FORM 10-QSB

                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

(Mark  One)

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

     For  the  quarterly  period  ended  September  30,  2003

                                       OR

[ ]  TRANSITION  REPORT  PURUSANT  TO  SECTION  13  OR  15(d)  OF  THE
     SECURITIES  EXCHANGE  ACT  OF  1934

                        Commission file number 33-19598-D

                          NANOPIERCE TECHNOLOGIES, INC.
                          -----------------------------
        (Exact name of small business issuer as specified in its charter)

             Nevada                                  84-0992908
             ------                                  ----------
 (State or other jurisdiction of                  (I.R.S. employer
 incorporation or organization)               identification  number)

                          370 17th Street, Suite 3640
                             Denver, Colorado 80202

              (Address of principal executive offices )  (Zip Code)

         Issuer's telephone number, including area code:  (303) 592-1010

                                 Not applicable
     (Former name, former address or former fiscal year, if changed since last
                                     report)

Indicate  by check mark whether the issuer (1) has filed all reports required to
be  filed  by  Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the  preceding  12  months  (or  for such shorter period that the registrant was
required  to  file  such  reports),  and  (2)  has  been  subject to such filing
requirements  for  the  past  90  days.     Yes  X   No
                                                ---     ---

As  of  November  13, 2003 there were 66,023,969 shares of the registrant's sole
class  of  common  shares  outstanding.

Transitional  Small  Business  Disclosure  Format          Yes      No  X
                                                               ---      ---


<PAGE>

                         PART I - FINANCIAL INFORMATION


ITEM  1.  FINANCIAL  STATEMENTS

PART I - FINANCIAL INFORMATION

ITEM  1.  Financial  Statements                                             Page
                                                                            ----

     Independent  Accountants'  Report                                       F-1

     Condensed  Consolidated  Balance  Sheet -September 30, 2003             F-2

     Condensed  Consolidated  Statements  of  Operations  -
          Three  months  ended
          September  30,  2003  and  2002                                    F-4

     Condensed  Consolidated  Statements  of  Comprehensive
          Loss  -  Three  months  ended
          September  30,  2003  and  2002                                    F-5

     Condensed  Consolidated  Statement  of  Changes  in  Shareholders'
          Equity  -Three  months  ended  September 30, 2003                  F-6

     Condensed  Consolidated  Statements  of  Cash  Flows  -
          Three  months  ended  September 30, 2003 and 2002                  F-7

     Notes  to  Condensed Consolidated Financial Statements                  F-8

Item  2.  Management's  Discussion  and  Analysis                             1

PART  II  -  OTHER  INFORMATION

Item  1.  Legal  Proceedings                                                  4

Item  2.  Changes  in  Securities                                             5

Item  4.  Controls  and  Procedures                                           5

Item  6.  Exhibits  and  Reports  on Form 8-K                                 6

     SIGNATURES                                                               7


<PAGE>
                         INDEPENDENT ACCOUNTANTS' REPORT
                         -------------------------------



Board  of  Directors
NanoPierce  Technologies,  Inc.

We  have  reviewed  the  accompanying  condensed  consolidated  balance sheet of
NanoPierce  Technologies,  Inc.  and  subsidiaries as of September 30, 2003, the
related  condensed  consolidated statements of operations and comprehensive loss
for  the  three-month  periods  ended September 30, 2003 and 2002, the condensed
consolidated  statement  of  changes in shareholders' equity for the three-month
period  ended  September  30, 2003, and the condensed consolidated statements of
cash flows for the three-month periods ended September 30, 2003 and 2002.  These
interim  condensed  consolidated  financial statements are the responsibility of
the  Company's  management.

We  conducted  our  reviews  in  accordance  with  standards  established by the
American  Institute  of  Certified  Public  Accountants.  A  review  of  interim
financial  information consists principally of applying analytical procedures to
financial  data  and  making  inquiries of persons responsible for financial and
accounting  matters.  It  is substantially less in scope than an audit conducted
in accordance with generally accepted auditing standards, the objective of which
is  the  expression  of an opinion regarding the financial statements taken as a
whole.  Accordingly,  we  do  not  express  such  an  opinion.

Based on our reviews, we are not aware of any material modifications that should
be  made to the accompanying interim condensed consolidated financial statements
for  them  to  be in conformity with accounting principles generally accepted in
the  United  States  of  America.

GELFOND  HOCHSTADT  PANGBURN,  P.C.


Denver,  Colorado
November  12,  2003


                                       F-1
<PAGE>
<TABLE>
<CAPTION>
                 NANOPIERCE TECHNOLOGIES, INC. AND SUBSIDIARIES
                      Condensed Consolidated Balance Sheet
                               September 30, 2003
                                   (Unaudited)


Assets
------
<S>                                                       <C>
Current assets:
  Cash and cash equivalents                               $   86,955
  Accounts receivable                                          9,352
  Inventory                                                   39,787
  Deferred consulting costs and other prepaid expenses        83,160
  Assets of discontinued operations (Note 2)                  26,364
                                                          -----------
    Total current assets                                     245,618
                                                          -----------

Property and equipment:
  Machinery                                                  458,601
  Office equipment and furniture                             331,113
  Leasehold improvements                                     138,776
                                                          -----------
                                                             928,490
  Less accumulated depreciation                             (415,907)
                                                          -----------
                                                             512,583
                                                          -----------

Other assets:
  Assets of discontinued operations (Note 2)                  17,653
  Deposits and other                                          19,958
  Intellectual property rights, net of accumulated
    amortization of $559,315                                 240,685
  Patent and trademark applications, net of accumulated
    amortization of $91,493                                  453,148
                                                          -----------
                                                             731,444
                                                          -----------

       Total assets                                       $1,489,645
                                                          ===========
</TABLE>
                                   (Continued)


                                       F-2
<PAGE>
<TABLE>
<CAPTION>
                 NANOPIERCE TECHNOLOGIES, INC. AND SUBSIDIARIES
                      Condensed Consolidated Balance Sheet
                               September 30, 2003
                                  (Unaudited)
                                  (Continued)




                Liabilities and Shareholders' Equity
                ------------------------------------
<S>                                                                <C>
Current liabilities:
  Accounts payable                                                 $    620,100
  Accrued liabilities                                                    47,618
  Notes payable - related parties (Note 4)                               75,000
  Liabilities of discontinued operations (Note 2)                       408,098
                                                                   -------------

