FORWARD-LOOKING STATEMENTS

This quarterly report contains forward-looking statements. These statements relate to future events or our future financial performance. In some cases, you can identify forward-looking statements by terminology such as "may", "should", "expects", "plans", "anticipates", "believes", "estimates", "predicts", "potential" or "continue" or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, uncertainties and other factors that may cause our or our industry's actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. Except as required by applicable law, including the securities laws of the United States, we do not intend to update any of the forward-looking statements to conform these statements to actual results.

Our consolidated unaudited financial statements are prepared in accordance with United States Generally Accepted Accounting Principles. The following discussion should be read in conjunction with our financial statements and the related notes that appear elsewhere in this quarterly report. The following discussion contains forward-looking statements that reflect our plans, estimates and beliefs. Our actual results could differ materially from those discussed in the forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, those discussed below and elsewhere in this quarterly report.

In this quarterly report, unless otherwise specified, all dollar amounts are expressed in United States dollars and all references to "common shares" refer to the common shares in our capital stock.

As used in this quarterly report, the terms "we", "us", "our company", mean Global Fiber Technologies, Inc. a Nevada corporation, and our wholly-owned subsidiaries Eco Chain 360, Inc. and Authentic Heroes, Inc., unless otherwise indicated.





General Overview

Global Fiber Technologies, Inc. was incorporated in Nevada on March 25, 2005 under the name "Premier Publishing Group, Inc.". Originally formed as a publishing company, our company ceased publishing operations in or around 2007.

On May 28, 2019, we entered into an asset purchase agreement (the "Purchase Agreement") with AH Originals, Inc. ("AH"), pursuant to which we will acquire from AH certain assets including: equipment (which includes a Della' Orco Sample Line, Electro Steam Boiler/Steamer and Schulz 5 HP Condenser), inventory, materials, intellectual property (including PCT/US2018/047918 - Authenticatable Articles, Fabric and Method of Manufacture, 16/311,095 - Authenticatable Articles, Fabric and Method of Manufacture, as well as the rights the trademarks, trade names, logos, etc. For "Authentic Heroes", "Feel the Bond", and "Event Worn Reborn"), along with all domain names of AH. The purchase will be paid through the issuance of 6,400,000 shares of our common stock and 200,000 shares of common stock of Authentic Heroes, Inc. (a subsidiary created by the Company to receive and operate the purchased assets), and the remaining $480,000 will be paid through a promissory note at 3% interest with a three-year term.

The terms of the Purchase Agreement completed on June 18, 2019. The aggregate consideration was $447,150 payable via a promissory note at 3% interest with an amended loan term with an initial term of one-year and eight options for the noteholder to extend the maturity date for three-month periods, as opposed to the original three-year term. The balance of the purchase price was to be paid through the delivery to Seller of 6,400,000 shares of our common stock and 200,000 shares of common stock of Authentic Heroes, Inc. (a subsidiary created by our company to receive and operate the purchased assets). Our company did not assume any liabilities of AH other than the lease for the facility where the equipment purchased is located.

On July 17, 2019 Authentic Heroes Inc., our majority owned subsidiary entered into a "merchandise license agreement" with IMG/Football Greats Alliance whereby Authentic Heroes will make authenticated replicas of "game worn" jerseys utilizing its trade secrets and patent pending processes. Terms of the deal were deemed and implied confidential by the contract.

On September 21st, of 2020, Authentic Heroes Inc. signed a license Yungblud and Bravado/Universal Music Group to will make authenticated replicas of "concert worn" jerseys utilizing its trade secrets and patent pending processes. Terms of the deal were deemed and implied confidential by the contract.

Our address is 50 Division Street, Suite 501, Somerville, New Jersey 08876. Our corporate website is http://ecotek360.com/.

We have never declared bankruptcy or been in receivership. We have earned minimal revenues and have limited cash on hand. We have sustained losses since inception and have primarily relied upon the sale of our securities and loans from related parties for funding.





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Our Current Business

We are currently in the development stage. Our business plan is to operate a fiber rejuvenation technology company. It plans on offering branded fabrics, apparel and uniforms to the corporate, hotel, hospital and military markets. We will achieve this by utilizing a patented and proprietary process for rejuvenating textile waste into high quality fabrics and apparel.

