48
Warrant term							5 years
Warrant [Member] \| 12% Note Due January 2017 [Member]
Short-term Debt [Line Items]
Number of common shares purchased \| shares						208,332
Exercise price (in dollars per share) \| $ / shares						$ 0.48
Warrant term						5 years
Conversion Agreements [Member]
Short-term Debt [Line Items]
Face amount	$ 300,000
Debt accrued interest	$ 31,000
Number of cancellation shares \| shares	2,500,000
Value of cancellation shares	$ 300,000
Gain on settlement of debt	$ 2,800,000
Loss on modification of derivatives											300,000
Loss on modification of warrant											200,000
Loss on modification of debt											$ 6,000,000
Conversion Agreements [Member] \| Several Accredited Investors (the "Investors") [Member]
Short-term Debt [Line Items]
Conversion price (in dollars per share) \| $ / shares				$ 0.10
Exercise price (in dollars per share) \| $ / shares				$ 0.10
Value of shares issued on conversion				$ 6,331,000
Number of shares issued on conversion \| shares				84,822,006
Fair value of notes payable				$ 21,610,000
Conversion Agreements [Member] \| Warrant [Member]
Short-term Debt [Line Items]
Number of cancellation shares \| shares	3,600,000

CONVERTIBLE NOTES PAYABLE, NET (Details) - USD ($)	Dec. 31, 2016	Dec. 31, 2015
Short-term Debt [Line Items]
Total Principal Outstanding	$ 2,568,095	$ 1,038,095
Less Current Maturities	(250,000)
Convertible Notes Payable, Gross	2,318,095
Unamortized Deferred Discounts	(6,466)	(583,049)
Unamortized Debt Issuance Costs	(66,033)	$ (71,700)
Notes Payable, Net	2,245,596
10% Convertible Notes Due June 2017 [Member]
Short-term Debt [Line Items]
Total Principal Outstanding	680,000
10% Convertible Notes Due July 2017 [Member]
Short-term Debt [Line Items]
Total Principal Outstanding	166,000
12% Convertible Notes Due September 2017 [Member]
Short-term Debt [Line Items]
Total Principal Outstanding	172,095
12% Convertible Notes Due October 2017 [Member]
Short-term Debt [Line Items]
Total Principal Outstanding	$ 1,550,000

CONVERTIBLE NOTES PAYABLE, NET (Details 1) - USD ($)	12 Months Ended
CONVERTIBLE NOTES PAYABLE, NET (Details 1) - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Principal Balance
Balance at beginning	$ 2,568,095	$ 1,038,095
New issuances		1,550,000
Conversions	(2,568,095)	(20,000)
Amortization
Balance at end		2,568,095
Debt Issuance Costs
Balance at beginning	(66,033)	(71,700)
New issuances		(226,400)
Conversions
Amortization	66,033	232,067
Balance at end		(66,033)
Debt Discounts
Balance at beginning	(6,466)	(583,049)
New issuances		(636,373)
Conversions
Amortization	6,466	1,212,956
Balance at end		(6,466)
Total
Balance at beginning	2,495,596	383,346
New issuances		(687,227)
Conversions	(2,568,095)	(20,000)
Amortization	72,499	1,445,023
Balance at end		$ 2,495,596