    Total liabilities - all current                                   1,150,816
                                                                   -------------

Minority interest in joint venture (Note 5)                               1,205
                                                                   -------------

Commitments and contingencies (Notes 2, 4, 5 and 7)

Shareholders' equity (Note 6):
  Preferred stock; $0.0001 par value;
   5,000,000 shares authorized:
   Series A; no shares issued and outstanding
   Series B; maximum of 75,000 shares issuable; no
     shares issued and outstanding
   Series C; maximum of 700,000 shares issuable; no
     shares issued and outstanding
  Common stock; $0.0001 par value; 200,000,000 shares authorized
     66,023,969 shares issued and outstanding                             6,602
  Additional paid-in capital                                         21,671,345
  Accumulated other comprehensive income                                188,161
  Accumulated deficit                                               (21,528,484)
                                                                   -------------
      Total shareholders' equity                                        337,624
                                                                   -------------

        Total liabilities and shareholders' equity                 $  1,489,645
                                                                   =============
</TABLE>

See notes to condensed consolidated financial statements.


                                       F-3
<PAGE>
<TABLE>
<CAPTION>
                 NANOPIERCE TECHNOLOGIES, INC. AND SUBSIDIARIES
                 Condensed Consolidated Statements of Operations
                 Three Months Ended September 30, 2003 and 2002
                                   (Unaudited)

                                        -------------------------
                                            2003         2002
                                        ------------  -----------
<S>                                     <C>           <C>
Revenues                                $    25,051            -
                                        ------------  -----------

Operating expenses:
  Research and development                   46,655       95,173
  General and administrative                414,075      634,173
  Selling and marketing                      24,180       66,953
                                        ------------  -----------
                                            484,910      796,299
                                        ------------  -----------

Loss from operations                     (  459,859)  (  796,299)
                                        ------------  -----------

Other income (expense):
  Interest income                             3,418       10,288
  Minority interest in joint
    Venture loss (Note 5)                     3,794            -
  Interest expense                       (      297)           -
                                        ------------  -----------
                                              6,915       10,288
                                        ------------  -----------

Loss from continuing operations          (  452,944)  (  786,011)
                                        ------------  -----------

Discontinued operations, loss from
  operations of subsidiary (Note 2)      (    1,920)  (  232,714)
                                        ------------  -----------

Net loss                                $ ( 454,864)  (1,018,725)
                                        ============  ===========

Basic and diluted loss per share:
  Loss from continuing operations       $ (    0.01)  (     0.02)
  Loss from discontinued operations       (       -)  (        -)
                                        ------------  -----------

Net loss per share, basic and diluted   $ (    0.01)  (     0.02)
                                        ============  ===========

Weighted average number of common
  shares outstanding                     62,404,043   57,643,545
                                        ============  ===========
</TABLE>

     See notes to condensed consolidated financial statements.


                                       F-4
<PAGE>
<TABLE>
<CAPTION>
                 NANOPIERCE TECHNOLOGIES, INC. AND SUBSIDIARIES
            Condensed Consolidated Statements of Comprehensive Loss
                 Three Months Ended September 30, 2003 and 2002
                                  (Unaudited)


                              ------------------------
                                 2003         2002
                              -----------  -----------
<S>                           <C>          <C>
Net loss                      $ (454,864)  (1,018,725)

Change in unrealized gain on
  securities                        (119)        (118)

Change in foreign currency
  translation adjustments      (   1,810)  (    4,900)
                              -----------  -----------

Comprehensive loss            $( 456,793)  (1,023,743)
                              ===========  ===========
</TABLE>

See notes to condensed consolidated financial statements.


                                       F-5
<PAGE>
<TABLE>
<CAPTION>
                              NANOPIERCE TECHNOLOGIES, INC. AND SUBSIDIARIES
                    Condensed Consolidated Statement of Changes in Shareholders' Equity
                                   Three Months Ended September 30, 2003
                                                (Unaudited)


                                                               Accumulated
                              Common Stock        Additional      other                         Total
                          ----------------------   paid-in    comprehensive   Accumulated   shareholders'
                            Shares      Amount     capital        income        deficit        equity
                          ----------  ----------  ----------  --------------  ------------  --------------
<S>                       <C>         <C>         <C>         <C>             <C>           <C>
Balances, July 1, 2003    65,054,738  $    6,505  21,567,807        190,090   (21,073,620)        690,782

Common stock issued
  for cash                   769,231          77      99,923              -             -         100,000

Common stock issued
  in satisfaction of
  payable                    200,000          20       3,615              -             -           3,635

Net loss                           -           -           -              -      (454,864)       (454,864)

Other comprehensive
  income:
    Change in unrealized
      gain on securities           -           -           -           (119)            -            (119)
    Foreign currency
      translation
      adjustments                  -           -           -         (1,810)            -          (1,810)
                          ----------  ----------  ----------  --------------  ------------  --------------
Balances,
  September 30, 2003      66,023,969  $    6,602  21,671,345        188,161   (21,528,484)        337,624
                          ==========  ==========  ==========  ==============  ============  ==============
</TABLE>

See notes to condensed consolidated financial statements.


                                      F-6
<PAGE>
<TABLE>
<CAPTION>
                 NANOPIERCE TECHNOLOGIES, INC. AND SUBSIDIARIES
                Condensed Consolidated Statements of Cash Flows
                 Three Months Ended September 30, 2003 and 2002
                                  (Unaudited)


                                                               2003         2002
                                                           ------------  -----------
<S>                                                        <C>           <C>
Cash flows from operating activities:
 Net loss                                                  $(  454,864)  (1,018,725)
                                                           ------------  -----------
 Adjustments to reconcile net loss to net cash used
  in operating activities from continuing operations:
  Loss from discontinued operations                              1,920      232,714
  Amortization expense                                          38,616       32,239
  Depreciation expense                                          33,026       35,189
  Amortization of deferred consulting costs                     58,073            -
  Minority interest in joint venture                        (    3,794)           -
  Expenses incurred in exchange for
    common stock, warrants and options                               -       12,535
  Changes in operating assets and liabilities:
   Decrease in accounts receivable                               9,780       56,598
   Decrease in prepaid expense                                  27,818       20,450
   Increase in deposits and other assets                    (      330)    (    683)
   Increase in accounts payable and
     accrued liabilities                                        44,764       78,053
                                                           ------------  -----------
 Total adjustments                                             209,873      467,095
                                                           ------------  -----------