Our business plan also includes creating branded and authenticated replicas from the textile fibers of "event worn" apparel, formerly worn by celebrities within the music and sports industries. We have achieved this milestone and are in the process of creating commercial opportunities utilizing our process and trade secrets.

A novel strain of coronavirus ("Covid-19") emerged globally in December 2019 and has been declared a pandemic. The extent to which Covid-19 will impact our customers, business, results and financial condition will depend on current and future developments, which are highly uncertain and cannot be predicted at this time. While the Company's day-to-day operations beginning March 2020 have been impacted, we have suffered less immediate impact as most staff can work remotely and can continue to develop our product offerings.

That said we have seen our business opportunities develop more slowly mostly as a result of supply chain shutdowns and the significant delays it has caused in bringing our products to market. We are in the process of re-developing our supply chain and hopefully should ameliorate our supply chain challenges in the very near future

On July 17, 2019 Authentic Heroes Inc., our majority owned subsidiary entered into a "merchandise license agreement" with IMG/Football Greats Alliance whereby Authentic Heroes will make authenticated replicas of "game worn" jerseys utilizing its trade secrets and patent pending processes. Terms of the deal were deemed and implied confidential by the contract.

On December 1st 2019, Authentic Heroes signed a license agreement with Universal Music Group/Bravado and the Hip Hop group "RUN DMC. Authentic Heroes is currently working with Bravado and RUN DMC to monetize the opportunity with both digital and physical opportunities. Terms of the deal were deemed and implied confidential by the contract.

On September 21st, of 2020, Authentic Heroes Inc. signed a license Yungblud and Bravado/Universal Music Group to will make authenticated replicas of "concert worn" jerseys utilizing its trade secrets and patent pending processes. Terms of the deal were deemed and implied confidential by the contract.

We are in late stage discussions for several licenses and also in the process of re-building and re-launching our e-commerce site within the quarter

Our address is 50 Division Street, Suite 501, Somerville, New Jersey 08876. Our corporate website is http://globalfibertechnologies.com

The company has also completed the coding of three separate smart contracts based on the Ethereum Blockchain The smart contracts ERC 721, 721a and ERC 1155 are to be used in conjunction with the sale of both physical and virtual items in order to create the authentication, provenance and immutability of the products it will be offering including event worn clothing under the taglines of "Made from The Original" and "Event Worn ReBorn". It will also be the Smart Contract for the Company's future offering of Non-Fungible Tokens ("NFTS")





Results of Operations

The following table provides selected financial data about our company for the three months period ended March 31, 2022 and the year ended December 31, 2021.





                               March           December
                              31,2022          31,2021          Change          %
Cash and cash equivalents   $      6,479     $          -     $    6,479          100 %
Inventories                 $          -     $          -     $        -            -
Property and equipment      $     99,930     $    112,416     $  (12,486 )     (11.11 )%
Intangible assets           $     44,467     $     61,466     $  (16,999 )     (27.66 )%
Total Assets                $    150,876     $    173,882     $  (23,006 )     (27.77 )%
Total Liabilities           $  3,316,833     $  3,853,272     $ (536,440 )     (13.92 )%
Stockholders' Deficit       $ (3,165,957 )   $ (2,678,080 )   $ (107,164 )     (13.95 )%




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The following summary of our results of operations, for the three months ended March 31, 2022, should be read in conjunction with our financial statements, as included in this Form 10-Q.





Comparative three months period ending March 31, 2022 and 2021for revenues and
operating expenses.



