Cover
Cover - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Apr. 15, 2022 | Jun. 30, 2021 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Document Period End Date | Dec. 31, 2021 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2021 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity File Number | 000-55053 | ||
Entity Registrant Name | leet technology inc. | ||
Entity Central Index Key | 0001586495 | ||
Entity Tax Identification Number | 46-3590850 | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Address, Address Line One | 805, 8th Floor | ||
Entity Address, Address Line Two | Menara Mutiara Majestic | ||
Entity Address, Address Line Three | Jalan Othman, Petaling Jaya 46000 | ||
Entity Address, City or Town | Selangor | ||
Entity Address, Country | MY | ||
Entity Address, Postal Zip Code | 90035 | ||
City Area Code | 603 | ||
Local Phone Number | 7783 1636 | ||
Title of 12(g) Security | Common Stock, par value $0.0001 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | true | ||
Elected Not To Use the Extended Transition Period | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 0 | ||
Entity Bankruptcy Proceedings, Reporting Current | true | ||
Entity Common Stock, Shares Outstanding | 152,899,640 | ||
Auditor Firm ID | 711 | ||
Auditor Name | Friedman LLP | ||
Auditor Location | Marlton, New Jersey |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Current assets: | ||
Cash | $ 23,192 | $ 38,985 |
Accounts receivable | 19,833 | 20,630 |
Deposits and other receivables | 25,367 | 2,897 |
Total current assets | 68,392 | 62,512 |
Non-current assets: | ||
Plant and equipment, net | 153,191 | 8,034 |
Intangible assets | 0 | 540,126 |
Operating lease right-of-use assets | 8,052 | 3,018 |
TOTAL ASSETS | 229,635 | 613,690 |
Current liabilities: | ||
Accounts payable | 537,034 | 540,126 |
Accrued liabilities and other payables | 51,618 | 53,720 |
Accrued compensation payable to officers and directors | 366,558 | 293,020 |
Amounts due to related parties | 4,035,596 | 2,254,023 |
Operating lease liability - current | 5,042 | 3,075 |
Total current liabilities | 4,995,848 | 3,143,964 |
Non-current liabilities | ||
Operating lease liability – non-current | 2,971 | 0 |
TOTAL LIABILITIES | 4,998,819 | 3,143,964 |
STOCKHOLDERS’ DEFICIT | ||
Common stock, $0.0001 par value; 10,000,000,000 shares authorized; 152,899,640 and 140,397,289 shares issued and outstanding as of December 31, 2021 and 2020, respectively | 15,290 | 14,040 |
Additional paid-in capital | 3,062,662 | 9,900 |
Accumulated other comprehensive loss | (12,530) | (76,195) |
Accumulated losses | (7,834,706) | (2,478,119) |
Total stockholders’ deficit | (4,769,184) | (2,530,274) |
TOTAL LIABILITIES AND STOCKHOLDERS’ DEFICIT | 229,635 | 613,690 |
Series A Preferred Stock [Member] | ||
STOCKHOLDERS’ DEFICIT | ||
Preferred stock, value issued | 100 | 100 |
Series B Preferred Stock [Member] | ||
STOCKHOLDERS’ DEFICIT | ||
Preferred stock, value issued | $ 0 | $ 0 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Dec. 31, 2021 | Dec. 31, 2020 |
Preferred stock, par value | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized | 20,000,000 | 20,000,000 |
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 10,000,000,000 | 10,000,000,000 |
Common stock, shares issued | 152,899,640 | 140,397,289 |
Common stock, shares outstanding | 152,899,640 | 140,397,289 |
Series A Preferred Stock [Member] | ||
Preferred stock, par value | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized | 20,000,000 | 20,000,000 |
Preferred stock, shares issued | 1,000,000 | 1,000,000 |
Preferred stock, shares outstanding | 1,000,000 | 1,000,000 |
Series B Preferred Stock [Member] | ||
Preferred stock, par value | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Income Statement [Abstract] | ||
Revenue | $ 62,842 | $ 73,416 |
Cost of revenue (includes related party expenses, $439,884 and $299,205 in 2021 and 2020) | (588,690) | (361,282) |
Gross loss | (525,848) | (287,866) |
Operating expenses: | ||
Research and development (includes related party expenses, $36,166 and $65,975 in 2021 and 2020) | (36,214) | (65,975) |
General and administrative expenses | (4,795,550) | (509,146) |
Total operating expenses | (4,831,764) | (575,121) |
Loss from operations | (5,357,612) | (862,987) |
Other income: | ||
Sundry income | 1,025 | 16,747 |
LOSS BEFORE INCOME TAXES | (5,356,587) | (846,240) |
Income tax expense | 0 | 0 |
NET LOSS | (5,356,587) | (846,240) |
Other comprehensive income (loss): | ||
Foreign currency translation gain (loss) | 63,665 | (55,082) |
COMPREHENSIVE LOSS | $ (5,292,922) | $ (901,322) |
Basic and diluted loss per common share | $ (0.04) | $ (0.03) |
Weighted average number of common shares outstanding, basic and diluted | 144,621,183 | 24,183,790 |
CONSOLIDATED STATEMENTS OF OP_2
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (Parenthetical) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Income Statement [Abstract] | ||
Related party expeses | $ 439,884 | $ 299,205 |
Research and development, related party expenses | $ 36,166 | $ 65,975 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY DEFICIT - USD ($) | Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | AOCI Attributable to Parent [Member] | Retained Earnings [Member] | Total |
Beginning balance, value at Dec. 31, 2019 | $ 1,000 | $ (21,113) | $ (1,618,839) | $ (1,638,952) | ||
Beginning balance, shares at Dec. 31, 2019 | 10,000,000 | |||||
Shares issued for acquisition of legal acquirer | $ 100 | $ 13,040 | 9,900 | (13,040) | 10,000 | |
Shares issued for acquisition of legal acquirer, shares | 1,000,000 | 130,397,289 | ||||
Foreign currency translation adjustment | (55,082) | (55,082) | ||||
Net loss for the year | (846,240) | (846,240) | ||||
Ending balance, value at Dec. 31, 2020 | $ 100 | $ 14,040 | 9,900 | (76,195) | (2,478,119) | (2,530,274) |
Ending balance, shares at Dec. 31, 2020 | 1,000,000 | 140,397,289 | ||||
Shares issued for consultancy services | $ 1,150 | 2,752,862 | 2,754,012 | |||
Shares issued for consultancy services, shares | 11,498,973 | |||||
Shares issued for commitment fee | $ 100 | 299,900 | 300,000 | |||
Shares issued for commitment fee, shares | 1,003,378 | |||||
Foreign currency translation adjustment | 63,665 | 63,665 | ||||
Net loss for the year | (5,356,587) | (5,356,587) | ||||
Ending balance, value at Dec. 31, 2021 | $ 100 | $ 15,290 | $ 3,062,662 | $ (12,530) | $ (7,834,706) | $ (4,769,184) |
Ending balance, shares at Dec. 31, 2021 | 1,000,000 | 152,899,640 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Cash flows from operating activities: | ||
Net loss | $ (5,356,587) | $ (846,240) |
Adjustments to reconcile net loss to net cash used in operating activities | ||
Depreciation on plant and equipment | 23,053 | 4,684 |
Amortization on intangible assets | 179,703 | 0 |
Right of use amortization | 5,067 | 4,961 |
Impairment loss on intangible assets | 362,815 | 0 |
Stock based compensation | 3,054,012 | 0 |
Changes in operating assets and liabilities: | ||
Accounts receivable | 249 | (87,003) |
Deposits and other receivables | (22,702) | 25,126 |
Accrued liabilities and other payables | (10,698) | 17,975 |
Accrued compensation payable to officers and directors | 84,023 | 82,829 |
Operating lease liabilities | (5,162) | (5,003) |
Net cash used in operating activities | (1,686,227) | (802,671) |
Cash flows from investing activities: | ||
Purchase of intangible assets | (3,767) | |
Purchase of plant and equipment | (169,004) | (3,113) |
Net cash used in investing activities | (172,771) | (3,113) |
Cash flows from financing activities: | ||
Proceeds from a director | 9,286 | 20,000 |
Proceeds from related parties | 1,808,125 | 751,770 |
Net cash provided by financing activities | 1,817,411 | 771,770 |
Effect of exchange rate on changes in cash | 25,794 | 30,473 |
Net decrease in cash | (15,793) | (3,541) |
CASH, BEGINNING OF YEAR | 38,985 | 42,526 |
CASH, END OF YEAR | 23,192 | 38,985 |
SUPPLEMENTAL CASH FLOW INFORMATION | ||
Cash paid for tax | 0 | 0 |
Cash paid for interest | 0 | 0 |
Right-of-use assets and lease liabilities | 10,237 | 0 |
Non-cash purchase of intangible assets | $ 539,899 |
DESCRIPTION OF BUSINESS AND ORG
DESCRIPTION OF BUSINESS AND ORGANIZATION | 12 Months Ended |
Dec. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
DESCRIPTION OF BUSINESS AND ORGANIZATION | 1. DESCRIPTION OF BUSINESS AND ORGANIZATION Leet Technology Inc. (formerly Blow & Drive Interlock Corporation(“BDIC”)) (“the Company” or “LTES”) was incorporated on July 2, 2013 under the laws of the State of Delaware. The Company currently operates an eSports platform in Malaysia. On October 2, 2020, The Doheny Group, LLC, the former shareholder of the Company, agreed to sell its 110,617,521 shares of common stock of BDIC and 1,000,000 shares of Series A Preferred Stock pursuant to the terms of a Stock Purchase Agreement (the “Agreement”) to Mr. Dai Song. The shares represent approximately 84.83%, which is 130,397,289 shares of the issued and outstanding shares of the Company’s common stock, 100% of issued and outstanding Series A Preferred Stock, and 91.41% of the voting power of all securities of the Company, which resulted in a change in control of BDIC. In addition, under the Agreement, BDIC has agreed to sell its current assets and operations to a private company in exchange for the private company assuming all of its liabilities at closing. As of this date, the Company effectively became a shell Company through the date of the reverse recapitalization with BDIC. On November 18, 2020, the Company executed a Share Exchange Agreement (the “Share Exchange Agreement”) with Leet Technology Limited (“LTL”) and its shareholders. Pursuant to the Share Exchange Agreement, the shareholders of LTL agreed to sell its aggregate of 10,000 ordinary shares representing 100 10,000,000 Because the Company was a shell company, LTL will comprise the ongoing operations of the combined entity and its senior management will serve as the senior management of the combined entity, LTL is deemed to be the accounting acquirer for accounting purposes. The transaction will be treated as a recapitalization of the Company. Accordingly, the consolidated assets, liabilities and results of operations of the Company will become the historical financial statements of LTL, and the Company’s assets, liabilities and results of operations will be consolidated with LTL beginning on the acquisition date. LTL was the legal acquiree but deemed to be the accounting acquirer. The Company was the legal acquirer but deemed to be the accounting acquiree in the reverse merger. The historical financial statements prior to the acquisition are those of the accounting acquirer (LTL). On August 23, 2021, the Company was approved to change its current name to Leet Technology Inc. and the trading symbol of LTES. Description of subsidiaries Schedule of description of subsidiaries Name Place of incorporation and kind of legal entity Principal activities Particulars of registered/ paid up share capital Effective interest held Leet Technology Limited Labuan, Malaysia Investment holding 10,000 ordinary shares at par value of US$1 100 Leet Entertainment Group Limited Hong Kong Provision of information technology and mobile application development and digital content publishing service 1 ordinary share at par value of HK$1 100 Leet Entertainment Sdn. Bhd. Malaysia Provision of information technology and mobile application development and digital content publishing service 1,000 ordinary shares at par value of MYR1 100 The Company and its subsidiaries are hereinafter referred to as (the “Company”). |