CONVERTIBLE NOTES PAYABLE, NET (Details Narrative) - USD ($)	1 Months Ended				12 Months Ended
	Apr. 30, 2016	Feb. 29, 2016	Jul. 31, 2015	Jun. 30, 2015	Dec. 31, 2016	Aug. 31, 2017
Short-term Debt [Line Items]
Debt issuance costs					$ 222,815
Number of shares issued					2,966,251
Number of shares issued on conversion					704,074
Common Stock [Member]
Short-term Debt [Line Items]
Number of shares issued					2,000,000
10% Convertible Notes Due June 2017 [Member]
Short-term Debt [Line Items]
Principal amount				$ 700,000
Interest rate				10.00%
Description of collateral				<p><font style="font: 10pt Times New Roman, Times, Serif">The notes are secured by the assets of the Company.</font></p>
Conversion price (in dollars per share)				$ 0.03
Debt issuance costs				$ 124,000
Debt accrued interest					$ 21,222
Number of shares issued on conversion					704,074
10% Convertible Notes Due June 2017 [Member] \| Warrant [Member]
Short-term Debt [Line Items]
Number of common shares purchased				15,400,000
Exercise price (in dollars per share)				$ 0.05
Warrant term				5 years
10% Convertible Notes Due July 2017 [Member]
Short-term Debt [Line Items]
Principal amount			$ 190,000
Interest rate			10.00%
Description of collateral			<p><font style="font: 10pt Times New Roman, Times, Serif">The note are secured by the assets of the Company.</font></p>
Conversion price (in dollars per share)			$ 0.03
Debt issuance costs			$ 16,200
10% Convertible Notes Due July 2017 [Member] \| Warrant [Member]
Short-term Debt [Line Items]
Number of common shares purchased			4,180,000
Exercise price (in dollars per share)			$ 0.05
Warrant term			5 years
12% Convertible Notes Due September 2017 [Member]
Short-term Debt [Line Items]
Principal amount		$ 172,095
Interest rate		12.00%
Description of collateral		<p><font style="font: 10pt Times New Roman, Times, Serif">The note is secured by the assets of the Company.</font></p>
Conversion price (in dollars per share)		$ 0.10
12% Convertible Notes Due September 2017 [Member] \| Warrant [Member]
Short-term Debt [Line Items]
Number of common shares purchased		1,146,667
Exercise price (in dollars per share)		$ 0.15
Warrant term		5 years
12% Convertible Notes Due October 2017 [Member]
Short-term Debt [Line Items]
Principal amount	$ 1,550,000
Interest rate	12.00%
Description of collateral	<p><font style="font: 10pt Times New Roman, Times, Serif">The notes are secured by the assets of the Company.</font></p>
Conversion price (in dollars per share)	$ 0.25
Debt issuance costs	$ 226,400
12% Convertible Notes Due October 2017 [Member] \| Warrant [Member]
Short-term Debt [Line Items]
Number of common shares purchased	6,200,000
Exercise price (in dollars per share)	$ 0.25
Warrant term	5 years
12% Convertible Notes Due October 2017 [Member] \| Warrant [Member] \| Letter Agreement [Member] \| Several Accredited Investors (the "Investors") [Member]
Short-term Debt [Line Items]
Number of common shares purchased						15,500,000
Exercise price (in dollars per share)						$ 0.10
12% Convertible Notes Due October 2017 [Member] \| Common Stock [Member]
Short-term Debt [Line Items]
Number of shares issued	1,033,337

DERIVATIVE LIABILITY (Details)	12 Months Ended
DERIVATIVE LIABILITY (Details)	Dec. 31, 2017	Dec. 31, 2016
Dividend Rate	0.00%	0.00%
Minimum [Member]
Expected Volatility	19.00%	19.00%
Expected Term	0 years	0 years
Risk Free Rate	0.036%	0.036%
Triggering Capital Raise Probabilities	50.00%	50.00%
Maximum [Member]
Expected Volatility	87.00%	87.00%
Expected Term	5 years	5 years
Risk Free Rate	1.93%	1.93%
Triggering Capital Raise Probabilities	75.00%	75.00%

DERIVATIVE LIABILITY (Details 1) - USD ($)	12 Months Ended
DERIVATIVE LIABILITY (Details 1) - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Balance at beginning	$ 8,388,355	$ 25,445,645
New issuances		648,836
Conversion feature reclassified to equity upon conversion of related notes payable		(692,850)
Modification of derivatives	319,770
Cancellation of warrants previously accounted for as derivative liabilities and elimination of derivative conversion features resulting from conversion of related party debt to equity	(11,213,573)
Reclassification of derivatives to equity upon removal of price protection in warrants	(7,614,974)
Change in fair value	452,146	(7,345,000)
Balance at ending		$ 8,388,355

DERIVATIVE LIABILITY (Details Narrative) - Conversion Agreements [Member] - USD ($)	Feb. 22, 2017	Jan. 31, 2017
Debt accrued interest	$ 31,000
Number of cancellation shares	2,500,000
Number of cancellation shares, value	$ 300,000
Face amount	$ 300,000
Warrant [Member]
Number of cancellation shares	3,600,000
Several Accredited Investor [Member]
Share price		$ 0.10
Several Accredited Investor [Member] \| Minimum [Member]
Conversion price		$ 0.10

RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($)							1 Months Ended				3 Months Ended	12 Months Ended
	Sep. 13, 2017	Sep. 01, 2017	Mar. 22, 2017	Jan. 31, 2017	Nov. 30, 2016	Aug. 10, 2016	Nov. 30, 2017	Feb. 28, 2017	Jan. 31, 2017	Aug. 26, 2016	Sep. 30, 2017	Dec. 31, 2017	Dec. 31, 2016	Mar. 31, 2017	Feb. 22, 2017	Feb. 08, 2016
Fair value of shares issued													$ (120,242)
Number of shares issued on conversion													704,074
Number of shares issued													2,966,251
Number of shares issued for brokerage												594,000
New Office Facilities [Member] \| Long Beach, New York [Member]
Additional monthly rental payments								$ 4,500				$ 7,425
Common Stock [Member]
Fair value of shares issued													$ 200
Number of shares issued													2,000,000
Number of shares issued for brokerage												593,557	969,654
Network 1 Financial Securities, Inc. [Member]
Cash fee												$ 710,000
Number of shares issued												38,461,500
Number of shares issued for brokerage												4,450,000
Commission rate												8.00%
Network 1 Financial Securities, Inc. [Member] \| Common Stock [Member]
Number of shares issued												2,200,000
Network 1 Financial Securities, Inc. [Member] \| Warrant [Member]
Number of shares issued												1,153,846
Warrant term												5 years
Stock issued price per share (in dollars per share)												$ 0.143
Bridgeworks LLC [Member]
Lease expenses												$ 71,950
Mr. Philip D. Beck [Member]
Consulting services												$ 34,964
Chief Operating Officer [Member] \| Fin Holdings, Inc. [Member]
Percentage of common stock owned																1.70%
Board of Director [Member]
Amount due to related parties													$ 190,000
Conversion Agreements [Member]
Face amount															$ 300,000
Conversion Agreements [Member] \| Herbert Selzer [Member]
Total debt				$ 150,000					$ 150,000
Number of shares issued on conversion				1,753,500
Conversion Agreements [Member] \| Vista Associates [Member]
Total debt				$ 40,000					40,000
Number of shares issued on conversion				1,537,778
Subscription Agreements [Member] \| Herbert Selzer [Member]
Additional number of shares issued														500,000
Subscription Agreements [Member] \| Mr. Theodore Stern [Member]
Additional number of shares issued												2,000,000
Subscription Agreements [Member] \| Network 1 Financial Securities, Inc. [Member]
Cash fee			$ 240,000
Number of shares issued			1,000,000							2,000,000
Confidential Settlement Agreement and General Release [Member] \| Mr. Douglas Solomon [Member]
Professional fees	$ 8,048.13
Number of shares vested		20,000,000
Agency Agreement [Member] \| Mr. Douglas Solomon [Member]
Professional fees											$ 13,028
Description of non-exclusive sales agency	<p style="margin-top: 0pt; margin-bottom: 0pt"><font style="font: 10pt Times New Roman, Times, Serif">A non-exclusive sales agent for the Company’s products on an as needed basis for a term of three years in consideration of sales commissions including a monthly non-refundable minimum commission to be paid for 24 months.</font></p>
Securities Purchase Agreements [Member] \| Network 1 Financial Securities, Inc. [Member]
Cash fee												$ 364,000
Amended Agreement [Member] \| Parity Labs LLC [Member]
Number of shares issued						20,000,000
Exercise price (in dollars per share)						$ 0.05
Vesting term						10 years
12% Promissory Notes Due in January 2017 [Member]
Face amount					$ 13,609
Fair value of shares issued					$ 2,041		$ 2,041
Number of shares issued					20,414
Senior Unsecured Note [Member]
Face amount				$ 3,000,000					3,000,000
Fair value of shares issued									$ 1,170,000
Number of shares issued									4,500,000
Loan interest expense									$ 275,000

STOCKHOLDER' DEFICIT (Details) - Warrant [Member] - $ / shares	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward]
Outstanding at beginning	51,138,697	35,171,744
Granted	1,153,846	15,966,953
Cancelled	(4,128,000)
Outstanding at ending	48,164,543	51,138,697
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Weighted Average Exercise Price [Roll Forward]
Outstanding at beginning	$ 0.11	$ 0.10
Granted	0.14	0.11
Cancelled	0.08
Outstanding at ending	$ 0.08	$ 0.11
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Weighted Average Remaining Life [Roll Forward]
Outstanding at beginning	2 years 9 months 18 days
Granted	5 years
Outstanding at end	2 years 10 months 24 days	2 years 9 months 18 days