    Net cash used in operating activities
      from continuing operations                            (  244,991)  (  551,630)
                                                           ------------  -----------

Cash flows from investing activities:
  Increase in patent and trademark applications                (35,480)    ( 19,973)
  Purchase of property and equipment                           ( 1,575)    (  2,938)
  Payments received on note receivable                               -       95,862
                                                           ------------  -----------
    Net cash (used in) provided by investing activities
      from continuing operations                               (37,055)      72,951
                                                           ------------  -----------

Cash flows from financing activities:
  Issuance of common stock for cash                            100,000            -
  Cash received in conjunction with joint venture                5,000            -
  Proceeds from notes payable                                   65,000            -
                                                           ------------  -----------
    Net cash provided by financing activities
      from continuing operations                               170,000            -
                                                           ------------  -----------

Effect of exchange rate changes on cash
  and cash equivalents                                           2,359       (3,711)
                                                           ------------  -----------

Net cash used in discontinued operations                      (  4,097)      (  738)
                                                           ------------  -----------

Net decrease in cash and cash equivalents                     (113,784)  (  483,128)

Cash and cash equivalents, beginning                           200,739      679,209
                                                           ------------  -----------

Cash and cash equivalents, ending                          $    86,955      196,081
                                                           ============  ===========

Supplemental disclosure of non-cash financing activities:
  Issuance of common stock in satisfaction of payable      $     3,635            -
                                                           ============  ===========
</TABLE>

See notes to condensed consolidated financial statements.


                                      F-7
<PAGE>
                 NANOPIERCE TECHNOLOGIES, INC. AND SUBSIDIARIES
              Notes to Condensed Consolidated Financial Statements
          Three Months Ended September 30, 2003 and September 30, 2002
                                   (Unaudited)

1.  Business,  Organization  and  Summary  of  Significant  Accounting
    Policies:

Presentation  of  Interim  Information:

The  accompanying  condensed  consolidated  financial  statements  include  the
accounts  of  NanoPierce Technologies, Inc., a Nevada corporation (the Company),
its  wholly  owned  subsidiary,  NanoPierce  Connection  Systems, Inc., a Nevada
Corporation (NCOS) which was incorporated in November 2001, and its wholly owned
foreign  subsidiaries,  NanoPierce  Card Technologies GmbH, Hohenbrunn (NCT) and
ExypnoTech,  GmbH  (EPT),  both  German subsidiaries, which were incorporated in
January  2000  and  February  2002,  respectively, and its joint venture Scimaxx
Solutions,  LLC  ("Scimaxx  Solutions"),  a  Colorado limited liability company,
which  was  formed in September 2003 (Note 5). During the fiscal year ended June
30, 2003, NCT effectively discontinued its operations (Note 2).  All significant
intercompany  accounts  and  transactions have been eliminated in consolidation.

In  the  opinion  of  the  management of the Company, the accompanying unaudited
condensed  consolidated  financial  statements include all material adjustments,
including  all normal and recurring adjustments, considered necessary to present
fairly  the  financial  position  and  operating  results of the Company for the
periods  presented.  The  financial  statements  and  notes  are  presented  as
permitted by Form 10-QSB, and do not contain certain information included in the
Company's  last  Annual Report on Form 10-KSB for the fiscal year ended June 30,
2003.  It  is the Company's opinion that when the interim statements are read in
conjunction with the June 30, 2003 Annual Report on Form 10-KSB, the disclosures
are  adequate to make the information presented not misleading.  Interim results
are  not necessarily indicative of results for a full year or any future period.

The Company's financial statements for the three months ended September 30, 2003
have  been prepared on a going concern basis, which contemplates the realization
of assets and the settlement of liabilities and commitments in the normal course
of  business.  The  Company reported a net loss of $454,864 for the three months
ended  September  30,  2003,  and  an  accumulated  deficit of $21,528,484 as of
September 30, 2003. The Company has not recognized any significant revenues from
its  PI technology, and the Company expects to use cash in operations during the
next  year.  In  addition, a letter of intent with Meshed Systems, GmbH ("Meshed
Systems"),  in which Meshed Systems was to make a 100,000 Euro investment in EPT
for  a  51% equity interest was cancelled in November 2003. The Company has also
experienced  difficulty  and  uncertainty  in meeting its liquidity needs. These
factors  raise  substantial  doubt  about the Company's ability to continue as a
going  concern. The financial statements do not include any adjustments relating
to  the  recoverability  and  classification  of  assets  or  the  amounts  and
classification  of  liabilities  that  might  be necessary should the Company be
unable  to  continue  as  a  going  concern.


                                       F-8
<PAGE>
                 NANOPIERCE TECHNOLOGIES, INC. AND SUBSIDIARIES
              Notes to Condensed Consolidated Financial Statements
          Three Months Ended September 30, 2003 and September 30, 2002
                                   (Unaudited)

To  address its current cash flow concerns, the Company issued 769,231 shares of
common  stock  in  exchange  for  $100,000  cash  during  the three months ended
September  30,  2003  (Note  6).  The  Company is in discussions with investment
bankers  and  financial  institutions  attempting  to  raise additional funds to
support  current  and  future  operations.  This  includes  attempting  to raise
additional  working  capital  through  the  sale  of additional capital stock or
through  the  issuance  of  debt  (Note  7).

Currently,  the  Company  does  not  have  a  revolving  loan agreement with any
financial institution, nor can the Company provide any assurance it will be able
to  enter  into  any  such  agreement  in  the future, or be able to raise funds
through  a  further  issuance  of  debt  or  equity  in  the  Company.

Business:

The  Company  is  engaged  in  the design, development and licensing of products
using  its intellectual property, the PI Technology.  The PI Technology consists
of  patents,  pending  patent  applications, patent applications in preparation,
trade  secrets,  trade  names,  and  trademarks.  The  PI  Technology  improves
electrical,  thermal and mechanical characteristics of electronic products.  The
Company  has  designated  and  is  commercializing  its  PI  Technology  as  the
NanoPierce Connection System (NCS(TM)) and has begun to market the PI Technology
to  companies  in  various  industries  for  a  wide  range  of  applications.