LIQUIDITY AND GOING CONCERN UNC
LIQUIDITY AND GOING CONCERN UNCERTAINTIES | 12 Months Ended |
Dec. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
LIQUIDITY AND GOING CONCERN UNCERTAINTIES | 2. LIQUIDITY AND GOING CONCERN UNCERTAINTIES The accompanying consolidated financial statements of the Company have been prepared assuming the Company will continue as a going concern. The going concern basis of presentation assumes that the Company will continue in operation one year after the date these consolidated financial statements are issued and will be able to realize its assets and discharge its liabilities and commitments in the normal course of business. The Company has determined that certain factors raise substantial doubt about its ability to continue as a going concern for a least one year from the date of issuance of these consolidated financial statements. As of December 31, 2021, the Company had $ 23,192 4,927,456 7,834,706 5,356,587 12,815 The continuation of the Company as a going concern through December 31, 2021 is dependent upon the continued financial support from its stockholders. Management believes the Company is currently pursuing additional financing for its operations. However, there is no assurance that the Company will be successful in securing sufficient funds to sustain the operations. These and other factors raise substantial doubt about the Company’s ability to continue as a going concern. These consolidated financial statements do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets and liabilities that may result in the Company not being able to continue as a going concern. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accompanying consolidated financial statements reflect the application of certain significant accounting policies as described in this note and elsewhere in the accompanying consolidated financial statements and notes. Basis of presentation These accompanying consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“US GAAP”). Use of estimates and assumptions In preparing these consolidated financial statements, management makes estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements during the years reported. Actual results may differ from these estimates. Basis of consolidation The consolidated financial statements include the financial statements of the Company and its subsidiaries in conformity with US GAAP. All inter-company balances and transactions within the Company have been eliminated upon consolidation. Cash Cash represent cash on hand, demand deposits placed with banks or other financial institutions and all highly liquid investments with an original maturity of three months or less as of the purchase date of such investments. Accounts receivable Accounts receivable are recorded in accordance with Accounting Standards Codification (“ASC”) 310, “Receivables.” Accounts receivable are recorded at the invoiced amount and do not bear interest, which are due within contractual payment terms, generally 30 to 90 days from completion of service. Credit is extended based on evaluation of a customer's financial condition, the customer credit-worthiness and their payment history. Accounts receivable outstanding longer than the contractual payment terms are considered past due. Past due balances over 90 days and over a specified amount are reviewed individually for collectibility. At the end of each quarter, the Company specifically evaluates individual customer’s financial condition, credit history, and the current economic conditions to monitor the progress of the collection of accounts receivables. The Company will consider the allowance for doubtful accounts for any estimated losses resulting from the inability of its customers to make required payments. For the receivables that are past due or not being paid according to payment terms, the appropriate actions are taken to exhaust all means of collection, including seeking legal resolution in a court of law. The Company does not have any off-balance-sheet credit exposure related to its customers. As of December 31, 2021 and 2020, there were no Plant and equipment Plant and equipment are stated at historical cost less accumulated depreciation and accumulated impairment losses, if any. Leasehold improvements are amortized over the lessor of the based term of the lease or 5 years of the leasehold improvement. Depreciation is calculated on the straight-line basis over the following expected useful lives from the date on which they become fully operational and after taking into account their estimated residual values: Schedule of useful lives of plant and equipment Estimated useful life Computer equipment 5 years Furniture and fixtures 5 years Expenditures for repairs and maintenance are expensed as incurred. When assets have been retired or sold, the cost and related accumulated depreciation are removed from the accounts and any resulting gain or loss is recognized in the results of operations. Software and development costs Costs incurred to develop software for internal use are capitalized and amortized over the useful life of the software. Amortization of capitalized software development costs begin when the application is substantially complete and ready for its intended use. Capitalization ceases when the software has been tested and is ready for its intended use. Amortization is computed using the straight-line method over the estimated economic life of the product, which is estimated to be three years. Costs incurred during the planning, training and post-implementation stages of the software development life cycle are expensed as incurred. Research and development costs Research and development costs are expensed as incurred and consist of development work associated with our existing technology, customer solutions and processes. Our research and development expenses relate primarily to payroll costs for personnel, costs associated with various projects, including testing, development and other related expenses. Impairment of long-lived assets In accordance with the provisions of ASC Topic 360, “ Impairment or Disposal of Long-Lived Assets 362,815 0 Revenue recognition The revenue of the Company is currently generated from the provision of white label solutions and esports event management and team services. The Company recognizes revenue in accordance with ASC Topic 606 – Revenue from Contracts with Customers (“ASC 606”) when control of a product or service is transferred to a customer. Under ASC 606, a performance obligation is a promise within a contract to transfer a distinct good or service, or a series of distinct goods and services, to a customer. Revenue is recognized when performance obligations are satisfied and the customer obtains control of promised goods or services. The amount of revenue recognized reflects the consideration to which the Company expects to be entitled to receive in exchange for goods or services. Under the standard, a contract’s transaction price is allocated to each distinct performance obligation. To determine revenue recognition for arrangements that the Company determines are within the scope of ASC 606, the Company performs the following five steps: · identify the contract with a customer; · identify the performance obligations in the contract; · determine the transaction price; · allocate the transaction price to performance obligations in the contract; and · recognize revenue as the performance obligation is satisfied. White Label Solutions Revenue The Company derives revenue from the provision of white label solutions. The Company offers white label, contracted licensed, solutions primarily to their information & communications technology (“ICT”) partners. The Company engages its ICT partners to utilize its Matchroom.net Platform. For customers who have their own platforms and apps being used, the Company will customize the design of Matchroom.net to meet the customer’s need and integrate, a customized solution into the customer’s system. The Matchroom.net platform and software solution is customizable to the specific needs of each customer and can be integrated across multiple platforms. On average it will take the Company three months to complete the customization of the platform for a customers use. The Company’s typical arrangement involves customizing the Matchroom.net platform solution, which requires technical programming support to build out the platform to its customers specifications. As a result, in analyzing the performance obligations being provided to the customer the Company considers the software license and customization services as a single performance obligation as required by ASC 606. In carrying out the services under these arrangements, the Company is often provided with upfront payment which is deferred and recognized into revenue over the duration of the contract. Esports Tournament Management and Team Services Revenue The Company derives revenue from esports tournament management and team services. The Company offers tournament management services to their customers, whereby they are engaged to provide the service of managing and hosting a tournament of the customer’s choice. The Company provides the required manpower and skills to host and manage an esports tournament on their own Matchroom.net platform or on the platform of the customer. The hosting and management of these tournaments on behalf of the customer is deemed to be one performance obligation and is met over the period of performance (couple of days) in which the tournament is held. The amount to be recognized as revenue equals the predetermined event management fee as per the agreement in place between the Company and the customer. The Company fulfils its performance obligation through the execution and completion of hosting the tournament, over the period of performance that being the multi-day tournament. The amount per the contract is based on the needs of the customer and the required level of manpower or skills needed for the relevant tournament. Apart from hosting the tournaments of other customers, the Company also hosts and managed their own internally held tournaments. The Company will obtain sponsorship agreements with other third-party entities whereby the Company commits to deliver certain sponsor and promotional services in exchange for consideration. Upon completion of the tournament a work completion report will be generated and communicated to the customer. Revenue will be recording pro rata during the duration of the tournament. The Company invoices its