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**SECURITIES        AND EXCHANGE COMMISSION**

**WASHINGTON,        D.C. 20549**

**FORM        10-QSB**

| **[X]** | **QUARTERLY                  REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE                  ACT OF                  1934** |
|---------|------------------------------------------------------------------------------------------------------------------------------------------------|

**FOR        THE QUARTERLY PERIOD ENDED: March 31, 2007**

**OR**

| **[                    ]** | **TRANSITION                  REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE                  ACT OF                  1934** |
|--------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------|

**FOR        THE TRANSITION PERIOD        FROM                                           **
**        TO                                          **

**Commission        File Number 1-15497**

**RecycleNet        Corporation**

**(Exact        name of small business issuer in its charter)**

| **Utah**                                                                                             | **87-0301924**                                                          |
|------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------|
| **(State                  or other jurisdiction of incorporation or                  organization)** | **(IRS                  Employer Identification                  No.)** |

**175        East 400 South, Suite 900, Salt Lake City Utah, 84111**

**(Address        of principal executive offices, including Zip Code)**

**801-531-0404**

**(Issuer's        telephone number)**

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**RECYCLENET        CORPORATION AND SUBSIDIARIES**

**FORM        10-QSB**

**QUARTER        ENDED March 31, 2007**

**TABLE        OF CONTENTS**

|                                                |                                                                                                                                                                    | **Page** |
|-----------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------|
| **PART                  I - FINANCIAL INFORMATION** |                                                                                                                                                                    |
|                                                |                                                                                                                                                                    |     |
| Item                  1.                            | Financial                  Statements                                                                                                                                   |     |
|                                                |                                                                                                                                                                    |     |
|                                                | Condensed                  Consolidated Balance Sheets - March 31, 2007 and December 31, 2006                  (Unaudited)                                         | 3        |
|                                                     |                                                                                                                                                                    |
|                                                | Condensed                  Consolidated Statements of Operations for the Three Months Ended                  March 31,                  2007 and 2006 (Unaudited)  | 4        |
|                                                |                                                                                                                                                                    |
|                                                | Condensed                  Consolidated Statements of Cash Flows for the Three Months Ended                  March 31,                  2007 and 2006 (Unaudited)       | 5        |
|                                                |                                                                                                                                                                    |
|                                                | Notes                  to Condensed Consolidated Financial Statements                                                                                              | 6        |
|                                                |                                                                                                                                                                    |     |
| Item                  2.                            | Management’s                  Discussion and Analysis                                                                                                             | 7        |
|                                                |                                                                                                                                                                    |     |
| Item                  3.                            | Controls                  and Procedures                                                                                                                                | 10       |
|                                                |                                                                                                                                                                    |     |
| **PART                  II - OTHER INFORMATION**    |                                                                                                                                                                    |
|                                                |                                                                                                                                                                    |     |
| Item                  1.                            | Legal                  Proceedings                                                                                                                                      | 10       |
|                                                |                                                                                                                                                                    |     |
| Item                  2.                            | Changes                  in Securities and Small Business Issuer Purchase of Equity                  Securities                                                         | 10       |
|                                                |                                                                                                                                                                    |     |
| Item                  3.                            | Default                  Upon Senior Securities                                                                                                                         | 10       |
|                                                |                                                                                                                                                                    |     |
| Item                  4.                            | Submission                  of Matters to a Vote of Security Holders                                                                                                    | 10       |
|                                                |                                                                                                                                                                    |     |
| Item                  5.                            | Other                  Information                                                                                                                                      | 10       |
|                                                |                                                                                                                                                                    |     |
| Item                  6.                            | Exhibits                  and Reports on Form 8-K                                                                                                                       | 10       |
|                                                |                                                                                                                                                                    |     |
| Signatures                                          | 11                                                                                                                                                                      |

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**PART        I - FINANCIAL INFORMATION**