NCOS business activities are to include the licensing, sale and/or manufacturing
of  certain  electronic products using the NCS technology. Through September 30,
2003,  NCOS  activities  have  primarily  consisted of research and development,
marketing  and administrative functions.  Prior to discontinuing operations, NCT
activities  consisted  primarily  of  providing  software  development  and
implementation  services,  and  performing  administrative,  research  and
development,  and  selling and marketing activities. Through September 30, 2003,
EPT  activities  have primarily consisted of manufacturing inlay components used
in,  among  other  things  Smart  Labels,  which  is  a  paper  sheet  holding a
chip-containing  module  that  is  capable  of memory storage and/or processing.
Beginning  in  September  2003, Scimaxx Solutions activities primarily represent
research  and  development  and  marketing  functions.

Business  Risk:

The  Company  is  subject  to risks and uncertainties common to technology-based
companies,  including  rapid  technological  change,  dependence  on  principle
products  and  third  party  technology,  new  product  introductions  and other
activities  of  competitors,  dependence on key personnel, and limited operating
history.


                                       F-9
<PAGE>
                 NANOPIERCE TECHNOLOGIES, INC. AND SUBSIDIARIES
              Notes to Condensed Consolidated Financial Statements
          Three Months Ended September 30, 2003 and September 30, 2002
                                   (Unaudited)

International  Operations:

The  Company's  foreign  subsidiaries  (NCT  and  EPT) operations are located in
Germany.  NCT  and  EPT  transactions are conducted in currencies other than the
U.S.  dollar,  (the  currency  into which the subsidiaries' historical financial
statements  have  been translated) primarily the Euro.  As a result, the Company
is  exposed  to  adverse  movements  in  foreign  currency  exchange  rates.  In
addition,  the Company is subject to risks including adverse developments in the
foreign  political  and  economic environments, trade barriers, managing foreign
operations  and potentially adverse tax consequences.  There can be no assurance
that  any  of  these  factors  will  not  have  a material adverse effect on the
Company's  financial  condition  or  results  of  operations  in  the  future.

Loss  Per  Share:

Statement  of Financial Accounting Standards (SFAS) No. 128, Earnings Per Share,
requires dual presentation of basic and diluted earnings or loss per share (EPS)
with  a  reconciliation  of  the  basic  EPS  computation  to  the numerator and
denominator  of  the  diluted  EPS  computation.  Basic  EPS  excludes dilution.
Diluted  EPS  reflects  the potential dilution that could occur if securities or
other  contracts  to  issue common stock were exercised or converted into common
stock  or  resulted  in  the  issuance  of  common stock that then shared in the
earnings of the entity.  Loss per share of common stock is computed based on the
average  number  of  common shares outstanding during the period.  Stock options
and  warrants  are  not  considered  in  the  calculation,  as the impact of the
potential  common shares (17,097,710 shares at September 30, 2003 and 10,927,661
shares  at  September 30, 2002) would be to decrease loss per share.  Therefore,
diluted  loss  per  share  is  equivalent  to  basic  loss  per  share.

Stock  Based  Compensation:

SFAS  No.  123,  Accounting  for  Stock  Based Compensation, allows companies to
choose  whether to account for employee stock-based compensation on a fair value
method,  or  to  continue  accounting  for such compensation under the intrinsic
value  method  prescribed  in  Accounting  Principles  Board  Opinion  No.  25,
Accounting  for  Stock  Issued to Employees (APB 25).  The Company has chosen to
continue  to  account  for  employee  stock-based  compensation  using  APB  25.


                                      F-10
<PAGE>
                 NANOPIERCE TECHNOLOGIES, INC. AND SUBSIDIARIES
              Notes to Condensed Consolidated Financial Statements
          Three Months Ended September 30, 2003 and September 30, 2002
                                   (Unaudited)

Had  compensation  cost  for  the Company's stock plans been determined based on
fair  value  at  the  grant dates for awards under the plans consistent with the
method  prescribed  under  SFAS No. 123, the Company's net loss and net loss per
share  for  the  three  months  ended September 30, 2003 and 2002, respectively,
would  have  changed  to  the  pro  forma  amounts  indicated  below:

<TABLE>
<CAPTION>
                                          September 30,   September 30,
                                              2003             2002
                                         ---------------  --------------
<S>                                      <C>              <C>

Net loss, as reported                    $   (  454,864)     (1,018,725)
Total stock-based employee compensation
expense determined under fair value
based method for all awards                           -      (   58,000)
                                         ---------------  --------------
Net loss, pro forma                      $   (  454,864)     (1,076,725)
                                         ===============  ==============
Net loss per share as reported           $   (     0.01)     (     0.02)
Net loss per share pro forma             $   (     0.01)     (     0.02)
</TABLE>

The  fair  value  of options granted during the three months ended September 30,
2002  (Note  6)  is  estimated  on  the  date  of  grant using the Black-Scholes
option-pricing  model  with  the  following  weighted-average  assumptions:

     Expected  dividend  yield                               0%
     Expected  stock  price  volatility                    105%
     Risk-free  interest  rate                             2.9%
     Expected  life  of  options                      6.5  years

No  options  were  granted  during  the  three  months ended September 30, 2003.

Recently  Issued  Accounting  Pronouncements

In  January  2003,  the  Financial Accounting Standards Board (FASB) issued SFAS
Interpretation  No.  46, Consolidation of Variable Interest Entities ("FIN 46"),
which  changes  the criteria by which one company includes another entity in its
consolidated  financial  statements.  FIN 46 requires a variable interest entity
("VIE") to be consolidated by a company if that company is subject to a majority
of  the  risk  of  loss  from  the  variable  interest entity's activities or is
entitled  to  receive  a majority of the entity's residual returns or both.  The
consolidation  requirements  of  FIN 46 apply immediately to VIE's created after
January  31, 2003, and apply in the first fiscal period beginning after December
15,  2003,  for  VIE's  created  prior to February 1, 2003. The Company is not a
party  to  any VIE's created prior to January 31, 2003.  The Company has applied
the provisions of FIN 46 in connection with a September 15, 2003 investment in a
joint  venture  (Note  5).


