11.	Stockholders' Equity:

The holders of common stock are entitled to

one

vote for each share held. There are

restrictions that limit the Company's ability to pay dividends on its common stock. The Company has

not

declared any dividends since incorporation. The Company's common stock has

par value per common stock and there is only

one

class of common shares. The Company has an unlimited number of common shares authorized for issue.

(a) Common stock issuances:

Fiscal

2020

There were

common stock issuances for the year ended

December 31, 2020.

Fiscal

2019

March 2019,

the Company closed a TSX Venture Exchange approved private placement financing totaling

$2,000,000.

The private placement consisted of

5,000,000

common shares priced at

$0.40

per share. Pursuant to the private placement the Company paid a commission of

$200,000

and incurred share issuance expenses of

$36,800.

March 2019,

the Company issued

52,450,286

shares for total consideration of

$20,603,655

in the acquisition of all the issued and outstanding ordinary and preferred shares in the capital stock of Kidoz Ltd., a company incorporated under the laws of the State of Israel. (Note

)

(b) Stock option plans:

2015

stock option plan

In the year ended

December 31, 2015,

the shareholders approved the

2015

stock option plan and the

1999,

2001

and the

2005

plans were discontinued. The

2015

stock option plan is intended to provide incentive to employees, directors, advisors and consultants of the Company to encourage proprietary interest in the Company, to encourage such employees to remain in the employ of the Company or such directors, advisors and consultants to remain in the service of the Company, and to attract new employees, directors, advisors and consultants with outstanding qualifications. The maximum number of shares issuable under the Plan shall

not

exceed

10%

of the number of Shares of the Company issued and outstanding as of each Award Date unless shareholder approval is obtained in advance. The Board of Directors determines the terms of the options granted, including the number of options granted, the exercise price and their vesting schedule. The maximum term possible is

years. Under the

2015

plan we have reserved

10%

of the number of Shares of the Company issued and outstanding as of each Award Date. During the year ended

December 31, 2020,

the Rolling Stock Option plan was amended by inclusion of an Israeli Taxpayers Appendix.

During the year ended

December 31, 2020,

the Company granted to employees and consultants

2,745,000

options with an exercise price of

CAD$0.45

(

$0.33

) expiring on

June 30, 2025,

of which

60,000

options were fully vested,

2,595,000

options were issued where

2.08%

vests per month commencing

June 30, 2021,

and

90,000

options were issued where

vests per month commencing on grant date.

1,250,000

of these options were granted to directors and officers of the Company.

options were granted during the year ended

December 31, 2019.

Subsequent to the year ended

December 31, 2020,

a further

1,040,000

options were awarded where

10%

vests on grant date,

15%

one

year following and

per month thereafter, with an exercise price of

CAD$0.50

(

$0.39

) and

35,000

options were awarded which were fully vested with an exercise price of

CAD$0.50

(

$0.39

A summary of stock option activity for the stock option plans for the years ended

December 31, 2020

and

2019

are as follows:

	Number of options			Weighted average exercise price
Outstanding December 31, 2018		3,575,000		$	0.45

Granted		-			-
Exercised		-			-
Cancelled		(374,250	)		(0.41	)
Outstanding December 31, 2019		3,200,750		$	0.45

Granted		2,745,000			0.33
Exercised		-			-
Cancelled		(70,000	)		(0.42	)
Outstanding December 31, 2019		5,875,750		$	0.39

The aggregate intrinsic value for options as of

December 31, 2020

was

$137,250

(

2019

$nil

The following table summarizes information concerning outstanding and exercisable stock options at

December 31, 2020:

Range of exercise prices per option	Number outstanding		Number exercisable		Expiry date
$0.33		2,745,000		78,000	June 30, 2025
0.40		620,000		620,000	December 20, 2021
0.42		522,750		475,250	November 8, 2022
0.42		713,000		713,000	June 4, 2023
0.50		1,275,000		1,275,000	June 4, 2023
		5,875,750		3,161,250

The Company recorded stock-based compensation of

$158,883

on the

2,935,000

options granted and vested (

2019

$15,890

on the

2,130,000

options granted and vested) and as per the Black-Scholes option-pricing model, with a weighted average fair value per option grant of

$0.27

(

2019

$0.29