**ITEM        1. FINANCIAL STATEMENTS**

**RECYCLENET        CORPORATION AND SUBSIDIARIES**

**CONDENSED        CONSOLIDATED BALANCE SHEETS**

**(UNAUDITED)**

|                                                                                                                                                                                                 |   | **March                  31,** |       | **December                  31,** |   |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------|------------|-----------------------------------|--------|
|                                                                                                                                                                                                 |   | **2007**                       |       | **2006**                          |   |
| **ASSETS**                                                                                                                                                                                           |   |                           |       |                              |   |
| **Current                  Assets**                                                                                                                                                                  |   |                           |       |                              |   |
| Cash                                                                                                                                                                                                 |   | $                              | 317,958    |                              | $      | 315,304 |   |
| Trade                  accounts receivable, net of $2,500 allowance for bad debt                                                                                                                     |   |                           | 34,099     |                              |   | 33,468 |   |
| Other                  receivables                                                                                                                                                                   |   |                           | -          |                              |   | 844 |   |
| Prepaid                  expenses                                                                                                                                                                    |   |                           | 4,256      |                              |   | 16,022 |   |
|                                                                                                                                                                                                 |   |                           |       |                              |   |   |   |
| **Total                  Current Assets**                                                                                                                                                            |   |                           | 356,313    |                              |   | 365,638 |   |
|                                                                                                                                                                                                 |   |                           |       |                              |   |   |   |
| **Property                  and Equipment**                                                                                                                                                          |   |                           |       |                              |   |   |   |
| Computer                  equipment                                                                                                                                                                  |   |                           | 71,607     |                              |   | 71,607 |   |
| Less:                  Accumulated depreciation                                                                                                                                                      |   |                           | (41,934    | )                                 |   | (39,991 | ) |
|                                                                                                                                                                                                 |   |                           |       |                              |   |   |   |
| **Net                  Property and Equipment**                                                                                                                                                      |   |                           | 29,673     |                              |   | 31,616 |   |
|                                                                                                                                                                                                 |   |                           |       |                              |   |   |   |
| Related                  party receivable- Scrap China Corporation                                                                                                                                   |   |                           | 118,687    |                              |   | 110,957 |   |
| Due                  from Affiliate                                                                                                                                                                  |   |                           | 5,000      |                              |   | 5,000 |   |
| Net                  Related Party Receivables                                                                                                                                                       |   |                           | 123,687    |                              |   | 115,957 |   |
|                                                                                                                                                                                                 |   |                           |       |                              |   |   |   |
| **Total                  Assets**                                                                                                                                                                    |   | $                              | 509,673    |                              | $      | 513,211 |   |
|                                                                                                                                                                                                 |   |                           |       |                              |   |   |   |
| **LIABILITIES                  AND STOCKHOLDERS' EQUITY**                                                                                                                                            |   |                           |       |                              |   |   |   |
| **Current                  Liabilities**                                                                                                                                                             |   |                           |       |                              |   |   |   |
| Accrued                  liabilities                                                                                                                                                                 |   | $                              | 40,859     |                              | $      | 48,503 |   |
| Deferred                  revenue                                                                                                                                                                    |   |                           | 138,253    |                              |   | 135,143 |   |
|                                                                                                                                                                                                 |   |                           |       |                              |   |   |   |
| **Total                  Current Liabilities**                                                                                                                                                       |   |                           | 179,112    |                              |   | 183,646 |   |
|                                                                                                                                                                                                 |   |                           |       |                              |   |   |   |
| **Stockholders'                  Equity**                                                                                                                                                            |   |                           |       |                              |   |   |   |
| Class                  N convertible shares (and Class X shares of Amalco)-$0.01 par value;                  70,896,789 shares authorized; 60,539,259 shares issued and                  outstanding |   |                           | 605,393    |                              |   | 605,393 |   |
| Common                  shares - $0.01 par value; 179,103,211 shares authorized; 77,108,214                  shares                  issued and outstanding                                          |   |                           | 771,082    |                              |   | 771,082 |   |
| Additional                  paid-in capital                                                                                                                                                          |   |                           | 34,315     |                              |   | 34,315 |   |
| Accumulated                  deficit                                                                                                                                                                 |   |                           | (1,080,229 | )                                 |   | (1,081,225 | ) |
|                                                                                                                                                                                                 |   |                           |       |                              |   |   |   |
| **Total                  Stockholders' Equity**                                                                                                                                                      |   |                           | 330,561    |                              |   | 329,565 |   |
|                                                                                                                                                                                                 |   |                           |       |                              |   |   |   |
| **Total                  Liabilities and Stockholders' Equity**                                                                                                                                      |   | $                              | 509,673    |                              | $      | 513,211 |   |