                                      F-11
<PAGE>
                 NANOPIERCE TECHNOLOGIES, INC. AND SUBSIDIARIES
              Notes to Condensed Consolidated Financial Statements
          Three Months Ended September 30, 2003 and September 30, 2002
                                   (Unaudited)

2.  Discontinued  Operations:

On  April 1, 2003, NCT filed insolvency with the Courts of Munich, Germany.  The
insolvency  filing  was  necessary in order to comply with specific German legal
requirements.  In  conjunction  with  the  insolvency  filing, management made a
decision  in  April  2003,  to  discontinue operations at NCT and liquidate NCT,
either  though  the  German  courts, or through a self-liquidation. In September
2003,  the  German  court rejected the application for insolvency; therefore NCT
implemented  a  plan of self-liquidation as provided by German law.  The Company
anticipates  that  liquidation  will  be  completed  by  June  30,  2004.

At  September 30, 2003, the carrying amounts of NCT's assets and liabilities are
as  follows:

<TABLE>
<CAPTION>
<S>                                           <C>
          Cash                                 $14,502
          Accounts receivable                    9,890
          Other assets                           1,972
                                              --------
             Total current assets               26,364
                                              --------

          Machinery, net                        12,885
          Office equipment, net                  4,768
                                              --------
                                                17,653
                                              --------

             Total assets                     $ 44,017
                                              ========

          Accounts payable                    $385,168
          Accrued liabilities                   22,930
                                              --------
             Total liabilities
                 (all current)(1)             $408,098
                                              ========
</TABLE>

(1)  Liabilities  above  do not include payables to the Company of approximately
     $176,075  at  September  30,  2003.

NCT's  revenues  for the three months ended September 30, 2003 and 2002 reported
in  discontinued  operations  were $692 and $59,174, respectively.  NCT incurred
losses  in  the  three  months  ended September 30, 2003 and 2002, of $1,920 and
$232,714,  respectively.  NCT  did  not  incur  any  income  taxes  during these
periods.

3.  Note  receivable:

During  the  three months ended September 30, 2002, the Company received $95,862
on  an  existing  5%  unsecured  loan  receivable.


                                      F-12
<PAGE>
                 NANOPIERCE TECHNOLOGIES, INC. AND SUBSIDIARIES
              Notes to Condensed Consolidated Financial Statements
          Three Months Ended September 30, 2003 and September 30, 2002
                                   (Unaudited)

4.  Notes  Payable  -  Related  Parties:

In  June  2003, an officer/director of the Company loaned $10,000 to the Company
in  exchange  for  an  unsecured  7%  promissory  note due in December 2003.  In
September  2003,  the  same  officer/director  loaned  the Company an additional
$30,000 in exchange for an unsecured, 7% promissory note, due in September 2004.

In  September  2003,  Intercell  International  Corporation, an affiliate of the
Company,  loaned the Company $35,000 in exchange for an unsecured, 7% promissory
note  due  in  September  2004.  In  November  2003,  Intercell  International
Corporation loaned the Company $100,000 in exchange for a 7% promissory note due
in  November 2004.  This promissory note is collateralized by an assignment of a
51% interest in the proceeds, if any, the Company may receive in connection with
the  Financing  Agreement  litigation  (Note  7).

5.  Investment in Joint  Venture  Interest:

On  September  15, 2003, the Company entered into a joint venture agreement with
Scimaxx,  LLC, an entity related to the Company in that a member of Scimaxx, LLC
is an officer/director of the Company.  The name of the joint venture is Scimaxx
Solutions,  LLC.  The purpose of the joint venture is to provide the electronics
industry  with  technical  solutions to manufacturing problems based on the need
for  electrical  connectivity.

The  Company  received  a  50% interest in the joint venture in exchange for the
contribution  of  NCOS  fixed  assets  with  a  carrying  value of approximately
$132,000  at  September  15,  2003. The Company also granted Scimaxx Solutions a
ten-year,  non-exclusive,  non-royalty  bearing  worldwide  license  to  use the
Company's  intellectual  property.  Scimaxx,  LLC  is to invest $50,000 cash, of
which $5,000 has been received as of September 30, 2003.  The terms of the joint
venture provide for the Company to share in 50% of joint venture net profits, if
any.  The  Company  is  to  share  in 50% of joint venture net losses beyond the
first  $50,000.  The  Company  has  a  49% voting interest in the joint venture.

Scimaxx  Solutions is considered to be a VIE based on criteria established under
FIN 46.  The Company has consolidated this VIE based on a determination that the
Company  is  the  primary beneficiary.  Minority interest at September 30, 2003,
represents  Scimaxx,  LLC's  proportionate  share  of  the joint venture equity.

Through  the three months ended September 30, 2003, Scimaxx Solutions recognized
a  loss  of  $3,794.


                                      F-13
<PAGE>
                 NANOPIERCE TECHNOLOGIES, INC. AND SUBSIDIARIES
              Notes to Condensed Consolidated Financial Statements
          Three Months Ended September 30, 2003 and September 30, 2002
                                   (Unaudited)

6.  Shareholders'  Equity:

During  the  three  months  ended  September  30, 2003, the Company sold 769,231
shares of restricted common stock for cash of $100,000.  The Company also issued
200,000  shares  of restricted common stock in satisfaction of a $3,635 payable.

During  the  three  months ended September 30, 2003, warrants to purchase 70,000
shares  of  common  stock  at  an  exercise  price  of  $2.81 per share expired.

During  the  three  months  ended  September 30, 2002, the Company granted stock
options to purchase 85,000 shares of common stock at exercise prices of $0.58 to
$0.97  per  share  to  employees  of  the  Company.

7.  Commitments  and  Contingencies:

Financial  Advisory  and  Placement  Agent  Agreement:

Effective  January  10,  2003,  the  Company  entered  into a 12-month financial
advisory  and  exclusive  placement  agent  agreement  with  a  third party (the
"Placement Agent").  Under the terms of the agreement, the Placement Agent is to
act as financial advisor to the Company and as its exclusive placement agent for
a  private  placement  of  equity securities during the twelve-month term of the
agreement.  During  the  term  of  the agreement, the Company is prohibited from
directly  or  indirectly  offering  securities,  except  in  connection with (a)
stock-based  compensation  issued  to  employees  or  other  participants,  (b)
securities  sold  prior  to  February  15,  2003,  and  (c)  securities  sold in
connection  with  bridge  financing,  as  defined  in  the  agreement.