promotional partners based on the contracted services within the agreement. Disaggregation of Revenue The Company has disaggregated its revenue from contracts with customers into categories based on the nature of the revenue. The following table presents the revenue streams by segments, with the presentation revenue categories presented on the statements of operation for the years indicated: Schedule of Disaggregation of revenue Years ended December 31, 2021 2020 White label solutions $ 15,418 $ 41,165 Esport tournament management and team services 42,872 31,810 Matchroom Mini-app solutions 4,552 441 $ 62,842 $ 73,416 Stock based compensation The Company accounts for non-employee stock-based compensation in accordance with the guidance of FASB ASC Topic 718, Compensation—Stock Compensation, which requires all share-based payments to non-employees to be recognized in the financial statements based on their fair values. The fair value of the equity instrument is charged directly to compensation expense and credited to additional paid-in capital. Income taxes Income taxes are determined in accordance with the provisions of ASC Topic 740, Income Taxes ASC 740 prescribes a comprehensive model for how companies should recognize, measure, present, and disclose in their financial statements uncertain tax positions taken or expected to be taken on a tax return. Under ASC 740, tax positions must initially be recognized in the financial statements when it is more likely than not the position will be sustained upon examination by the tax authorities. Such tax positions must initially and subsequently be measured as the largest amount of tax benefit that has a greater than 50% likelihood of being realized upon ultimate settlement with the tax authority assuming full knowledge of the position and relevant facts. For the years ended December 31, 2021 and 2020, the Company did no The Company is subject to tax in local and foreign jurisdiction. As a result of its business activities, the Company files tax returns that are subject to examination by the relevant tax authorities. Foreign currency translation Transactions denominated in currencies other than the functional currency are translated into the functional currency at the exchange rates prevailing at the dates of the transaction. Monetary assets and liabilities denominated in currencies other than the functional currency are translated into the functional currency using the applicable exchange rates at the balance sheet dates. The resulting exchange differences are recorded in the consolidated statement of operations. The reporting currency of the Company is United States Dollar ("US$") and the accompanying consolidated financial statements have been expressed in US$. The functional currencies of the Company’s operating subsidiaries are their local currencies (Hong Kong Dollars (“HKD”) and Malaysian Ringgit (“MYR”)). HKD-denominated assets and liabilities are translated into the United States Dollar using the exchange rate at the balance sheet date (0.12866 and 0.12899, at December 31, 2021 and 2020, respectively), and revenue and expense accounts are translated using the weighted average exchange rate in effect for the period (0.12825 and 0.12894 for the year ended December 31, 2021 and 2020, respectively). MYR-denominated assets and liabilities are translated into the United States Dollar using the exchange rate at the balance sheet date (0.24145 and 0.24832, at December 31, 2021 and 2020, respectively), and revenue and expense accounts are translated using the weighted average exchange rate in effect for the period (0.23989 and 0.23812 for the year ended December 31, 2021 and 2020, respectively). Comprehensive loss ASC 220, “ Comprehensive Income Retirement plan costs Contributions to retirement plans (which are defined contribution plans) are charged to general and administrative expenses in the accompanying statements of operation as the related employee service is provided. Leases The Company adopted ASC 842, “ Leases” The Company determines if an arrangement is a lease at inception. Operating leases are included in operating ROU assets, other current liabilities, and operating lease liabilities in our consolidated balance sheets. ROU assets represent the right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As most of the Company’s leases do not provide an implicit rate, the Company generally use the incremental borrowing rate based on the estimated rate of interest for collateralized borrowing over a similar term of the lease payments at commencement date. The operating lease ROU asset also includes any lease payments made and excludes lease incentives. The lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense for lease payments is recognized on a straight-line basis over the lease term. In accordance with the guidance in ASC 842, components of a lease should be split into three categories: lease components (e.g. land, building, etc.), non-lease components (e.g. common area maintenance, consumables, etc.), and non-components (e.g. property taxes, insurance, etc.). Subsequently, the fixed and in-substance fixed contract consideration (including any related to non-components) must be allocated based on the respective relative fair values to the lease components and non-lease components. Net loss per common share The Company calculates net loss per common share in accordance with ASC 260, “Earnings per Share.” Schedule of anti-dilutive equity and debt securities As of December 31, 2021 2020 (Shares) (Shares) Warrants 910,410 4,080,160 Commitments and contingencies The Company follows the ASC 450-20, Commitments If the assessment of a contingency indicates that it is probable that a material loss has been incurred and the amount of the liability can be estimated, then the estimated liability would be accrued in the Company’s consolidated financial statements. If the assessment indicates that a potentially material loss contingency is not probable but is reasonably possible, or is probable but cannot be estimated, then the nature of the contingent liability, and an estimate of the range of possible losses, if determinable and material, would be disclosed. Loss contingencies considered remote are generally not disclosed unless they involve guarantees, in which case the guarantees would be disclosed. Management does not believe, based upon information available at this time that any matters will have a material adverse effect on the Company’s financial position, results of operations or cash flows. However, there is no assurance that such matters will not materially and adversely affect the Company’s business, financial position, and results of operations or cash flows. Fair value of financial instruments The Carrying amounts for cash, accounts receivable, deposits receivable, accounts payable, accrued liabilities, and other payables approximate their fair value because of their short-term maturity. The Company determined that the carrying amount of accrued compensation payable to officers and directors and amounts due to related parties approximates fair value as these amounts are indicative of the amounts the company would expect to settle in current market exchange. Reclassifications Certain balance sheet and income statement items have been reclassified to conform to the 2021 fiscal year end presentation. These reclassifications had no impact on reported operating and net loss. For balance sheet items, certain accrued liabilities and other payables are reclassified to accrued compensation payable to officers and directors and amounts due to related parties. For income statement items, IT operating expenses are reclassified to cost of revenue. Recent accounting pronouncements From time to time, new accounting pronouncements are issued by the FASB or other standard setting bodies and adopted by the Company as of the specified effective date. Unless otherwise discussed, the Company believes that the impact of recently issued standards that are not yet effective will not have a material impact on its financial position or results of operations upon adoption. Accounting Standards Adopted In December 2019, the FASB issued ASU No. 2019-12, Income Taxes: Simplifying the Accounting for Income Taxes (“ASU 2020-12”), which eliminates certain exceptions related to the approach for intra period tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. The new guidance also simplifies aspects of the accounting for franchise taxes and enacted changes in tax laws or rates and clarifies the accounting for transactions that result in a step-up in the tax basis of goodwill. The standard is effective for fiscal years and interim periods within those fiscal years beginning after December 15, 2020, with early adoption permitted. Adoption of the standard requires certain changes to be made prospectively, with some changes to be made retrospectively. Adopting the standard did not have a material impact on the consolidated financial statements. Accounting Standards Issued, Not Adopted In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments – Credit Losses: Measurement of Credit Losses on Financial Instruments In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform - Facilitation of the Effects of Reference Rate Reform on Financial Reporting |
PLANT AND EQUIPMENT
PLANT AND EQUIPMENT | 12 Months Ended |
Dec. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |
PLANT AND EQUIPMENT | 4. PLANT AND EQUIPMENT Plant and equipment consisted of the following: Schedule of plant and equipment As of December 31, 2021 2020 Computer equipment $ 170,056 $ 11,136 Furniture and fixtures 5,607 992 Leasehold improvements 18,009 12,618 Foreign currency translation difference (1,026 ) 364 192,646 25,110 Less: accumulated depreciation and amortization (39,756 ) (16,716 ) Less: foreign currency translation difference 301 (360 ) $ 153,191 $ 8,034 Depreciation and amortization expense for the years ended December 31, 2021 and 2020 were $ 23,053 4,684 During the year ended December 31, 2021 the Company purchased computers and equipment of approximately $ 145,883 |
INTANGIBLE ASSETS
INTANGIBLE ASSETS | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
INTANGIBLE ASSETS | 5. INTANGIBLE ASSETS As of December 31, 2021 and 2020, intangible assets consisted of the following: Schedule of intangible assets As of December 31, 2021 2020 At cost: Developed software $ 543,666 $ 539,899 Foreign currency translation difference (2,890 ) 227 540,776 540,126 Less: accumulated amortization and impairment loss (542,518 ) – Less: foreign currency translation difference 1,742 – Total intangible assets $ – $ 540,126 On September 25, 2020, the Company entered into a software development agreement with an independent third party vendor, Fastnet Technology Co., Limited (“Fastnet”) to design and develop a social gaming platform named “Matchroom” for the cost of $ 540,126 The software development of the platform was completed in December 2020 and its estimated life is 3 Amortization expense recorded for its intangible assets for the years ended December 31, 2021 and 2020 were $ 179,703 0 For the years ended December 31, 2021 and 2020, the Company recorded an impairment loss of $ 362,815 0 |