                              Three Months Ended March 31,
                                2022                 2021            Change            %
Revenue                    $            -       $          193     $     (193 )          (100 )%
Cost of Revenues                        -               (1,050 )        1,050            (100 )%
Operating Expenses
Depreciation and
Amortization                      (29,485 )            (29,485 )            -               -
General and
administrative expenses           (22,200 )            (12,689 )       (9,511 )        (74.95 )%
Professional Fees and
Consulting                        (32,250 )                  -        (32,500 )          (100 )%
Gain from extinguishment
of debt                            15,856                    -         15,856             100 %
Gain from derivative
valuation                         570,008               71,743         (3,602 )        694.51 %
Interest and Financing
Cost                              (22,934 )            (14,938 )   $ (212,073 )        (88.13 )%
Other expenses                          -               (3,602 )       (3,602 )          (100 )%
Net Income (loss)                 391,027               10,172        380,855       (3,744.15 )%

For the three months ended March 31, 2022, we have no revenues and in 2021 revenue was minimal this is primarily due to company refocusing its operations toward the new business with Authentic Heroes and NFTS. Our operating expense for the three months ended March 31, 2022, compared to March 31, 2021, have increase by $41,761 or 99%. This is primarily due to various Professional and consulting fees incurred during the three months period amounting to approximately $32,250. We did not incur such fees in the previous year.

Other Income consist of derivative valuation gain of $570,008 and $71,743 for the three months period ending March 31, 2022, and 2021 respectively. We also recognized gain from extinguishing of convertible notes as a result of conversion to common stock.

Liquidity and Capital Resources

The following table provides selected financial data about our company as of March 31, 2022 and December 31, 2021, respectively.





Working Capital



                                March 31         December
                                  2022           31, 2021         Change          %
Current Assets                $      6,479     $          -     $   (6,479 )        100 %
Current Liabilities           $ (3,316,833 )   $ (3,853,273 )     (536,440 )     (13.92 )%
Net working capital deficit   $ (3,310,354 )     (3,853,273 )   $  542,919       (14.09 )%




Our working capital deficit decreased as of March 31,2022, as compared to
December 31, 2021, due mainly to the decrease in the valuation of derivative
liabilities.



Cash Flows



                                            Three Months Ended
                                                 March 31,
                                            2022          2021         Change           %

Cash Flows used in Operating Activities $ (94,616 ) $ (17,781 ) $ (76,835 ) (432 )% Cash Flows used in Investing Activities $ -

             -             -             -
Cash Flows provided by Financing
Activities                                $ 101,095        20,000        81,095 )        (405 )%
Net Change in Cash During Period          $   6,479        10,767         4,288           (40 )%




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Cash Flow from Operating Activities

During the three months ended March 31, 2022

The net cash used in operating activities for the three months ended March 31, 2022 of $94,616 was attributed by the total net income of $391,027, increased by Accounts payable and accrued expenses $37,711, increased accrued interest expenses $22,294, offset by gain in change in derivative liability of $570,008.

The net cash used in operating activities of $17,781 for the three months ended March 31, 2021 was attributed to a income of $10,17 offset by depreciation and amortization $29,483, decrease in derivative liability of $71,743, decrease in accounts payable and accrued expenses of $4,232 and increase in accrued interest of $18,537.

Cash Flow from Investing Activities

The Company did not use any funds for investing activities during the three months ended March 31, 2022 and 2021.

Cash Flow from Financing Activities

Net cash from financing activities was $101,095 for the three months March 31, 2022. Due to $60,000 proceeds received from accredited investors for purchase of warrants to purchase common stocks and $41,095 from related parties. Previous period $20,000 proceeds received from related parties.

Off-Balance Sheet Arrangements

We have no off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that is material to stockholders.

The report of our auditors on our audited financial statements for the fiscal year ended December 31, 2021 and 2020, contains a going concern qualification as we have suffered losses since our inception. We have not attained profitable operations and are dependent upon obtaining financing to pursue any extensive acquisitions and activities. For these reasons, our auditors stated in their report on our audited financial statements that they have substantial doubt that we will be able to continue as a going concern without further financing.

Limited Operating History; Need for Additional Capital

There is no historical financial information about us upon which to base an evaluation of our performance. We are a development stage company and have not generated any revenues from operations to fully implement our business plan. We cannot guarantee we will be successful in our business operations. Our business is subject to risks inherent in the establishment of a new business enterprise, including limited capital resources, and competition from larger organizations. We will require equity and/or debt financing to provide for the capital required to implement our plans. We will require additional funds to operate for the next year.

We have no assurance that future financing will be available to us on acceptable terms. If financing is not available on satisfactory terms, we may be unable to continue, develop or expand our operations.





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