Compensation  to  the  Placement  Agent  consists  of  a  retainer fee (deferred
consulting  costs) valued at approximately $230,400, which consists of a warrant
to  purchase up to 450,000 shares of the Company's common stock. The cost of the
warrant  is being amortized over a twelve-month period from the date of issuance
of  the  warrant.  During the three months ended September 30, 2003, $58,073 was
expensed  in  connection  with the warrant. Compensation also includes a $10,000
monthly  advisory fee, payable in cash, beginning in June 2003. In addition, the
Placement  Agent  is  to  receive  a  6% fee based on the proceeds raised from a
successful  offering, payable in cash, along with warrants to purchase shares of
the  Company's  common  stock  in an amount equal to 10% of the number of common
shares  issued  in  an  offering.


                                      F-14
<PAGE>
                 NANOPIERCE TECHNOLOGIES, INC. AND SUBSIDIARIES
              Notes to Condensed Consolidated Financial Statements
          Three Months Ended September 30, 2003 and September 30, 2002
                                   (Unaudited)

Financing  Agreement  Suit:

In  connection  with  a  financing  obtained  in October 2000, the Company filed
various actions in the United States District Court for the District of Colorado
against,  among others, Harvest Court, LLC, Southridge Capital Investments, LLC,
Daniel  Pickett,  Patricia  Singer and Thomson Kernaghan, Ltd. for violations of
federal  and  state  securities laws, conspiracy, aiding and abetting and common
law  fraud  among  other claims.  The Company is seeking various forms of relief
including  actual,  exemplary  and  treble  damages.  As  a  result  of  various
procedural  rulings  in  January  2002, the United States District Court for the
District  of  Colorado  transferred the case to the United States District Court
for  the  Southern District of New York, New York City, New York.  In July 2003,
Harvest  Court, LLC filed suit against the Company, Mr. Metzinger, Ms. Kampmann,
Dr.  Neuhaus, Dr. Shaw and unrelated third parties in the United States District
Court  for the Southern District of New York, New York City, New York.  The suit
alleges  violations  of federal securities laws and common law fraud among other
claims.  Harvest Court is seeking various forms of relief including compensatory
and  punitive  damages.  The  Company  is  preparing pleadings responsive to the
complaint.

In  May  2001,  Harvest Court, LLC filed suit against the Company in the Supreme
Court  of  the State of New York, County of New York.  The suit alleges that the
Company  breached  an  October 20, 2000 Stock Purchase Agreement, by not issuing
7,418,895  free  trading shares of the Company's common stock in connection with
the  reset provisions of the Purchase Agreement due on the second reset date and
approximately  4,545,303  shares  due  in  connection with the third reset date.
Harvest  Court,  LLC  is  seeking  the delivery of such shares or damages in the
alternative.  In August 2001, the Supreme Court of the State of New York, County
of  New York issued a preliminary injunction ordering the Company to reserve and
not  transfer  the shares allegedly due to Harvest Court.  The Company has filed
counterclaims  seeking  various  forms  of  relief  against  Harvest Court, LLC.

The Company intends to vigorously prosecute this litigation and does not believe
the  outcome  of  this  litigation  will  have  a material adverse effect on the
financial  condition,  results  of  operations  or  liquidity  of  the  Company.
However, it is too early at this time to determine the ultimate outcome of these
matters.


                                      F-15
<PAGE>
                 NANOPIERCE TECHNOLOGIES, INC. AND SUBSIDIARIES
              Notes to Condensed Consolidated Financial Statements
          Three Months Ended September 30, 2003 and September 30, 2002
                                   (Unaudited)

8.  Foreign  and  Domestic  Operations:

The  Company's revenues from continuing operations during the three-month period
ended  September  30,  2003  were  generated  solely  in Germany.  There were no
revenues  from  continuing  operations  during  the  three-month  period  ended
September  20,  2002.  There  was  no  significant  amount  of transfers between
geographic  areas.  Long-lived  assets at September 30, 2003, by geographic area
are  as  follows:


            United  States                                  $  855,458
            Germany                                            350,958
                                                            ----------

            Total                                           $1,206,416
                                                            ==========


                                      F-14
<PAGE>
ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS

     Certain  statements  contained in this Form 10-QSB contain "forward-looking
statements"  within  the meaning of the Private Securities Litigation Reform Act
of  1995  and involve risks and uncertainties that could cause actual results to
differ  materially  from  the  results,  financial  or  otherwise,  or  other
expectations  described in such forward-looking statements.  Any forward-looking
statement  or statements speak only as of the date on which such statements were
made,  and  the  Company  undertakes no obligation to update any forward-looking
statement  to  reflect  events  or  circumstances  after  the date on which such
statements  are  made  or  reflect  the  occurrence  of  unanticipated  events.
Therefore, forward-looking statements should not be relied upon as prediction of
actual  future  results.

     The  independent  auditors' report on the Company's financial statements as
of  June  30, 2003, and for each of the years in the two-year period then ended,
includes  a  "going  concern"  explanatory paragraph, that describes substantial
doubt  about  the Company's ability to continue as a going concern. Management's
plans in regard to the factors prompting the explanatory paragraph are discussed
below  and  also  in  Note  1  to  the  quarterly  Financial  Statements.

RESULTS  OF  OPERATIONS

     On  April 1, 2003, NCT filed insolvency with the Courts of Munich, Germany.
The  insolvency  filing  was  necessary, in the view of the Company, in order to
comply  with  specific  German  legal  requirements.  NCT  is  presented  as
discontinued  operations  in  the  Company's  consolidated financial statements.
During  the  three  months  ended  September  30, 2003, NCT had losses of $1,920
compared to losses of $232,714 during the three months ended September 30, 2002.
In  September  2003,  the  court rejected the application for insolvency and the
Company  is  now  under  self-liquidation  in  accordance  with  German  law.