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**RECYCLENET        CORPORATION AND SUBSIDIARIES**

**CONDENSED        CONSOLIDATED STATEMENTS OF OPERATIONS**

**(UNAUDITED)**

| ***For                  the Three Months Ended March 31,***             |   | **2007** |        | **2006** |   |
|-------------------------------------------------------------------------|--------|----------|-------------|----------|--------|
| **Sales**                                                               |   | $        | 309,506     |     | $      | 265,846 |   |
| **Operating                  Expenses**                                 |   |     |        |     |   |   |   |
| Selling,                  general and administrative expenses           |   |     | 307,930     |     |   | 271,985 |   |
| Foreign                  currency exchange loss                         |   |     | 580         |     |   | 1,493 |   |
| **Total                  Operating Expenses**                           |   |     | 308,510     |     |   | 273,478 |   |
| **Income                  (Loss) From Continuing Operations**           |   |     | 996         |     |   | (7,632 | ) |
| **Discontinued                  Operations**                            |   |     |        |     |   |   |   |
| Loss                  from discontinued operations                      |   |     | -           |     |   | (4,494 | ) |
| **Net                  Income (Loss)**                                  |   | $        | 996         |     | $      | (12,126 | ) |
|                                                                    |   |     |        |     |   |   |   |
| **Basic                  Income (Loss) Per Common Share From**          |   |     |        |     |   |   |   |
| Continuing                  Operations                                  |   | $        | -           |     | $      | - |   |
| Discontinued                  Operations                                |   |     | -           |     |   | - |   |
| **Basic                  Income (Loss) Per Common Share**               |   | $        | -           |     | $      | - |   |
| **Diluted                  Income (Loss) Per Common Share From**        |   |     |        |     |   |   |   |
| Continuing                  Operations                                  |   | $        | -           |     | $      | - |   |
| Discontinued                  Operations                                |   |     | -           |     |   | - |   |
| **Diluted                  Income (Loss) Per Common Share**             |   | $        | -           |     | $      | - |   |
| **Basic                  Weighted-Average Common Shares Outstanding**   |   |     | 77,108,214  |     |   | 77,108,214 |   |
| **Diluted                  Weighted-Average Common Shares Outstanding** |   |     | 137,647,473 |     |   | 77,108,214 |   |