LEASE LIABILITY
LEASE LIABILITY | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
LEASE LIABILITY | 6. LEASE LIABILITY The Company entered into an operating lease for office premises. The lease term is fixed for 2 1.75 The Company excludes short-term leases (those with lease terms of less than one year at inception) from the measurement of lease liabilities or right-of-use assets. The consolidated balance sheet allocation of assets and liabilities related to operating lease is as follows: Schedule of allocation of assets and liabilities Consolidated Balance As of December 31, Sheets Caption 2021 2020 Assets Operating lease right-of-use assets $ 8,052 $ 3,018 Liabilities: Current Operating lease liability – current $ 5,042 $ 3,075 Non-current Operating lease liability – non-current 2,971 – Total lease liabilities $ 8,013 $ 3,075 For the years ended December 31, 2021 and 2020, the Company recorded lease expenses of $ 2,173 5,143 The future minimum operating lease commitments for operating leases having initial or non-cancelable terms in excess of one year are as follows: Schedule of lease obligations Year Ended December 31, 2022 $ 5,182 2023 3,023 Total minimum lease payments 8,205 Less: interest (192 ) Total present value of lease liabilities $ 8,013 |
STOCK BASED COMPENSATION
STOCK BASED COMPENSATION | 12 Months Ended |
Dec. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
STOCK BASED COMPENSATION | 7. STOCK BASED COMPENSATION During the year ended December 31, 2021, the Company recorded stock-based compensation expense of $ 3,054,012 Stock Incentive Plan On July 29, 2021, the Company adopted a 2021 Stock Incentive Plan (the “Plan”) to provide employees and consultants of the Company with an increased incentive to make significant and extraordinary contributions to the long-term performance and growth of the Company. The maximum number of shares which may be granted under the Plan shall be 5,000,000 shares in the aggregate of common stock of the Company. On July 29, 2021, the Company issued 3,095,000 0.22 680,900 On September 3, 2021, the Company issued 7,000,000 0.24 1,680,000 Restricted Stock Awards On August 23, 2021, the Company issued 1,403,973 0.28 393,112 |
STOCKHOLDERS_ EQUITY
STOCKHOLDERS’ EQUITY | 12 Months Ended |
Dec. 31, 2021 | |
Equity [Abstract] | |
STOCKHOLDERS’ EQUITY | 8. STOCKHOLDERS’ EQUITY Preferred Stock The Company’s articles of incorporation authorize the Company to issue up to 20,000,000 0.0001 Series A Preferred Stock The Company has been authorized to issue 1,000,000 shares of Series A Preferred Stock. The Series A shares have the following preferences: no dividend rights; no liquidation preference over the Company’s common stock; no conversion rights; no redemption rights; no call rights by the Company; each share of Series A Preferred stock will have one hundred (100) votes on all matters validly brought to the Company’s common stockholders. Series B Convertible Preferred Stock The Company has authorized 10,000,000 Series B Convertible Preferred Stock will have 1,000 votes on all matters validly brought to the Company’s common stock holders. As of December 31, 2021 and 2020, the total number of Series A preferred shares issued or issuable was 1,000,000 As of December 31, 2021 and 2020, there was no Common Stock The Company has authorized 10,000,000,000 0.0001 Pursuant to the Share Exchange Agreement executed on November 18, 2020, the Company issued 10,000,000 shares of its common stock to the Shareholders of LTL in exchange for 10,000 shares of all of the outstanding ordinary shares of LTL to consummate the reverse acquisition with LTL. On October 6, 2021, the Company issued 1,003,378 As of December 31, 2021 and 2020, the Company had a total of 152,899,640 140,397,289 |
WARRANTS
WARRANTS | 12 Months Ended |
Dec. 31, 2021 | |
Warrants | |
WARRANTS | 9. WARRANTS The Company issued common stock warrants in individual sales and in connection with common stock purchase agreements. The warrants have expiration dates ranging from three 3 4 0.10 1.00 A summary of warrant activity for the periods presented is as follows Schedule of warrant activity Weighted average Warrants for common shares Exercise price Remaining Outstanding as of December 31, 2019 4,130,160 $ 0.70 1.78 Forfeited, cancelled, expired (50,000 ) 0.01 ( 0.99 ) Outstanding as of December 31, 2020 4,080,160 0.71 0.79 Forfeited, cancelled, expired (3,169,750 ) 0.08 ( 0.46 ) Outstanding as of December 31, 2021 910,410 $ 0.79 0.33 There were 910,410 0.79 0 0 |
EARNING (LOSS) PER SHARE
EARNING (LOSS) PER SHARE | 12 Months Ended |
Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |
EARNING (LOSS) PER SHARE | 10. EARNING (LOSS) PER SHARE Net loss per share is provided in accordance with FASB ASC 260-10, “Earnings per share” The following table sets forth the computation of basic and diluted net loss per share for the years ended December 31, 2021 and 2020: Schedule of earning per share basic and diluted Year ended December 31, 2021 2020 Net loss for the year $ (5,356,587 ) $ (846,240 ) Weighted average number of common shares outstanding, basic and diluted 144,621,183 24,183,790 Basic and diluted loss per common share: $ (0.04 ) $ (0.03 ) |
INCOME TAX
INCOME TAX | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
INCOME TAX | 11. INCOME TAX The components of loss before income taxes consist of the following: Schedule of loss before income tax Years ended December 31, 2021 2020 U.S. $ (3,434,801 ) $ (175,743 ) Foreign (1,921,786 ) (670,497 ) Loss before income taxes $ (5,356,587 ) $ (846,240 ) The provisions (benefits) for income taxes for the years ended December 31, 2021 and 2020 were as follows: Schedule of provisions (benefits) for income taxes Years ended December 31, 2021 2020 Current income taxes: Federal $ – $ – State – – Foreign – – Total current – – Deferred income taxes: Federal – – State – – Foreign – – Total deferred – – Benefit (provision) for income taxes $ – $ – A reconciliation of the U.S. federal statutory income tax rate to the Company’s effective income tax rate is as follows: Schedule of effective income tax rate reconciliation Years ended December 31, 2021 2020 U.S. federal statutory rate 21.0 21.0 State income taxes, net of federal benefit 4.1 0.0 Foreign tax rate differential 0.5 (1.6 ) Increase (decrease) in valuation allowance (21.8 ) (19.2 ) Non-deductible expenses (4.1 ) – Other permanent differences, net 0.3 (0.2 ) Effective income tax rate 0.0% 0.0% The tax benefits associated with losses generated by the Company and its subsidiaries have been reduced by a full valuation allowance as we do not believe it is more-likely-than-not that the losses will be utilized. Schedule of Components of Deferred Tax Assets and Liabilities Years ended December 31, 2021 2020 Net operating loss carryforwards $ 2,700,301 $ 1,578,197 Capitalized organizational costs 4,058 – Other 2,047 736 Total deferred tax assets 2,706,406 1,578,933 Valuation allowance (2,650,851 ) (1,493,197 ) Total net deferred tax assets 55,555 85,736 Basis difference in long-lived fixed assets (53,622 ) (85,013 ) Right-of-use assets (1,933 ) (723 ) Total deferred tax liabilities (55,555 ) (85,736 ) Net deferred tax assets (liabilities) $ – $ – At December 31, 2021 and 2020, the Company has U.S. federal operating loss carryforwards of $ 7,247,356 4,127,053 6,542,099 3,421,796 4,601,190 2,646,166 At December 31, 2021 and 2020, the Company’s subsidiary operating in Hong Kong has net operating loss carryforwards of $ 698,685 698,685 At December 31, 2021 and 2020, the Company’s subsidiary operating in Malaysia has net operating loss of $ 2,525,831 1,551,826 The Company files tax returns as prescribed by the tax laws of the jurisdictions in which the Company operates. Under applicable U.S. federal statutes, tax years ended December 31, 2018 through December 31, 2021 remain subject to examination. Under applicable state statutes, state corporate tax returns filed for the Company for years ended December 31, 2017 through December 31, 2021 remain subject to examination. Hong Kong and Malaysia corporate tax returns remain subject to examination for tax years ended December 31, 2018 through December 31, 2021. The Company follows the provision of ASC 740 which prescribes a comprehensive model for how a company should recognize, measure, present, and disclose in its financial statements uncertain tax positions that the Company has taken or expects to take on a tax return. The Company did not have any unrecognized tax positions or benefits as of December 31, 2021 and 2020. The Company recognizes interest and penalties accrued on any unrecognized tax benefits as a component of income tax expense. We do not expect any material changes in our unrecognized tax benefits over the next 12 months. The Company’s ability to utilize U.S. net operating loss carryforwards to offset future taxable income may be deferred or limited significantly if the Company were to experience an “ownership change” as defined in section 382 of the Internal Revenue Code of 1986, as amended, and corresponding provisions of state law. In general, an ownership change occurs when the ownership of the Company’s stock by 5 percent or more shareholders “5-percent shareholders” exceeds 50 percentage points within a three-year period. We have not conducted a Section 382 study to determine whether the use of our U.S. net operating losses is limited. We may have experienced ownership changes in the past, and we may experience ownership changes in the future, some of which are outside our control. This could limit the amount of net operating losses that we can utilize annually to offset future taxable income or tax liabilities. |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended |
Dec. 31, 2021 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | 12. RELATED PARTY TRANSACTIONS Related party balances consisted of the following: Schedule of Related party balances consisted As of December 31, 2021 2020 Due to Porta Capital Limited (“Porta Capital”) $ 2,063,876 $ 1,868,833 Due to Bru Haas (B) Sdn Bhd (“Bru Haas (B)”) 1,675,573 326,665 Due to Bru Haas Sdn Bhd (“Bru Haas”) 168,649 26,910 Due to Clicque Technology Snd Bhd (“Clicque”) 90,272 – Due to Tila Network Limited (“Tila Network”) 19,478 19,590 Due to Porta Network Inc. (“Porta Network”) 5,734 – Due to Mr. Song Dai (“Mr. Song”) 12,014 12,025 $ 4,035,596 $ 2,254,023 Mr. Song is the director and major shareholder of the Company, and he is also the major shareholder of Porta Capital, Bru Haas (B), Bru Haas, Clicque, Tila Network, and Porta Network. Amount due to these related companies are those trade and nontrade payables arising from transactions between the Company and the related companies, such as advances made by the related companies on behalf of the Company, and advances made by the Company on behalf of the related companies. Those advances are unsecured, non-interest bearing and have no fixed terms of repayment. The advances from Mr. Song is mainly for working capital purpose. The advances are unsecured, non-interest bearing and have no fixed terms of repayment. In the ordinary course of business, during the years ended December 31, 2021 and 2020, the Company involved with certain transactions, either at cost or current market prices and on the normal commercial terms among related parties. The following table provides the transactions with these parties for the years as presented (for the portion of such period that they were considered related): Schedule of commercial terms among related parties Years ended December 31, Nature of transactions with related parties 2021 2020 Online sales income from Bru Haas $ 1,178 $ – Outsource headcount income from Bru Haas $ – $ 14,086 Research and development consulting fee to related parties: - Porta Capital $ 36,166 $ 35,975 - Bru Haas (B) – 30,000 Total $ 36,166 $ 65,975 Rent expense of Matchroom platform server to related parties: - Porta Capital $ 109,306 $ 79,134 - Bru Haas (B) 120,000 – Total $ 229,306 $ 79,134 Network Bandwidth expense to Bru Haas (B) $ 210,578 $ 220,071 During the year ended December 31, 2021, the Company utilized space on a rent-free basis in the office located at Unite 805, 8 th 1,500 |