STOCKHOLDER' DEFICIT (Details 1)	12 Months Ended
STOCKHOLDER' DEFICIT (Details 1)	Dec. 31, 2017	Dec. 31, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Dividend Rate	0.00%	0.00%
Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected Volatility	79.00%	79.00%
Expected Term	2 years 6 months	2 years 6 months
Risk Free Rate	1.16%	1.16%
Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected Volatility	93.00%	93.00%
Expected Term	5 years 10 months 24 days	5 years 10 months 24 days
Risk Free Rate	1.49%	1.49%

STOCKHOLDER' DEFICIT (Details 2) - USD ($)	1 Months Ended	12 Months Ended
STOCKHOLDER' DEFICIT (Details 2) - USD ($)	Oct. 31, 2016	Dec. 31, 2017	Dec. 31, 2016
Number of Shares [Roll Forward]
Outstanding at beginning		86,925,000	47,800,000
Granted		21,250,000	40,000,000
Forfeited	(875,000)	(4,966,669)	(875,000)
Outstanding at end		103,208,331	86,925,000
Exercisable at end		81,787,506
Weighted Average Exercise Price [Roll Forward]
Outstanding at beginning		$ 0.21	$ 0.32
Granted		0.11	0.32
Forfeited	$ 0.10	0.08	0.07
Outstanding at end		0.19	$ 0.21
Exercisable at end		$ 0.22
Weighted Average Contractual Term [Roll Forward]
Outstanding at beginning		9 years 6 months	8 years 8 months 12 days
Granted		10 years	10 years
Outstanding at end		8 years 3 months 18 days	9 years 6 months
Exercisable at end		8 years 2 months 12 days
Aggregate Intrinsic Value [Roll Forward]
Outstanding at beginning		$ 10,023,400	$ 7,698,650
Granted		2,868,750	7,475,000
Outstanding at end		11,457,291	$ 10,023,400
Exercisable at end		$ 3,316,208

STOCKHOLDER' DEFICIT (Details 3)	12 Months Ended
STOCKHOLDER' DEFICIT (Details 3)	Dec. 31, 2017 shares
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Outstanding	103,208,331
Weighted Average Contractual Life	8 years 3 months 18 days
Exercisable	81,787,506
Exercise Price $0.0001 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Outstanding	3,500,000
Weighted Average Contractual Life	7 years 9 months 18 days
Exercisable	3,500,000
Exercise Price $0.05 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Outstanding	33,450,000
Weighted Average Contractual Life	8 years 7 months 6 days
Exercisable	25,020,838
Exercise Price $0.10 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Outstanding	27,250,000
Weighted Average Contractual Life	8 years 9 months 18 days
Exercisable	16,833,336
Exercise Price $0.13 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Outstanding	250,000
Weighted Average Contractual Life	9 years 9 months 18 days
Exercisable
Exercise Price $0.15 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Outstanding	5,258,331
Weighted Average Contractual Life	7 years 7 months 6 days
Exercisable	4,258,332
Exercise Price $0.25 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Outstanding	500,000
Weighted Average Contractual Life	8 years 3 months 18 days
Exercisable	300,000
Exercise Price $0.29 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Outstanding	1,000,000
Weighted Average Contractual Life	9 years 3 months 18 days
Exercisable
Exercise Price $0.40 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Outstanding	1,000,000
Weighted Average Contractual Life	8 years 2 months 12 days
Exercisable	1,000,000
Exercise Price $0.45 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Outstanding	31,000,000
Weighted Average Contractual Life	7 years 9 months 18 days
Exercisable	30,875,000