     The  Company  recognized  $25,051  in  revenues  from continuing operations
during  the  three  months ended September 30, 2003. The $25,051 in revenues was
generated  from  the  sale  of  inlay components to customers by ExypnoTech. The
Company  expects  to  continue  to  generate  revenues  in  the  future from the
preparation  of  inlays  for  those  customers  for  which it has non-disclosure
agreements  and  cooperation  agreements  and  from  the  sale of inlays through
ExypnoTech.

     The  Company  recognized  $3,418 in interest income during the three months
ended  September  30,  2003  compared  to  $10,288 during the three months ended
September  30, 2002.  The decrease of $6,870 is due primarily to the use of cash
to  support  operations.

     Total operating expenses from continuing operations during the three months
ended September 30, 2003 were $484,910 compared to $796,299 for the three months
ended September 30, 2002.  The decrease of $311,389 is primarily attributable to
a  decrease  in  general  and  administrative  expenses,  as  described  below.


                                        1
<PAGE>
     General and administrative expenses during the three months ended September
30, 2003 were $414,075 compared to $634,173 for the three months ended September
30,  2002.  The  decrease  of  $220,098  is  primarily attributable to a $75,990
decrease  in  legal expenses and a $221,993 decrease in payroll expenses, offset
by  an  increase  of  $52,173  in  consulting  expenses.  Selling  and marketing
expenses  during the three months ended September 30, 2003 were $24,180 compared
to  $66,953  during  the  three months ended September 30, 2002. The decrease of
$42,773  was  due  to a decrease in marketing activities throughout the Company.
Research  and  development  expenses during the three months ended September 30,
2003  were  $46,655 compared to $95,173 for the three months ended September 30,
2002.  The  decrease  of  $48,518  was  due  to an decrease in activities at the
Company's  subsidiaries in connection with the further development and expansion
of  the  NCS(TM)  technology.

     During  the three months ended September 30, 2003, the Company recognized a
net  loss  of  $454,864  compared  to  a net loss of $1,018,725 during the three
months  ended  September  30,  2002.  The  decrease  of  $563,861  is  primarily
attributable  to  the  decrease of $311,389 in operating expenses and a decrease
in  the  loss  from  discontinued  operations  of  $230,794.

LIQUIDITY  AND  FINANCIAL  CONDITION

     The  Company's  current  operations are not generating positive cash flows.
During  the  three  months  ended  September  30, 2003, the Company sold 769,231
shares  of  common  stock  for  $100,000.  The  funds  were  raised  to  support
operations.

     As  a  result  of  continued  operational  losses  and  working  capital
deficiencies  and in order to comply with specific German legal requirements, in
April  2003, the Company's wholly owned subsidiary NanoPierce Card Technologies,
Gmbh  (NCT)  filed  for  insolvency with the Courts of Munich, Germany.  NCT has
been  placed  in  receivership  while  a  plan  of  liquidation  is  developed.

     During  the  fiscal  year  ended  June 30, 2003, the Company entered into a
12-month financial advisory and exclusive placement agent agreement with a third
party  (the "Placement Agent").  Under the terms of the agreement, the Placement
Agent  is  to  act  as the financial advisor to the Company and as its exclusive
placement  agent  for  a  private  placement  of  equity  securities  during the
twelve-month term of the agreement.  In addition, the Company is exploring other
financing  opportunities  to  support  continuing  operations.

     During  the  three months ended September 30, 2003, an officer and director
of  the  Company  loaned  $30,000 to the Company in exchange for an unsecured 7%
promissory  note  due  in  September 2004. During the fiscal year ended June 30,
2003, the same officer and director of the Company loaned $10,000 to the Company
in  exchange  for  an  unsecured  7%  promissory  note  due in December 2003. At
September  30,  2003,  the  note  balances  were  $40,000.

     During  the  three months ended September 30, 2003, Intercell International
Corporation, an affiliate of the Company, loaned the Company $35,000 in exchange
for  an  unsecured  7%  promissory note due in September 2004.  At September 30,
2003,  the  note  balance  was  $35,000.


                                        2
<PAGE>
     In  November  2003,  Intercell International Corporation loaned the Company
$100,000  in  exchange  for  a  7%  promissory  note  due in November 2004.  The
promissory  note  is collateralized by an assignment of a 51% interest in and to
the  proceeds, if any, that the Company may receive as a result of the Financing
Agreement  litigation.

     During  the  three  months  ended September, 2003, the Company expanded the
scope  of  its  patent and trademark applications.  The intellectual property is
being amortized using the straight-line method over ten years.  On September 30,
2003,  the  Company has net patent and trademark applications costs of $453,148,
compared  to  $255,380  on  September  30,  2002.  The  increase of $195,768 was
primarily  due  to  the  Company's  efforts  to  increase  patent  and trademark
protection  overseas.

PLAN  OF  OPERATIONS

     In  September  2003,  the Company formed a joint venture with Scimaxx, LLC.
The joint venture, Scimaxx Solutions, LLC is to market the Company's technology.
Scimaxx  LLC,  is owned by an officer and director of the Company and two former
employees of the Company.  In return for 50% ownership of the Scimaxx Solutions,
LLC,  the  Company  contributed  a  license  to  utilize  its technology and the
facilities and equipment of NanoPierce Connections.  The Company is not required
to make any cash contributions to the joint venture.  Operating capital is to be
provided  by  Scimaxx,  LLC.

On  September  22,  2003,  the  Company  signed  a  letter of intent with Meshed
Systems,  GmbH ("Meshed Systems"), in which Meshed Systems was to make a 100,000
Euro  investment  in ExypnoTech for a 51% equity interest.  The letter of intent
provided for the transaction to close on November 7, 2003.  This transaction did
not  close  on  November  7,  2003, and the letter of intent has been cancelled.

     The  Company  is  continuing  to  look  for  additional  financing  through
marketing  of  its  NCS(TM)  technology  through the pursuit of licensing, joint
ventures, co-manufacturing or other similar arrangements with industry partners.
The  failure  to secure such a relationship will result in the Company requiring
substantial  additional  capital  and  resources  to bring its NCS technology to
market.  To  the  extent the Company's operations are not sufficient to fund the
Company's  capital  requirements,  the  Company  may enter into a revolving loan
agreement  with  financial  institutions or attempt to raise capital through the
sale  of  additional  capital  stock  or  through  the  issuance  of  debt.