CONCENTRATIONS OF RISK
CONCENTRATIONS OF RISK | 12 Months Ended |
Dec. 31, 2021 | |
Risks and Uncertainties [Abstract] | |
CONCENTRATIONS OF RISK | 13. CONCENTRATIONS OF RISK The Company is exposed to the following concentrations of risk: (a) Major customers For the years ended December 31, 2021 and 2020, the individual customer who accounts for 10% or more of the Company’s revenues and its outstanding receivable balances as at year-end dates, are presented as follows: Schedule of concentrations of risk Year ended December 31, 2021 December 31, 2021 Customers Revenues Percentage Accounts Customer A $ 19,708 31 $ 19,735 Customer B 15,418 25 98 Total: $ 35,126 56 Total: $ 19,833 Year ended December 31, 2020 December 31, 2020 Customers Revenues Percentage Accounts Customer A $ 10,550 14 $ 11,002 Customer B 41,222 56 3,594 Customer C 9,993 14 - Total: $ 61,765 84 Total: $ 14,596 (b) Economic and political risk The Company’s major operations are conducted in Hong Kong and Malaysia. Accordingly, the political, economic, and legal environments in Hong Kong and Malaysia, as well as the general state of Hong Kong and Malaysia’s economy may influence the Company’s business, financial condition, and results of operations. (c) Exchange rate risk The Company cannot guarantee that the current exchange rate will remain steady; therefore there is a possibility that the Company could post the same amount of profit for two comparable periods and because of the fluctuating exchange rate actually post higher or lower profit depending on exchange rate of HKD and MYR converted to US$ on that date. The exchange rate could fluctuate depending on changes in political and economic environments without notice. (d) Concentration of credit risk Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash. The Company maintains cash with various financial institutions in Hong Kong and Malaysia. Cash are maintained with high credit quality institutions, the composition and maturities of which are regularly monitored by management. The Hong Kong Deposit Protection Board and Perbadanan Insurans Deposit Malaysia (“PIDM”) pays compensation up to a limit of HK$500,000 and RM250,000, respectively if the bank with which an individual/a company hold its eligible deposit fails. At December 31, 2021 and 2020, the Company did not have deposit funds that exceeded the insured limits in Hong Kong and Malaysia. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Dec. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | 14. COMMITMENTS AND CONTINGENCIES The Company from time to time may be involved in legal proceedings and disputes arising in the normal course of business. The Company believes that there are no material claims or actions pending or threatened against the Company. On April 28, 2021, the Company entered into a financial advisory agreement, (“the agreement”) with Maxim Group, LLC (“Maxim”), a leading full-service investment banking, securities and wealth management firm, pursuant to which Maxim will provide certain advisory services including strategic corporate planning, capitalization, and marketing. Additionally, Maxim, will advise the Company with respect to its objective to list on a national securities exchange. As consideration for Maxim’s services pursuant to the agreement, the Company agreed to issue restricted shares of the Company’s common stock to Maxim equal to 2% of the outstanding shares of the Company’s Common Stock. As mentioned in Note 7, the Company issued 1,403,973 On October 6, 2021, the Company entered into an agreement, (“the Purchase Agreement”) with Lincoln Park Capital Fund, LLC (“Lincoln Park”, “the Investor”), in which the Company has the right, but not the obligation, to direct Lincoln Park to purchase up to $ 15,000,000 100,000 1,003,378 1,003,378 15,000,000 |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2021 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | 15. SUBSEQUENT EVENTS On February 15, 2022, Leet Entertainment Group Limited transferred all 1,000 ordinary shares of Leet Entertainment Sdn. Bhd to the Company at part of the Company’s plans to restructure and simplify the corporate structure. On April 4, 2022, the Company sold all its 10,000 shares in Leet Technology Limited to Mr. Song for $10,000 at part of its plans to restructure and simplify the corporate structure. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Basis of presentation | Basis of presentation These accompanying consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“US GAAP”). |
Use of estimates and assumptions | Use of estimates and assumptions In preparing these consolidated financial statements, management makes estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements during the years reported. Actual results may differ from these estimates. |
Basis of consolidation | Basis of consolidation The consolidated financial statements include the financial statements of the Company and its subsidiaries in conformity with US GAAP. All inter-company balances and transactions within the Company have been eliminated upon consolidation. |
Cash | Cash Cash represent cash on hand, demand deposits placed with banks or other financial institutions and all highly liquid investments with an original maturity of three months or less as of the purchase date of such investments. |
Accounts receivable | Accounts receivable Accounts receivable are recorded in accordance with Accounting Standards Codification (“ASC”) 310, “Receivables.” Accounts receivable are recorded at the invoiced amount and do not bear interest, which are due within contractual payment terms, generally 30 to 90 days from completion of service. Credit is extended based on evaluation of a customer's financial condition, the customer credit-worthiness and their payment history. Accounts receivable outstanding longer than the contractual payment terms are considered past due. Past due balances over 90 days and over a specified amount are reviewed individually for collectibility. At the end of each quarter, the Company specifically evaluates individual customer’s financial condition, credit history, and the current economic conditions to monitor the progress of the collection of accounts receivables. The Company will consider the allowance for doubtful accounts for any estimated losses resulting from the inability of its customers to make required payments. For the receivables that are past due or not being paid according to payment terms, the appropriate actions are taken to exhaust all means of collection, including seeking legal resolution in a court of law. The Company does not have any off-balance-sheet credit exposure related to its customers. As of December 31, 2021 and 2020, there were no |
Plant and equipment | Plant and equipment Plant and equipment are stated at historical cost less accumulated depreciation and accumulated impairment losses, if any. Leasehold improvements are amortized over the lessor of the based term of the lease or 5 years of the leasehold improvement. Depreciation is calculated on the straight-line basis over the following expected useful lives from the date on which they become fully operational and after taking into account their estimated residual values: Schedule of useful lives of plant and equipment Estimated useful life Computer equipment 5 years Furniture and fixtures 5 years Expenditures for repairs and maintenance are expensed as incurred. When assets have been retired or sold, the cost and related accumulated depreciation are removed from the accounts and any resulting gain or loss is recognized in the results of operations. |
Software and development costs | Software and development costs Costs incurred to develop software for internal use are capitalized and amortized over the useful life of the software. Amortization of capitalized software development costs begin when the application is substantially complete and ready for its intended use. Capitalization ceases when the software has been tested and is ready for its intended use. Amortization is computed using the straight-line method over the estimated economic life of the product, which is estimated to be three years. Costs incurred during the planning, training and post-implementation stages of the software development life cycle are expensed as incurred. |
Research and development costs | Research and development costs Research and development costs are expensed as incurred and consist of development work associated with our existing technology, customer solutions and processes. Our research and development expenses relate primarily to payroll costs for personnel, costs associated with various projects, including testing, development and other related expenses. |
Impairment of long-lived assets | Impairment of long-lived assets In accordance with the provisions of ASC Topic 360, “ Impairment or Disposal of Long-Lived Assets 362,815 0 |