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**RECYCLENET        CORPORATION AND SUBSIDIARIES**

**CONDENSED        CONSOLIDATED STATEMENTS OF CASH FLOWS**

**(UNAUDITED)**

| ***For                  The Three Months Ended March 31,***                                                                                           |   | **2007** |    | **2006** |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------|---------|----------|--------|
| **Cash                  Flows From Operating Activities:**                                                                                            |   |     |    |     |   |
| Net                  income (loss)                                                                                                                    |   | $        | 996     |     | $      | (12,126 | ) |
| Adjustments                  to reconcile net income (loss) to net cash provided by (used in)                  operating                  activities: |   |     |    |     |   |   |   |
| Depreciation                                                                                                                                          |   |     | 1,943   |     |   | 1,224 |   |
| Foreign                  currency exchange loss                                                                                                       |   |     | (580    | )        |   | (1,493 | ) |
| Changes                  in assets and liabilities:                                                                                                   |   |     |    |     |   |   |   |
| Accounts                  and other receivables                                                                                                       |   |     | 359     |     |   | (3,844 | ) |
| Prepaid                  expenses                                                                                                                     |   |     | 11,766  |     |   | (1,817 | ) |
| Accounts                  payable and accrued liabilities                                                                                             |   |     | (9,115  | )        |   | 3,110 |   |
| Deferred                  revenue                                                                                                                     |   |     | 2,964   |     |   | 12,321 |   |
| **Net                  Cash Provided By (Used In) Operating Activities**                                                                              |   |     | 8,333   |     |   | (2,625 | ) |
|                                                                                                                                                  |   |     |    |     |   |   |   |
| **Cash                  Flows From Investing Activities:**                                                                                            |   |     |    |     |   |   |   |
| Advances                  to related party                                                                                                            |   |     | (7,730  | )        |   | (64,910 | ) |
| Purchase                  of property and equipment                                                                                                   |   |     | -       |     |   | (795 | ) |
| **Net                  Cash Used In Investing Activities**                                                                                            |   |     | (7,730  | )        |   | (65,705 | ) |
|                                                                                                                                                  |   |     |    |     |   |   |   |
| **Cash                  Flows from Financing Activities:**                                                                                            |   |     |    |     |   |   |   |
| Contribution                  from spin off of Scrap China                                                                                            |   |     | -       |     |   | 58,624 |   |
| **Net                  Cash Flows Provided by Financing Activities:**                                                                                 |   |     | -       |     |   | 58,624 |   |
| **Effect                  of Exchange Rate Changes on Cash**                                                                                          |   |     | 2,051   |     |   | 739 |   |
| **Net                  Change in Cash**                                                                                                               |   |     | 2,654   |     |   | (8,967 | ) |
| **Cash                  at Beginning of Period**                                                                                                      |   |     | 315,304 |     |   | 226,979 |   |
| **Cash                  at End of Period**                                                                                                            |   | $        | 317,958 |     | $      | 218,012 |   |

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**RECYCLENET        CORPORATION AND SUBSIDIARIES**

**NOTES        TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(UNAUDITED)**

**NOTE        1-ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES**

**Basis        of Presentation —**

**Reclassification**

**Corrected        prior year financial**
***-***

**NOTE        2-RELATED PARTY TRANSACTIONS**

**Related        Party Receivable**
**—**

**NOTE        3-STOCKHOLDERS’ EQUITY**

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**NOTE        4-BASIC AND DILUTED INCOME (LOSS) PER COMMON SHARE**

|                                                                                                                                                                                        |   | **For                  the three months ended** |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------|
|                                                                                                                                                                                        |   | **March                  31,**                  |
|                                                                                                                                                                                        |   | **2007**                                        |   | **2006** |
| Weighted-average                  number of common shares used in basic income (loss) per common                  share                  calculation                                        |   | 77,108,214                                      |   | 77,108,214 |
| Incremental                  potentially issuable common shares from assumed conversion of Class                  N (and                  Class X) common shares                            |   | 60,539,259                                      |   | - |
| Weighted-average                  number of common shares and dilutive potential common shares used                  in                  diluted income (loss) per common share calculation |   | 137,647,473                                     |   | 77,108,214 |

**NOTE        5-ACQUISITIONS**

**ITEM        2. MANAGEMENT'S DISCUSSION AND ANALYSIS **

**Cautionary        Statement Regarding Forward-Looking Statements**

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**Overview**

**Results        of Operations**

**Sales        Revenues**

|                            |   | **For                  the Three Months Ended** |    |
|---------------------------------|--------|-------------------------------------------------|---------|
|                            |   | **March                  31,**                  |    |
|                            |   | **2007**                                        |    | **2006** |   |
|                            |   |                                            |    |   |   |
| Sales                  Revenues |   | $                                               | 309,500 |   | $ | 265,800 |   |

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**Operating        Expenses **

|                                                   |   | **For                  the Three Months Ended** |    |
|--------------------------------------------------------|--------|-------------------------------------------------|---------|
|                                                   |   | **March                  31,**                  |    |
|                                                   |   | **2007**                                        |    | **2006** |   |
|                                                   |   |                                            |    |   |   |
| General                    and Administrative Expenses |   | $                                               | 307,900 |   | $ | 272,000 |   |