STOCKHOLDER' DEFICIT (Details Narrative) - USD ($)					1 Months Ended		12 Months Ended
STOCKHOLDER' DEFICIT (Details Narrative) - USD ($)	Dec. 18, 2017	Mar. 22, 2017	Feb. 22, 2017	Jan. 31, 2017	Jan. 31, 2017	Aug. 26, 2016	Dec. 31, 2017	Dec. 31, 2016	Sep. 28, 2017	Aug. 31, 2016	Aug. 24, 2016
Common stock, authorized							1,000,000,000	500,000,000	500,000,000		300,000,000
Common stock, issued							403,311,988	234,704,655
Common stock, outstanding							403,311,988	234,704,655
Preferred stock, authorized							20,000,000
Number of shares issued								2,966,251
Fair value of shares issued								$ (120,242)
Number of shares issued on conversion								704,074
Number of shares issued for services							594,000
Number of shares issued for services, value							$ 140,151	$ 311,103
Number of shares issued for acquisition, value								9,000,000
Shares issued for services, value								311,103
Number of shares issued on conversion, value								21,222
Common stock issued in settlement of contingent liability								59,681
Debt issuance costs								$ 222,815
Common stock issued upon exercise of warrants							$ 26,400
Fin Holdings, Inc. [Member]
Number of shares issued for aquisition								22,500,000
Number of shares issued for acquisition, value								$ 9,000,000
Multipay S.A., a Colombian Corporation [Member]
Common stock issued in settlement of contingent liability								$ 59,681
Common stock issued in settlement of contingent liability (in shares)								260,537
Warrant [Member] \| Convertible Notes Payable [Member]
Warrant term							5 years
Number of common shares purchased								15,708,332
Warrant 1 [Member] \| Convertible Notes Payable [Member]
Number of common shares purchased								208,332
Exercise price (in dollars per share)								$ 0.48
Warrant 2 [Member] \| Convertible Notes Payable [Member]
Number of common shares purchased								15,500,000
Exercise price (in dollars per share)								$ 0.25		$ 0.10
Warrant 3 [Member] \| Convertible Notes Payable [Member]
Number of common shares purchased								258,621
Exercise price (in dollars per share)								$ 0.58
Network 1 Financial Securities, Inc. [Member]
Number of shares issued							38,461,500
Cash fee							$ 710,000
Number of shares issued for services							4,450,000
Network 1 Financial Securities, Inc. [Member] \| Warrant [Member]
Number of shares issued							1,153,846
Shares issued price per share (in dollars per share)							$ 0.143
Warrant term							5 years
Broker Dealer [Member]
Number of shares issued for services								4,450,000
Shares issued for services, value								$ 377,938
Investor [Member] \| Warrant [Member]
Exercise price (in dollars per share)							$ 0.05
Common stock issued upon exercise of warrants							$ 528,000
Common stock issued upon exercise of warrants (in shares)							26,400
Securities Purchase Agreement [Member] \| Accredited Investor [Member] \| 10% Senior Unsecured Note Due January 2019 [Member]
Number of shares issued				4,500,000
Fair value of shares issued				$ 3,000,000
Securities Purchase Agreement [Member] \| Network 1 Financial Securities, Inc. [Member]
Number of shares issued for services				1,200,000
Conversion Agreements [Member]
Cancellation of common stock			2,500,000
Value of cancellation shares			$ 300,000
Debt accrued interest			$ 31,000
Conversion Agreements [Member] \| Warrant [Member]
Cancellation of common stock			3,600,000
Conversion Agreements [Member] \| Several Accredited Investor [Member]
Number of shares issued on conversion				84,822,000
Share price				$ 0.10	$ 0.10
Conversion Agreements [Member] \| Several Accredited Investors (the "April 2016 Accredited Investors") [Member]
Number of shares issued on conversion					84,822,006
Exercise price (in dollars per share)				$ 0.10	$ 0.10
Subscription Agreements [Member]
Cancellation of common stock		2,500,000
Subscription Agreements [Member] \| Network 1 Financial Securities, Inc. [Member]
Number of shares issued		1,000,000				2,000,000
Cash fee		$ 240,000
Cancellation of common stock						10,000,000
Debt issuance costs						$ 120,242
Subscription Agreements [Member] \| Several Accredited Investors (the "March 2017 Accredited Investors") [Member]
Number of shares issued		20,000,000
Fair value of shares issued		$ 4,000,000
Subscription Agreements [Member] \| December 2017 Accredited Investors [Member]
Number of shares issued	38,464,000
Fair value of shares issued	$ 5,000,000
Cash fee	$ 350,000
Subscription Agreements [Member] \| December 2017 Accredited Investors [Member] \| Warrant [Member]
Number of shares issued	1,153,846
Shares issued price per share (in dollars per share)	$ 0.143
Warrant term	5 years
Fair value of shares issued	$ 181,154
Subscription Agreements [Member] \| Several Accredited Investors (the "April 2016 Accredited Investors") [Member]
Number of shares issued						25,000,000
Fair value of shares issued						$ 1,250,000