Revenue recognition | Revenue recognition The revenue of the Company is currently generated from the provision of white label solutions and esports event management and team services. The Company recognizes revenue in accordance with ASC Topic 606 – Revenue from Contracts with Customers (“ASC 606”) when control of a product or service is transferred to a customer. Under ASC 606, a performance obligation is a promise within a contract to transfer a distinct good or service, or a series of distinct goods and services, to a customer. Revenue is recognized when performance obligations are satisfied and the customer obtains control of promised goods or services. The amount of revenue recognized reflects the consideration to which the Company expects to be entitled to receive in exchange for goods or services. Under the standard, a contract’s transaction price is allocated to each distinct performance obligation. To determine revenue recognition for arrangements that the Company determines are within the scope of ASC 606, the Company performs the following five steps: · identify the contract with a customer; · identify the performance obligations in the contract; · determine the transaction price; · allocate the transaction price to performance obligations in the contract; and · recognize revenue as the performance obligation is satisfied. White Label Solutions Revenue The Company derives revenue from the provision of white label solutions. The Company offers white label, contracted licensed, solutions primarily to their information & communications technology (“ICT”) partners. The Company engages its ICT partners to utilize its Matchroom.net Platform. For customers who have their own platforms and apps being used, the Company will customize the design of Matchroom.net to meet the customer’s need and integrate, a customized solution into the customer’s system. The Matchroom.net platform and software solution is customizable to the specific needs of each customer and can be integrated across multiple platforms. On average it will take the Company three months to complete the customization of the platform for a customers use. The Company’s typical arrangement involves customizing the Matchroom.net platform solution, which requires technical programming support to build out the platform to its customers specifications. As a result, in analyzing the performance obligations being provided to the customer the Company considers the software license and customization services as a single performance obligation as required by ASC 606. In carrying out the services under these arrangements, the Company is often provided with upfront payment which is deferred and recognized into revenue over the duration of the contract. Esports Tournament Management and Team Services Revenue The Company derives revenue from esports tournament management and team services. The Company offers tournament management services to their customers, whereby they are engaged to provide the service of managing and hosting a tournament of the customer’s choice. The Company provides the required manpower and skills to host and manage an esports tournament on their own Matchroom.net platform or on the platform of the customer. The hosting and management of these tournaments on behalf of the customer is deemed to be one performance obligation and is met over the period of performance (couple of days) in which the tournament is held. The amount to be recognized as revenue equals the predetermined event management fee as per the agreement in place between the Company and the customer. The Company fulfils its performance obligation through the execution and completion of hosting the tournament, over the period of performance that being the multi-day tournament. The amount per the contract is based on the needs of the customer and the required level of manpower or skills needed for the relevant tournament. Apart from hosting the tournaments of other customers, the Company also hosts and managed their own internally held tournaments. The Company will obtain sponsorship agreements with other third-party entities whereby the Company commits to deliver certain sponsor and promotional services in exchange for consideration. Upon completion of the tournament a work completion report will be generated and communicated to the customer. Revenue will be recording pro rata during the duration of the tournament. The Company invoices its promotional partners based on the contracted services within the agreement. |
Disaggregation of Revenue | Disaggregation of Revenue The Company has disaggregated its revenue from contracts with customers into categories based on the nature of the revenue. The following table presents the revenue streams by segments, with the presentation revenue categories presented on the statements of operation for the years indicated: Schedule of Disaggregation of revenue Years ended December 31, 2021 2020 White label solutions $ 15,418 $ 41,165 Esport tournament management and team services 42,872 31,810 Matchroom Mini-app solutions 4,552 441 $ 62,842 $ 73,416 |
Stock based compensation | Stock based compensation The Company accounts for non-employee stock-based compensation in accordance with the guidance of FASB ASC Topic 718, Compensation—Stock Compensation, which requires all share-based payments to non-employees to be recognized in the financial statements based on their fair values. The fair value of the equity instrument is charged directly to compensation expense and credited to additional paid-in capital. |
Income taxes | Income taxes Income taxes are determined in accordance with the provisions of ASC Topic 740, Income Taxes ASC 740 prescribes a comprehensive model for how companies should recognize, measure, present, and disclose in their financial statements uncertain tax positions taken or expected to be taken on a tax return. Under ASC 740, tax positions must initially be recognized in the financial statements when it is more likely than not the position will be sustained upon examination by the tax authorities. Such tax positions must initially and subsequently be measured as the largest amount of tax benefit that has a greater than 50% likelihood of being realized upon ultimate settlement with the tax authority assuming full knowledge of the position and relevant facts. For the years ended December 31, 2021 and 2020, the Company did no The Company is subject to tax in local and foreign jurisdiction. As a result of its business activities, the Company files tax returns that are subject to examination by the relevant tax authorities. |
Foreign currency translation | Foreign currency translation Transactions denominated in currencies other than the functional currency are translated into the functional currency at the exchange rates prevailing at the dates of the transaction. Monetary assets and liabilities denominated in currencies other than the functional currency are translated into the functional currency using the applicable exchange rates at the balance sheet dates. The resulting exchange differences are recorded in the consolidated statement of operations. The reporting currency of the Company is United States Dollar ("US$") and the accompanying consolidated financial statements have been expressed in US$. The functional currencies of the Company’s operating subsidiaries are their local currencies (Hong Kong Dollars (“HKD”) and Malaysian Ringgit (“MYR”)). HKD-denominated assets and liabilities are translated into the United States Dollar using the exchange rate at the balance sheet date (0.12866 and 0.12899, at December 31, 2021 and 2020, respectively), and revenue and expense accounts are translated using the weighted average exchange rate in effect for the period (0.12825 and 0.12894 for the year ended December 31, 2021 and 2020, respectively). MYR-denominated assets and liabilities are translated into the United States Dollar using the exchange rate at the balance sheet date (0.24145 and 0.24832, at December 31, 2021 and 2020, respectively), and revenue and expense accounts are translated using the weighted average exchange rate in effect for the period (0.23989 and 0.23812 for the year ended December 31, 2021 and 2020, respectively). |
Comprehensive loss | Comprehensive loss ASC 220, “ Comprehensive Income |
Retirement plan costs | Retirement plan costs Contributions to retirement plans (which are defined contribution plans) are charged to general and administrative expenses in the accompanying statements of operation as the related employee service is provided. |
Leases | Leases The Company adopted ASC 842, “ Leases” The Company determines if an arrangement is a lease at inception. Operating leases are included in operating ROU assets, other current liabilities, and operating lease liabilities in our consolidated balance sheets. ROU assets represent the right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As most of the Company’s leases do not provide an implicit rate, the Company generally use the incremental borrowing rate based on the estimated rate of interest for collateralized borrowing over a similar term of the lease payments at commencement date. The operating lease ROU asset also includes any lease payments made and excludes lease incentives. The lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense for lease payments is recognized on a straight-line basis over the lease term. In accordance with the guidance in ASC 842, components of a lease should be split into three categories: lease components (e.g. land, building, etc.), non-lease components (e.g. common area maintenance, consumables, etc.), and non-components (e.g. property taxes, insurance, etc.). Subsequently, the fixed and in-substance fixed contract consideration (including any related to non-components) must be allocated based on the respective relative fair values to the lease components and non-lease components. |
Net loss per common share | Net loss per common share The Company calculates net loss per common share in accordance with ASC 260, “Earnings per Share.” Schedule of anti-dilutive equity and debt securities As of December 31, 2021 2020 (Shares) (Shares) Warrants 910,410 4,080,160 |
Commitments and contingencies | Commitments and contingencies The Company follows the ASC 450-20, Commitments If the assessment of a contingency indicates that it is probable that a material loss has been incurred and the amount of the liability can be estimated, then the estimated liability would be accrued in the Company’s consolidated financial statements. If the assessment indicates that a potentially material loss contingency is not probable but is reasonably possible, or is probable but cannot be estimated, then the nature of the contingent liability, and an estimate of the range of possible losses, if determinable and material, would be disclosed. Loss contingencies considered remote are generally not disclosed unless they involve guarantees, in which case the guarantees would be disclosed. Management does not believe, based upon information available at this time that any matters will have a material adverse effect on the Company’s financial position, results of operations or cash flows. However, there is no assurance that such matters will not materially and adversely affect the Company’s business, financial position, and results of operations or cash flows. |
Fair value of financial instruments | Fair value of financial instruments The Carrying amounts for cash, accounts receivable, deposits receivable, accounts payable, accrued liabilities, and other payables approximate their fair value because of their short-term maturity. The Company determined that the carrying amount of accrued compensation payable to officers and directors and amounts due to related parties approximates fair value as these amounts are indicative of the amounts the company would expect to settle in current market exchange. |