**Net        Profit (Loss) from Continuing Operations**

|                                                      |   | **For                  the Three Months Ended** |   |
|-----------------------------------------------------------|--------|-------------------------------------------------|--------|
|                                                      |   | **March                  31**                   |   |
|                                                      |   | **2007**                                        |   | **2006** |   |
|                                                      |   |                                            |   |   |   |
| Income                  (loss) from continuing operations |   | $                                               | 1,000  |   | $ | (7,600 | ) |

**Discontinued        Operations**

**Liquidity        and Capital Resources **

|                          |   | **March                  31,** |    | **December                  31,** |   |
|-------------------------------|--------|--------------------------------|---------|-----------------------------------|--------|
|                          |   | **2007**                       |    | **2006**                          |   |
|                          |   |                           |    |                              |   |
| Cash                  on Hand |   | $                              | 318,000 |                              | $      | 315,300 |   |

| **Deferred                  Revenue**  |   | **March                  31,** |    | **December                  31,** |   |
|---------------------------------------------|--------|--------------------------------|---------|-----------------------------------|--------|
|                                        |   | **2007**                       |    | **2006**                          |   |
|                                        |   |                           |    |                              |   |
|                                        |   | $                              | 138,200 |                              | $      | 135,100 |   |

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**ITEM        3. CONTROLS AND PROCEDURES**

**PART        II - OTHER INFORMATION**

| **ITEM                  1.** | **LEGAL                  PROCEEDINGS** |
|------------------------------|----------------------------------------|

| **ITEM                  2.** | **CHANGES                  IN SECURITIES AND SMALL BUSINESS ISSUER PURCHASE OF EQUITY                  SECURITIES** |
|------------------------------|---------------------------------------------------------------------------------------------------------------------|

| **ITEM                  3.** | **DEFAULT                  UPON SENIOR SECURITIES** |
|------------------------------|-----------------------------------------------------|

| **ITEM                  4.** | **SUBMISSION                  OF MATTERS TO A VOTE OF SECURITY                  HOLDERS** |
|------------------------------|-------------------------------------------------------------------------------------------|

| **ITEM                  5.** | **OTHER                  INFORMATION** |
|------------------------------|----------------------------------------|

| **ITEM                  6.** | **EXHIBITS                  AND REPORTS ON FORM 8-K** |
|------------------------------|-------------------------------------------------------|

| Exhibit | Description                                                                                                                                                                                     |
|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 31.1    | Certification                  of the Chief Executive Officer pursuant to Section 302 of the                  Sarbanes-Oxley Act of 2002                                                        |
| 31.2    | Certification                  of the Chief Financial Officer pursuant to Section 302 of the                  Sarbanes-Oxley Act of 2002                                                        |
| 32.1    | Certification                  of Chief Executive Officer pursuant to U.S.C Section 1350 as adopted                  pursuant to Section 906 of the Sarbanes-Oxley Act of                  2002 |
| 32.2    | Certification                  of Chief Financial Officer pursuant to U.S.C Section 1350 as adopted                  pursuant to Section 906 of the Sarbanes-Oxley Act of                  2002 |

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**SIGNATURES**

|                          | RecycleNet                  Corporation                                                                                                                                                                                                                                                                                                                                              |
|-------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                          |                                                                                                                                                                                                                                                                                                                                                                                 |
|                          |                                                                                                                                                                                                                                                                                                                                                                                 |
| May                  15, 2007 | /s/ Paul                Roszel                                                          |
|                          | Paul                  Roszel, President and Chairman of the                   Board of Directors                                                                                                                                                                                                                                                                                |
|                          |                                                                                                                                                                                                                                                                                                                                                                                 |
|                          |                                                                                                                                                                                                                                                                                                                                                                                 |
|                          |                                                                                                                                                                                                                                                                                                                                                                                 |
| May                  15, 2007 | /s/ Richard                Ivanovick                                                                                                           |
|                          | Richard                  Ivanovick, C.A., Chief Financial and                   Accounting Officer                                                                                                                                                                                                                                                                              |

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