IP Strategy Holdings, Inc.

For the transition period from __________ to __________ Commission file number 001-42411 _________________________ IP STRATEGY HOLDINGS, INC. (Exact name of registrant as specified in its charter) _________________________ Delaware 83-4558219 (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.)

11010 Harbor Hill Drive #B-308 Gig Harbor , Washington 98332 (Address of Principal Executive Offices) (Zip Code)

( 253 ) 509-0008 Registrant's telephone number, including area code

9668 Bujacich Road , Gig Harbor , Washington 98332 (Former name, former address and former fiscal year, if changed since last report)

Non-accelerated filer x Smaller reporting company x

Table of Contents Page Part I - Financial Information Item 1. Financial Statements 3 Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 41 Item 3. Quantitative and Qualitative Disclosures About Market Risk 72 Item 4. Controls and Procedures 72

Part II - Other Information Item 1. Legal Proceedings 74 Item 1A. Risk Factors 74 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 82 Item 3. Defaults Upon Senior Securities 82 Item 4. Mine Safety Disclosures 82 Item 5. Other Information 82 Item 6. Exhibits 83