Reclassifications | Reclassifications Certain balance sheet and income statement items have been reclassified to conform to the 2021 fiscal year end presentation. These reclassifications had no impact on reported operating and net loss. For balance sheet items, certain accrued liabilities and other payables are reclassified to accrued compensation payable to officers and directors and amounts due to related parties. For income statement items, IT operating expenses are reclassified to cost of revenue. |
Recent accounting pronouncements | Recent accounting pronouncements From time to time, new accounting pronouncements are issued by the FASB or other standard setting bodies and adopted by the Company as of the specified effective date. Unless otherwise discussed, the Company believes that the impact of recently issued standards that are not yet effective will not have a material impact on its financial position or results of operations upon adoption. Accounting Standards Adopted In December 2019, the FASB issued ASU No. 2019-12, Income Taxes: Simplifying the Accounting for Income Taxes (“ASU 2020-12”), which eliminates certain exceptions related to the approach for intra period tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. The new guidance also simplifies aspects of the accounting for franchise taxes and enacted changes in tax laws or rates and clarifies the accounting for transactions that result in a step-up in the tax basis of goodwill. The standard is effective for fiscal years and interim periods within those fiscal years beginning after December 15, 2020, with early adoption permitted. Adoption of the standard requires certain changes to be made prospectively, with some changes to be made retrospectively. Adopting the standard did not have a material impact on the consolidated financial statements. Accounting Standards Issued, Not Adopted In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments – Credit Losses: Measurement of Credit Losses on Financial Instruments In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform - Facilitation of the Effects of Reference Rate Reform on Financial Reporting |
DESCRIPTION OF BUSINESS AND O_2
DESCRIPTION OF BUSINESS AND ORGANIZATION (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of description of subsidiaries | Schedule of description of subsidiaries Name Place of incorporation and kind of legal entity Principal activities Particulars of registered/ paid up share capital Effective interest held Leet Technology Limited Labuan, Malaysia Investment holding 10,000 ordinary shares at par value of US$1 100 Leet Entertainment Group Limited Hong Kong Provision of information technology and mobile application development and digital content publishing service 1 ordinary share at par value of HK$1 100 Leet Entertainment Sdn. Bhd. Malaysia Provision of information technology and mobile application development and digital content publishing service 1,000 ordinary shares at par value of MYR1 100 |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Schedule of useful lives of plant and equipment | Schedule of useful lives of plant and equipment Estimated useful life Computer equipment 5 years Furniture and fixtures 5 years |
Schedule of Disaggregation of revenue | Schedule of Disaggregation of revenue Years ended December 31, 2021 2020 White label solutions $ 15,418 $ 41,165 Esport tournament management and team services 42,872 31,810 Matchroom Mini-app solutions 4,552 441 $ 62,842 $ 73,416 |
Schedule of anti-dilutive equity and debt securities | Schedule of anti-dilutive equity and debt securities As of December 31, 2021 2020 (Shares) (Shares) Warrants 910,410 4,080,160 |
PLANT AND EQUIPMENT (Tables)
PLANT AND EQUIPMENT (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |
Schedule of plant and equipment | Schedule of plant and equipment As of December 31, 2021 2020 Computer equipment $ 170,056 $ 11,136 Furniture and fixtures 5,607 992 Leasehold improvements 18,009 12,618 Foreign currency translation difference (1,026 ) 364 192,646 25,110 Less: accumulated depreciation and amortization (39,756 ) (16,716 ) Less: foreign currency translation difference 301 (360 ) $ 153,191 $ 8,034 |
INTANGIBLE ASSETS (Tables)
INTANGIBLE ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of intangible assets | Schedule of intangible assets As of December 31, 2021 2020 At cost: Developed software $ 543,666 $ 539,899 Foreign currency translation difference (2,890 ) 227 540,776 540,126 Less: accumulated amortization and impairment loss (542,518 ) – Less: foreign currency translation difference 1,742 – Total intangible assets $ – $ 540,126 |
LEASE LIABILITY (Tables)
LEASE LIABILITY (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Schedule of allocation of assets and liabilities | Schedule of allocation of assets and liabilities Consolidated Balance As of December 31, Sheets Caption 2021 2020 Assets Operating lease right-of-use assets $ 8,052 $ 3,018 Liabilities: Current Operating lease liability – current $ 5,042 $ 3,075 Non-current Operating lease liability – non-current 2,971 – Total lease liabilities $ 8,013 $ 3,075 |
Schedule of lease obligations | Schedule of lease obligations Year Ended December 31, 2022 $ 5,182 2023 3,023 Total minimum lease payments 8,205 Less: interest (192 ) Total present value of lease liabilities $ 8,013 |
WARRANTS (Tables)
WARRANTS (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Warrants | |
Schedule of warrant activity | Schedule of warrant activity Weighted average Warrants for common shares Exercise price Remaining Outstanding as of December 31, 2019 4,130,160 $ 0.70 1.78 Forfeited, cancelled, expired (50,000 ) 0.01 ( 0.99 ) Outstanding as of December 31, 2020 4,080,160 0.71 0.79 Forfeited, cancelled, expired (3,169,750 ) 0.08 ( 0.46 ) Outstanding as of December 31, 2021 910,410 $ 0.79 0.33 |
EARNING (LOSS) PER SHARE (Table
EARNING (LOSS) PER SHARE (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |
Schedule of earning per share basic and diluted | Schedule of earning per share basic and diluted Year ended December 31, 2021 2020 Net loss for the year $ (5,356,587 ) $ (846,240 ) Weighted average number of common shares outstanding, basic and diluted 144,621,183 24,183,790 Basic and diluted loss per common share: $ (0.04 ) $ (0.03 ) |
INCOME TAX (Tables)
INCOME TAX (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Schedule of loss before income tax | Schedule of loss before income tax Years ended December 31, 2021 2020 U.S. $ (3,434,801 ) $ (175,743 ) Foreign (1,921,786 ) (670,497 ) Loss before income taxes $ (5,356,587 ) $ (846,240 ) |
Schedule of provisions (benefits) for income taxes | Schedule of provisions (benefits) for income taxes Years ended December 31, 2021 2020 Current income taxes: Federal $ – $ – State – – Foreign – – Total current – – Deferred income taxes: Federal – – State – – Foreign – – Total deferred – – Benefit (provision) for income taxes $ – $ – |
Schedule of effective income tax rate reconciliation | Schedule of effective income tax rate reconciliation Years ended December 31, 2021 2020 U.S. federal statutory rate 21.0 21.0 State income taxes, net of federal benefit 4.1 0.0 Foreign tax rate differential 0.5 (1.6 ) Increase (decrease) in valuation allowance (21.8 ) (19.2 ) Non-deductible expenses (4.1 ) – Other permanent differences, net 0.3 (0.2 ) Effective income tax rate 0.0% 0.0% |
Schedule of Components of Deferred Tax Assets and Liabilities | Schedule of Components of Deferred Tax Assets and Liabilities Years ended December 31, 2021 2020 Net operating loss carryforwards $ 2,700,301 $ 1,578,197 Capitalized organizational costs 4,058 – Other 2,047 736 Total deferred tax assets 2,706,406 1,578,933 Valuation allowance (2,650,851 ) (1,493,197 ) Total net deferred tax assets 55,555 85,736 Basis difference in long-lived fixed assets (53,622 ) (85,013 ) Right-of-use assets (1,933 ) (723 ) Total deferred tax liabilities (55,555 ) (85,736 ) Net deferred tax assets (liabilities) $ – $ – |
RELATED PARTY TRANSACTIONS (Tab
RELATED PARTY TRANSACTIONS (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Related Party Transactions [Abstract] | |
Schedule of Related party balances consisted | Schedule of Related party balances consisted As of December 31, 2021 2020 Due to Porta Capital Limited (“Porta Capital”) $ 2,063,876 $ 1,868,833 Due to Bru Haas (B) Sdn Bhd (“Bru Haas (B)”) 1,675,573 326,665 Due to Bru Haas Sdn Bhd (“Bru Haas”) 168,649 26,910 Due to Clicque Technology Snd Bhd (“Clicque”) 90,272 – Due to Tila Network Limited (“Tila Network”) 19,478 19,590 Due to Porta Network Inc. (“Porta Network”) 5,734 – Due to Mr. Song Dai (“Mr. Song”) 12,014 12,025 $ 4,035,596 $ 2,254,023 |
Schedule of commercial terms among related parties | Schedule of commercial terms among related parties Years ended December 31, Nature of transactions with related parties 2021 2020 Online sales income from Bru Haas $ 1,178 $ – Outsource headcount income from Bru Haas $ – $ 14,086 Research and development consulting fee to related parties: - Porta Capital $ 36,166 $ 35,975 - Bru Haas (B) – 30,000 Total $ 36,166 $ 65,975 Rent expense of Matchroom platform server to related parties: - Porta Capital $ 109,306 $ 79,134 - Bru Haas (B) 120,000 – Total $ 229,306 $ 79,134 Network Bandwidth expense to Bru Haas (B) $ 210,578 $ 220,071 |
CONCENTRATIONS OF RISK (Tables)
CONCENTRATIONS OF RISK (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Risks and Uncertainties [Abstract] | |
Schedule of concentrations of risk | Schedule of concentrations of risk Year ended December 31, 2021 December 31, 2021 Customers Revenues Percentage Accounts Customer A $ 19,708 31 $ 19,735 Customer B 15,418 25 98 Total: $ 35,126 56 Total: $ 19,833 Year ended December 31, 2020 December 31, 2020 Customers Revenues Percentage Accounts Customer A $ 10,550 14 $ 11,002 Customer B 41,222 56 3,594 Customer C 9,993 14 - Total: $ 61,765 84 Total: $ 14,596 |
DESCRIPTION OF BUSINESS AND O_3
DESCRIPTION OF BUSINESS AND ORGANIZATION (Details) | 12 Months Ended |
Dec. 31, 2021 | |
Leet Technology Limited [Member] | |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |
Name of subsidiaries | Leet Technology Limited |
Place of incorporation and kind of legal entity | Labuan, Malaysia |
Principal activities | Investment holding |
Particulars of registered/ paid up share capital | 10,000 ordinary shares at par value of US$1 |
Effective interest held | 100.00% |
Leet Entertainment Group Limited [Member] | |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |
Name of subsidiaries | Leet Entertainment Group Limited |
Place of incorporation and kind of legal entity | Hong Kong |
Principal activities | Provision of information technology and mobile application development and digital content publishing service |
Particulars of registered/ paid up share capital | 1 ordinary share at par value of HK$1 |
Effective interest held | 100.00% |
Leet Entertainment Sdn Bhd [Member] | |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |
Name of subsidiaries | Leet Entertainment Sdn. Bhd. |
Place of incorporation and kind of legal entity | Malaysia |
Principal activities | Provision of information technology and mobile application development and digital content publishing service |
Particulars of registered/ paid up share capital | 1,000 ordinary shares at par value of MYR1 |