STOCKHOLDER' DEFICIT (Details Narrative 1) - USD ($)			1 Months Ended			12 Months Ended
STOCKHOLDER' DEFICIT (Details Narrative 1) - USD ($)	Jan. 31, 2017	Aug. 10, 2016	Oct. 31, 2016	Apr. 30, 2016	Mar. 31, 2016	Dec. 31, 2017	Dec. 31, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares issued							2,966,251
Number of options granted						21,250,000	40,000,000
Performance based shares			500,000
Number of forfeited shares			875,000			4,966,669	875,000
Forfeited exercise price (in dollars per share)			$ 0.10			$ 0.08	$ 0.07
Number of options exercisable						81,787,506
Exercise price of option (in dollars per share)						$ 0.22
Stock based compensation						$ 5,650,072	$ 8,648,212
Employees [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of options granted				2,500,000	2,500,000
Vesting term				5 years	5 years
Employees [Member] \| Tranche One [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of options exercisable				1,000,000	1,000,000
Exercise price of option (in dollars per share)				$ 0.45	$ 0.45
Vesting term				2 years	2 years
Employees [Member] \| Tranche Two[Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of options exercisable				1,000,000	1,000,000
Exercise price of option (in dollars per share)				$ 0.40	$ 0.40
Employees [Member] \| Tranche Three [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of options exercisable				500,000	500,000
Exercise price of option (in dollars per share)				$ 0.10	$ 0.10
Vesting term				2 years	2 years
Two Employee [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares issued	1,250,000
Amended Agreement [Member] \| Parity Labs LLC [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares issued		20,000,000
Cancellation of common stock		10,000,000
Exercise price (in dollars per share)		$ 0.05
Vesting term		10 years
Description Vesting period		<p style="font: 10pt Times New Roman, Times, Serif; margin-right: 0; margin-left: 0"><font style="font: 10pt Times New Roman, Times, Serif">12 equal tranches of 833,333 shares per month commencing on September 1, 2016.</font></p>
Restricted Stock Purchase Agreements [Member] \| Mr. Philip D. Beck [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares issued	15,000,000
Number of per share price	$ 0.0001
Exercise price (in dollars per share)	$ 0.10
Vesting term	10 years
Restricted Stock Purchase Agreements [Member] \| Mr. Stuart P. Stoller [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares issued	5,000,000
Number of per share price	$ 0.0001
Exercise price (in dollars per share)	$ 0.10
Vesting term	10 years
Equity Compensation Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Exercise price (in dollars per share)		$ 0.05
Number of options granted		17,000,000					50,300,000
Performance based shares		6,500,000
Additional compensation cost related to the extension							$ 516,000
Vesting term		10 years
Description Vesting period		<p style="margin: 0pt"><font style="font: 10pt Times New Roman, Times, Serif">The Plan Options contain vesting periods of 12 quarters commencing on October 1, 2016 as well as various vesting based on achieving certain performance milestones. The Plan Options are exercisable for a period of ten years.</font></p>
Equity Compensation Plan [Member] \| Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting term							5 years
Equity Compensation Plan [Member] \| Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting term							10 years
Employee Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation costs						2,187,000
Non Employee Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation costs						$ 881,000
2017 Incentive Stock Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares authorized						70,000,000
2014 Equity Compensation Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares authorized						25,000,000

DIRECT FINANCING LEASE (Details)	Dec. 31, 2017 USD ($)
Direct Financing Lease Details
2018	$ 122,145
2019	122,145
2020	122,145
2021	122,145
2022	122,145
Thereafter	407,175
Gross investment in lease	1,017,900
Less deferred revenue	(346,347)
Net investment in lease	$ 671,553