     At  the  present time, the Company does not have a revolving loan agreement
with any financial institution nor can the Company provide any assurance that it
will  be able to enter into any such agreement in the future or be able to raise
funds  through  the  further  issuance  of  debt  or equity in the Company.  The
Company  continues  to evaluate additional merger and acquisition opportunities.


                                        3
<PAGE>
                           PART II - OTHER INFORMATION

ITEM  1.     LEGAL  PROCEEDINGS

 Financing Agreement

     In  connection with a financing obtained in October 2000, the Company filed
various actions in the United States District Court for the District of Colorado
against,  among others, Harvest Court, LLC, Southridge Capital Investments, LLC,
Daniel  Pickett,  Patricia  Singer and Thomson Kernaghan, Ltd. for violations of
federal  and  state  securities laws, conspiracy, aiding and abetting and common
law  fraud  among  other claims.  The Company is seeking various forms of relief
including  actual,  exemplary  and  treble  damages.  As  a  result  of  various
procedural  rulings  in  January  2002, the United States District Court for the
District  of  Colorado  transferred the case to the United States District Court
for  the  Southern District of New York, New York City, New York.  In July 2003,
Harvest  Court, LLC filed suit against the Company, Mr. Metzinger, Ms. Kampmann,
Dr.  Neuhaus, Dr. Shaw and unrelated third parties in the United States District
Court  for the Southern District of New York, New York City, New York.  The suit
alleges  violations  of federal securities laws and common law fraud among other
claims.  Harvest Court is seeking various forms of relief including compensatory
and  punitive  damages.  The  Company  is  preparing pleadings responsive to the
complaint.

     In  May  2001,  Harvest  Court,  LLC  filed suit against the Company in the
Supreme  Court  of  the State of New York, County of New York.  The suit alleges
that  the  Company breached an October 20, 2000 Stock Purchase Agreement, by not
issuing  7,418,895  free  trading  shares  of  the  Company's  common  stock  in
connection with the reset provisions of the Purchase Agreement due on the second
reset  date  and approximately 4,545,303 shares due in connection with the third
reset  date.  Harvest  Court,  LLC  is  seeking  the  delivery of such shares or
damages  in  the alternative.  In August 2001, the Supreme Court of the State of
New  York,  County  of  New  York  issued  a preliminary injunction ordering the
Company  to  reserve and not transfer the shares allegedly due to Harvest Court.
The  Company  has  filed  counterclaims  seeking various forms of relief against
Harvest  Court,  LLC.

     The  Company  is  also  involved  in other various claims and legal actions
arising  in  the ordinary course of business.  In the opinion of management, the
ultimate  disposition  of  the matter discussed above and other matters will not
have a material adverse impact either individually or in the aggregate on either
results  of  operations,  financial  position  or  cash  flows  of  the Company.


                                        4
<PAGE>

ITEM  2.     CHANGES  IN  SECURITIES

     The  Company  made  the following unregistered sales of its securities from
July  1,  2003  to  September  30,  2003.

<TABLE>
<CAPTION>
DATE OF    TITLE OF    NO. OF
 SALE     SECURITIES   SHARES        CONSIDERATION            PURCHASER
-------  ------------  -------  -----------------------  -------------------
<S>      <C>           <C>      <C>                      <C>
7/21/03  Common Stock  769,231  Financing                Neptune Investment
                                                         Group

7/22/03  Common Stock  200,000  Payment in satisfaction  Thompson & Lowe, PC
                                      of payable
</TABLE>

Exemption From Registration Claimed

     All of the sales by the Company of its unregistered securities were made by
the  Company  in  reliance upon Section 4(2) of the Act.  All of the individuals
and/or entities listed above that purchased the unregistered securities were all
known  to  the  Company  and  its  management,  through  pre-existing  business
relationships,  as  long  standing  business associates, friends, and employees.
All  purchasers  were  provided  access  to all material information, which they
requested,  and  all  information  necessary to verify such information and were
afforded access to management of the Company in connection with their purchases.
All  purchasers  of  the  unregistered  securities  acquired such securities for
investment and not with a view toward distribution, acknowledging such intent to
the  Company.  All  certificates or agreements representing such securities that
were  issued  contained restrictive legends, prohibiting further transfer of the
certificates or agreements representing such securities, without such securities
either  being  first  registered  or  otherwise  exempt from registration in any
further  resale  or  disposition.

ITEM  4.  CONTROLS  AND  PROCEDURES

     A  review  and  evaluation  was  performed  by  the  Company's  management,
including  the Company's Chief Executive Officer (the "CEO") and Chief Financial
Officer  (the  "CFO"),  of  the effectiveness of the design and operation of the
Company's  disclosure  controls and procedures as of a date within 90 days prior
to  the  filing  of this quarterly report.  Based on that review and evaluation,
the  CEO  and  CFO have concluded that the Company's current disclosure controls
and procedures, as designed and implemented, were effective.  There have been no
significant changes in the Company's internal controls subsequent to the date of
their  evaluation.  There  were no significant material weaknesses identified in
the  course of such review and evaluation and, therefore, no corrective measures
were  taken  by  the  Company.


                                        5
<PAGE>
ITEM  6.     EXHIBITS  AND  REPORTS  ON  FORM  8-K

     (a)     EXHIBITS

             Exhibit 11 Computation of Net Loss Per Share

             Exhibit 31 Certifications pursuant to Section 302 of the
                        Sarbanes-Oxley Act

             Exhibit 32 Certifications pursuant to Section 906 of the
                        Sarbanes-Oxley  Act

     (b)     FORM  8-K


                                        6
<PAGE>
                                   SIGNATURES

     Pursuant  to  the  requirements of the Securities Exchange Act of 1934, the
registrant  has  duly  caused  this  report  to  be  signed on its behalf by the
undersigned,  thereunto  duly  authorized.

                                    NANOPIERCE  TECHNOLOGIES,  INC.
                                    (REGISTRANT)

Date:  November  14,  2003          /s/  Paul  H.  Metzinger
                                    -------------------------------
                                    Paul  H.  Metzinger,  President  &  CEO


Date: November 14, 2003             /s/ Kristi J. Kampmann
                                    ---------------------------------
                                    Kristi  J.  Kampmann,
                                       Chief  Financial  Officer


                                        7
<PAGE>