Company Registration No. 09564930 (England and Wales)
BITLISH LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2018
PAGES FOR FILING WITH REGISTRAR
BITLISH LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 5
BITLISH LIMITED
BALANCE SHEET
AS AT 30 APRIL 2018
30 April 2018
- 1 -
2018
2017
Notes
£
£
£
£
Current assets
Debtors
3
3,213,712
1,409
Cash at bank and in hand
1,115,026
260,440
4,328,738
261,849
Creditors: amounts falling due within one year
4
(4,058,899)
(265,413)
Net current assets/(liabilities)
269,839
(3,564)
Capital and reserves
Called up share capital
5
1,000
1,000
Currency translation reserve
(5,118)
(660)
Profit and loss reserve
273,957
(3,904)
Total equity
269,839
(3,564)
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.
true
For the financial year ended 30 April 2018 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
T
he members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476
.
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies' regime.
The notes on pages 2 - 5 are an integral part of these financial statements.
The financial statements were approved by the board of directors and authorised for issue on 12 March 2019 and are signed on its behalf by:
Mr Kirill Beutler
Director
Company Registration No. 09564930
BITLISH LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2018
- 2 -
1
Accounting policies
Company information
Bitlish Limited is a
private
company
limited by shares
incorporated in England and Wales.
The registered office is
161-165 Farringdon Road, London, United Kingdom, EC1R 3AL.
1.1
Accounting convention
These financial statements have been prepared in accordance with the provisions of section 1A (Small Entities) of Financial Reporting Standard 102.
The financial statements are prepared in
pound sterling. Monetary a
mounts
in these financial statements are
rounded to the nearest £.
The exchange rate of € / £ at the reporting date was 1.1455 (2017: 1.1838) and the average rate of € / £ for the year was 1.1311 (2017: 1.1820).
The financial statements have been prepared on a going concern basis under the historical cost convention, modified to include the revaluation of virtual currencies at fair value. The principal accounting policies adopted are set out below.
1.2
Turnover
Turnover is recogni
s
ed when it is probable that
economic benefits associated with the transaction
will flow to the
company
and the income can be reliably
measured.
Turnover
represents commission
s
arising on
customer
trading activity primarily i
n virtual currencies (
cryptocurrencies
). Turnover is
reported gross of commissions
to agents as the
company
is acting as a principal and is
exposed to the significant risks and rewards associated
with its trading transactions with its customers.
1.3
Cash at bank and in hand
Cash at bank and in hand
are basic financial assets
and
include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.4
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset
, with
the net amounts presented in the financial statements
,
when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets
which comprise
other
debtors and
cash and bank balances are recognised at transaction price.
Impairment of financial assets
The company makes an estimate of the recoverable value of
its
other debtors. Where necessary an impairment provision is made.
BITLISH LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2018
1
Accounting policies
(Continued)
- 3 -
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities
which comprise other creditors and customer cash deposits are recognised at
transaction price.
Derecognition of financial liabilities
Financial liabilities are derecognised when the company’s contractual obligations
expire or are discharged or cancelled.
1.5
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of direct issue costs.
Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.6
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The
company’s
liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax
Deferred tax is recognised on all timing differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax assets and liabilities are measured at the tax rates (and tax laws) that have been enacted or substantially enacted by the end of the reporting period.
1.7
Leases
Rentals payable under operating leases,
including
any lease incentives received, are charged to income on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the lease asset are consumed.
BITLISH LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2018
1
Accounting policies
(Continued)
- 4 -
1.8
Foreign exchange
Transactions and balances
Foreign currency transactions are translated into the functional currency using the spot exchange rate at the date of the transactions.
At each reporting period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical costs are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.
Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the profit and loss account.
Translation
Trading results of the company are translated from its function currency euro to its presentation currency pound sterling at the average exchange rate for the year. The assets and liabilities are translated at the exchange rate ruling at the year end. Exchange adjustments arising from the retranslation of opening reserves and from the translation of the profits or losses at average rate are recognised in currency translation reserve.
1.9
Virtual currencies (cryptocurrencies) transactions
V
irtual currenc
ies
held on behalf of customers are recognised as an asset
when a virtual currency is deposited by
the customer based on the agreement between the
company
and the customer.
Such virtual currenc
ies
are
measured using the market price at the date the virtual
currency was deposited.
At the same time,
the company recognises an
obligation to return the
virtual currency to the customer as a liability
(customer deposits)
. The liability
is
measured at the same
amount of the corresponding asset.
Subsequently, virtual currencies held
on behalf of customers
are measured at their fair values
at the balance sheet
based on
the
active market
prices. L
iability recogni
s
ed in relation to the virtual
currenc
ies
held on behalf of customers at the balance sheet
are measured
at the same amount of the
corresponding asset
resulting in no gain or loss arising on virtual currencies held by the company on behalf of its customers.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was 1 (2017 - 1
).
3
Debtors
2018
2017
Amounts falling due within one year:
£
£
Virtual currencies held on own behalf
89,597
-
Virtual currencies held on behalf of customers
1,202,466
-
Virtual currencies held on behalf of customers and loaned to third parties
1,814,476
-
Restricted cash
105,768
Other debtors
1,405
1,409
3,213,712
1,409
BITLISH LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2018
- 5 -
4
Creditors: amounts falling due within one year
2018
2017
£
£
Customer deposits - cash
952,793
-
Customer deposits - virtual currencies
3,016,942
-
Corporation tax
56,887
-
Other creditors
32,277
265,413
4,058,899
265,413
5
Called up share capital
2018
2017
£
£
Ordinary share capital (unpaid)
1,000 Ordinary shares of £1 each
1,000
1,000
1,000
1,000
6
Operating lease commitments
Lessee
At the reporting end date, the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:
2018
2017
£
£
Within one year
21,000
-
21,000
-
7
Events after the reporting date
On 18 December 2018 the company issued 315,000 ordinary shares of £1.00 each to its existing shareholders proportionately to their existing holdings. The shares were allotted and fully paid on the date of issue.
On 15 January 2019 the company issued further 2,000 ordinary shares of £1.00 each to its existing shareholder proportionately to their existing holdings. The shares were allotted and fully paid on the date of issue.
On 15 January 2019 the company's shareholders fully paid for the previously issued and allotted share capital in the amount of £1,000 which remained unpaid at 30 April 2018.