DIRECT FINANCING LEASE (Details Narrative)	1 Months Ended	12 Months Ended
DIRECT FINANCING LEASE (Details Narrative)	Sep. 30, 2016 USD ($) Number $ / Units	Dec. 31, 2017 USD ($)	Dec. 31, 2016 USD ($)
Lease monthly rental		$ 360,000	$ 230,000
Equipment under capital lease		748,000
Aggregate minimum future lease payments		1,422,000
Unearned income		474,000
Cash Collection Services (the "Contract") [Member] \| Recaudo Bogota S.A.S. [Member]
Number of kiosks \| Number	78
Lease contract term	10 years
Lease monthly rental	$ 11,856
Lease rent expense	142,272
Estimated executory costs	$ 1,677
Purchase price at the end of lease term (in dollars per unit) \| $ / Units	40
Revenues		$ 74,700	$ 52,500

LEASE OBLIGATION PAYABLE (Details)	Dec. 31, 2017 USD ($)
Lease Obligation Payable Details
2018	$ 43,096
2019	43,096
2020	43,096
2021	43,096
2022	10,776
Total minimum lease payments	183,160
Less: Amount representing interest	40,231
Present value of minimum lease payments	$ 142,929

LEASE OBLIGATION PAYABLE (Details Narrative)	12 Months Ended
LEASE OBLIGATION PAYABLE (Details Narrative)	Dec. 31, 2017 USD ($)
Lease Obligation Payable Details
Amortization of lease equipment	$ 26,614
Lease obligation interest rate	12.00%
Lease obligation maturity date	Mar. 31, 2022

INCOME TAXES (Details) - USD ($)	12 Months Ended
INCOME TAXES (Details) - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Loss before income taxes	$ (17,452,848)	$ (9,848,457)
United States [Member]
Loss before income taxes	(15,488,668)	(8,701,796)
Outside United States [Member]
Loss before income taxes	$ (1,964,180)	$ (1,146,661)

INCOME TAXES (Details 1)	12 Months Ended
INCOME TAXES (Details 1)	Dec. 31, 2017	Dec. 31, 2016
Income Tax Disclosure [Abstract]
US Federal Statutory Tax Rate	34.00%	34.00%
State taxes	3.63%	3.63%
Permanent items	(5.94%)	35.71%
Amortization of Discount - APIC	2.04%
NOL True-Ups	(2.78%)
Change in tax rates	(23.88%)
Change in valuation allowance	(7.07%)	(73.34%)
Totals	0.00%	0.00%

INCOME TAXES (Details 2) - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Deferred Tax Assets
Net operating loss	$ 4,305,729	$ 2,669,107
Stock Options	5,276,885	5,655,810
Charitable Contributions	1,267	290,528
Basis Difference in Intangible Assets	39,125
Accrued Payroll	97,127
Debt issuance costs		1,882
Valuation Allowance	(9,559,975)	(8,463,727)
Total Deferred Tax Assets	160,158	153,600
Debt Discounts	(115,553)	(60,524)
Debt Issuance Costs	(42,667)	(91,451)
Basis Difference Fixed Assets	(1,938)	(1,625)
Total Deferred Tax Liabilities	(160,158)	(153,600)
Net deferred tax assets

INCOME TAXES (Details Narrative) - USD ($)	12 Months Ended
INCOME TAXES (Details Narrative) - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Federal operating loss carryforwards	$ 14,500,000
State operating loss carryforwards	14,500,000
Valuation allowance	$ 9,559,975	$ 8,463,727
Revised federal income tax rate	21.00%
Corporate tax rate	35.00%
Outside United States [Member] \| Minimum [Member]
Expiration Year	2020
Outside United States [Member] \| Maximum [Member]
Expiration Year	2037

FAIR VALUE MEASUREMENTS (Details) - USD ($)	Dec. 31, 2016	Dec. 31, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative instruments (included in current liabilities)	$ 8,388,355	$ 25,445,645
Recurring Basis [Member] \| Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative instruments (included in current liabilities)
Recurring Basis [Member] \| Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative instruments (included in current liabilities)
Recurring Basis [Member] \| Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative instruments (included in current liabilities)	$ 18,056,631

FAIR VALUE MEASUREMENTS (Details 1) - USD ($)	12 Months Ended
FAIR VALUE MEASUREMENTS (Details 1) - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Property and equipment		$ 112,408
Intangible assets		8,970,562
Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Property and equipment
Current assets		311,867
Accounts payables and other current liabilities		914,218
Intangible assets		112,408
Goodwill
Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Property and equipment		100,339
Current assets
Accounts payables and other current liabilities
Intangible assets
Goodwill
Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Property and equipment
Current assets
Accounts payables and other current liabilities
Intangible assets		2,401,208
Goodwill		$ 6,569,354

COMMITMENTS AND CONTINGENCIES (Details Narrative)	12 Months Ended
COMMITMENTS AND CONTINGENCIES (Details Narrative)	Dec. 31, 2016 USD ($) shares
Business Acquisition [Line Items]
Common stock issued in settlement of contingent liability	$ 59,681
Multipay S.A., a Colombian Corporation [Member]
Business Acquisition [Line Items]
Contingent liability	370,000
Common stock issued in settlement of contingent liability	$ 59,681
Common stock issued in settlement of contingent liability (in shares) \| shares	260,537
Contingent purchase consideration	$ 49,000

COMMITMENTS AND CONTINGENCIES (Details Narrative 1)			1 Months Ended		12 Months Ended
COMMITMENTS AND CONTINGENCIES (Details Narrative 1)	Jul. 01, 2017 USD ($) ft²	Dec. 19, 2014 USD ($)	Apr. 30, 2017 USD ($)	Feb. 28, 2017 USD ($)	Dec. 31, 2017 USD ($)	Dec. 31, 2016 USD ($)
Rent expense					$ 360,000	$ 230,000
Identity Consulting Organization [Member]
Rent expense					15,000
Office Facilities [Member]
Monthly rental payments		$ 3,000			3,300
Additional monthly rental payments					3,400
New Office Facilities [Member] \| Plantation Florida [Member]
Monthly rental payments	$ 2,600
Area of land for rent \| ft²	2,100
New Office Facilities [Member] \| Long Beach, New York [Member]
Monthly rental payments					2,250
Additional monthly rental payments				$ 4,500	$ 7,425
Agreement term					30 days
New Office Facilities [Member] \| COLOMBIA [Member]
Monthly rental payments			$ 4,400
New Office Facilities [Member] \| COLOMBIA [Member] \| MultiPay S.A.S [Member]
Monthly rental payments			$ 8,500
Agreement term			2 years
New Office Facilities [Member] \| SOUTH AFRICA [Member]
Monthly rental payments					$ 6,500
Additional monthly rental payments					$ 3,600
Agreement term					5 years
Warehouse [Member] \| COLOMBIA [Member]
Monthly rental payments			$ 2,700
Agreement term			1 year
Apartment [Member] \| COLOMBIA [Member]
Monthly rental payments			$ 2,100

SEGMENT INFORMATION (Details) - USD ($)	12 Months Ended
SEGMENT INFORMATION (Details) - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Net Revenues:	$ 2,303,606	$ 1,929,938
Loss from Operations	(12,009,115)	(13,567,473)
Gain (loss) on derivative liability	(452,146)	7,345,000
Interest expense	(1,337,081)	(3,625,984)
Loss before income taxes	(17,452,848)	(9,848,457)
Income tax expense	28,781	2,946
Net Loss	(17,481,629)	(9,851,403)
Identity Management [Member]
Net Revenues:	1,909,196	1,581,603
Loss from Operations	(3,708,147)	(6,141,132)
Payment Processing [Member]
Net Revenues:	394,320	348,335
Loss from Operations	(8,300,968)	(7,426,341)
North America [Member]
Net Revenues:	518,023	450,781
Loss from Operations	(2,672,161)	(2,973,328)
South America [Member]
Net Revenues:	394,320	348,335
Loss from Operations	(8,300,968)	(7,426,341)
Africa [Member]
Net Revenues:	1,391,263	1,130,822
Loss from Operations	$ (1,035,987)	$ (3,167,804)

SEGMENT INFORMATION (Details Narrative)	12 Months Ended
SEGMENT INFORMATION (Details Narrative)	Dec. 31, 2017 USD ($) Number	Dec. 31, 2016 USD ($)	Dec. 31, 2015 USD ($)
Number of reportable segments \| Number	2
Goodwill	$ 6,736,043	$ 6,736,043	$ 166,689
North America [Member]
Gross long lived assets	7,200,000
Goodwill	5,300,000
South America [Member]
Gross long lived assets	900,000
Goodwill	200,000
Africa [Member]
Gross long lived assets	1,800,000
Goodwill	$ 1,300,000