Effective interest held | 100.00% |
DESCRIPTION OF BUSINESS AND O_4
DESCRIPTION OF BUSINESS AND ORGANIZATION (Details Narrative) - Share Exchange Agreement [Member] - Leet Technology Limited [Member] | 11 Months Ended |
Nov. 18, 2020shares | |
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |
Ownership percent | 100.00% |
Stock issued for acquisition, shares | 10,000,000 |
LIQUIDITY AND GOING CONCERN U_2
LIQUIDITY AND GOING CONCERN UNCERTAINTIES (Details Narrative) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Mar. 31, 2022 | |
Subsequent Event [Line Items] | |||
Cash | $ 23,192 | $ 38,985 | |
Working capital deficit | 4,927,456 | ||
Accumulated deficit | 7,834,706 | 2,478,119 | |
Net loss | $ 5,356,587 | $ 846,240 | |
Subsequent Event [Member] | |||
Subsequent Event [Line Items] | |||
Cash amount | $ 12,815 |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details - Schedule of Plant and Equipment Usefule Lives) | 12 Months Ended |
Dec. 31, 2021 | |
Computer Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Plant and equipment, useful lives | 5 years |
Furniture and Fixtures [Member] | |
Property, Plant and Equipment [Line Items] | |
Plant and equipment, useful lives | 5 years |
SUMMARY OF SIGNIFICANT ACCOUN_5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details - Statement of operation) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Product Information [Line Items] | ||
Revenue | $ 62,842 | $ 73,416 |
White Label Solutions [Member] | ||
Product Information [Line Items] | ||
Revenue | 15,418 | 41,165 |
Esport Tournament Management And Team Services [Member] | ||
Product Information [Line Items] | ||
Revenue | 42,872 | 31,810 |
Matchroom Miniapp Solutions [Member] | ||
Product Information [Line Items] | ||
Revenue | $ 4,552 | $ 441 |
SUMMARY OF SIGNIFICANT ACCOUN_6
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details - Net loss per common share) - shares | Dec. 31, 2021 | Dec. 31, 2020 |
Accounting Policies [Abstract] | ||
Warrants | 910,410 | 4,080,160 |
SUMMARY OF SIGNIFICANT ACCOUN_7
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Accounting Policies [Abstract] | ||
Allowance for doubtful accounts | $ 0 | $ 0 |
Impairment of long-lived assets | 362,815 | 0 |
Uncertain tax positions | $ 0 | $ 0 |
PLANT AND EQUIPMENT (Details -
PLANT AND EQUIPMENT (Details - Schedule of Plant and Equipment) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Property, Plant and Equipment [Line Items] | ||
Plant and equipment, gross | $ 192,646 | $ 25,110 |
Foreign translation difference | (1,026) | 364 |
Less: accumulated depreciation | (39,756) | (16,716) |
Less: foreign translation difference | 301 | (360) |
Plant and equipment, net | 153,191 | 8,034 |
Computer Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Plant and equipment, gross | 170,056 | 11,136 |
Furniture and Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Plant and equipment, gross | 5,607 | 992 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Plant and equipment, gross | $ 18,009 | $ 12,618 |
PLANT AND EQUIPMENT (Details Na
PLANT AND EQUIPMENT (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Property, Plant and Equipment [Line Items] | ||
Depreciation expense | $ 23,053 | $ 4,684 |
Plant and equipment, gross | 192,646 | 25,110 |
Computer Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Plant and equipment, gross | 170,056 | $ 11,136 |
Computer Equipment [Member] | Bru Haas [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Plant and equipment, gross | $ 145,883 |
INTANGIBLE ASSETS (Details - Sc
INTANGIBLE ASSETS (Details - Schedule of intangible assets) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Finite-Lived Intangible Assets [Line Items] | ||
Foreign translation difference | $ (2,890) | $ 227 |
Less: accumulated amortization | 540,776 | 540,126 |
Less: accumulated amortization and impairment loss | (542,518) | 0 |
Less: foreign translation difference | 1,742 | 0 |
Intangible assets, cost | 0 | 540,126 |
Developed Software [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross | $ 543,666 | $ 539,899 |
INTANGIBLE ASSETS (Details Narr
INTANGIBLE ASSETS (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets | $ 0 | $ 540,126 |
Amortization of intangible assets | 179,703 | 0 |
Impairment loss on intangible assets | $ 362,815 | $ 0 |
Software Platform [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, useful lives | 3 years |
LEASE LIABILITY (Details - Allo
LEASE LIABILITY (Details - Allocation of assets and liabilities) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Leases [Abstract] | ||
Right of use assets | $ 8,052 | $ 3,018 |
Lease liabilities, current | 5,042 | 3,075 |
Lease liabilities, noncurrent | 2,971 | 0 |
Lease liabilities | $ 8,013 | $ 3,075 |
LEASE LIABILITY (Details - Matu
LEASE LIABILITY (Details - Maturity of operating lease liability) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Leases [Abstract] | ||
2022 | $ 5,182 | |
2023 | 3,023 | |
Total minimum lease payments | 8,205 | |
Less: interest | (192) | |
Total present value of lease liabilities | $ 8,013 | $ 3,075 |
LEASE LIABILITY (Details Narrat
LEASE LIABILITY (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Operating lease expenses | $ 2,173 | $ 5,143 |
Office Premises [Member] | ||
Operating lease term | 2 years | |
Operating lease discount rate | 1.75% |
STOCK BASED COMPENSATION (Detai
STOCK BASED COMPENSATION (Details Narrative) - USD ($) | Sep. 03, 2021 | Aug. 23, 2021 | Jul. 29, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Oct. 06, 2021 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Stock based compensation | $ 3,054,012 | $ 0 | ||||
Restricted common stock | 1,003,378 | |||||
Restricted Stock [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Stock based compensation | $ 393,112 | |||||
Restricted common stock | 1,403,973 | |||||
Sale of stock per share | $ 0.28 | |||||
Stock Incentive Plan [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Stock based compensation | $ 1,680,000 | $ 680,900 | ||||
Restricted common stock | 7,000,000 | 3,095,000 | ||||
Sale of stock per share | $ 0.24 | $ 0.22 |
STOCKHOLDERS_ EQUITY (Details N
STOCKHOLDERS’ EQUITY (Details Narrative) - $ / shares | 12 Months Ended | ||
Dec. 31, 2021 | Oct. 06, 2021 | Dec. 31, 2020 | |
Class of Stock [Line Items] | |||
Preferred stock, shares authorized | 20,000,000 | 20,000,000 | |
Preferred stock, par value | $ 0.0001 | $ 0.0001 | |
Common stock, shares authorized | 10,000,000,000 | 10,000,000,000 | |
Common stock, par value | $ 0.0001 | $ 0.0001 | |
Restricted common stock, shares | 1,003,378 | ||
Common stock, shares issued | 152,899,640 | 140,397,289 | |
Common stock, shares outstanding | 152,899,640 | 140,397,289 | |
Series A Preferred Stock [Member] | |||
Class of Stock [Line Items] | |||
Preferred stock, shares authorized | 20,000,000 | 20,000,000 | |
Preferred stock, par value | $ 0.0001 | $ 0.0001 | |
Preferred stock, voting rights | Series A Preferred stock will have one hundred (100) votes on all matters validly brought to the Company’s common stockholders. | ||
Preferred stock, shares issued | 1,000,000 | 1,000,000 | |
Series B Preferred Stock [Member] | |||
Class of Stock [Line Items] | |||
Preferred stock, shares authorized | 10,000,000 | 10,000,000 | |
Preferred stock, par value | $ 0.0001 | $ 0.0001 | |
Preferred stock, voting rights | Series B Convertible Preferred Stock will have 1,000 votes on all matters validly brought to the Company’s common stock holders. | ||
Preferred stock, shares issued | 0 | 0 |
WARRANTS (Details - Schedule of
WARRANTS (Details - Schedule of Warrant Activity) - $ / shares | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average exercise price, ending balance | $ 0.79 | ||
Warrant [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Warrants for common shares, outstanding, beginning balance | 4,080,160 | 4,130,160 | |
Weighted average exercise price, beginning balance | $ 0.71 | $ 0.70 | |
Weighted Average Remaining Contractual Life Warrants Outstanding | 3 months 29 days | 9 months 14 days | 1 year 9 months 10 days |
Warrants for common shares, Forfeited, cancelled, expired | (3,169,750) | (50,000) | |
Weighted average exercise price, Forfeited, cancelled, expired | $ 0.08 | $ 0.01 | |
Weighted Average Remaining Contractual Life Warrants Outstanding, Forfeited, cancelled, expired | 5 months 15 days | 11 months 26 days | |
Warrants for common shares, outstanding, ending balance | 910,410 | 4,080,160 | 4,130,160 |
Weighted average exercise price, ending balance | $ 0.79 | $ 0.71 | $ 0.70 |
WARRANTS (Details Narrative)
WARRANTS (Details Narrative) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Weighted average exercise price | $ 0.79 | |
Warrants exercisable, shares | 910,410 | |
Warrants exercisable value | $ 0 | $ 0 |
Warrant [Member] | Minimum [Member] | ||
Warrant expiration | 3 years | |
Weighted average exercise price | $ 0.10 | |
Warrant [Member] | Maximum [Member] | ||
Warrant expiration | 4 years | |
Weighted average exercise price | $ 1 |
EARNING (LOSS) PER SHARE (Detai
EARNING (LOSS) PER SHARE (Details- Schedule of computation of basic and diluted) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Earnings Per Share [Abstract] | ||
Net loss for the year | $ (5,356,587) | $ (846,240) |
Weighted average number of common shares outstanding, basic and diluted | 144,621,183 | 24,183,790 |
Basic and diluted loss per common share: | $ (0.04) | $ (0.03) |
INCOME TAX (Details - Schedule
INCOME TAX (Details - Schedule Loss before income tax) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Loss before income taxes | $ (5,356,587) | $ (846,240) |
UNITED STATES | ||
Loss before income taxes | (3,434,801) | (175,743) |
Foreign Tax Authority [Member] | ||
Loss before income taxes | $ (1,921,786) | $ (670,497) |
INCOME TAX (Details - Provision
INCOME TAX (Details - Provisions for income taxes) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Current income taxes: | ||
Federal | $ 0 | $ 0 |
State | 0 | 0 |
Foreign | 0 | 0 |
Total current | 0 | 0 |
Deferred income taxes: | ||
Federal | 0 | 0 |
State | 0 | 0 |
Foreign | 0 | 0 |
Total deferred | 0 | 0 |
Benefit (provision) for income taxes | $ 0 | $ 0 |
INCOME TAX (Details - Schedul_2
INCOME TAX (Details - Schedule of effective income tax rate) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | ||
U.S. federal statutory rate | 21.00% | 21.00% |
State income taxes, net of federal benefit | 4.10% | 0.00% |
Foreign tax rate differential | 0.50% | (1.60%) |
Increase (decrease) in valuation allowance | (21.80%) | (19.20%) |
Non-deductible expenses | (4.10%) | |
Other permanent differences, net | 0.30% | (0.20%) |
Effective income tax rate | 0.00% | 0.00% |
INCOME TAX (Details - Schedul_3
INCOME TAX (Details - Schedule of components of deferred tax assets) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Income Tax Disclosure [Abstract] | ||
Net operating loss carryforwards | $ 2,700,301 | $ 1,578,197 |
Capitalized organizational costs | 4,058 | 0 |
Other | 2,047 | 736 |
Total deferred tax assets | 2,706,406 | 1,578,933 |
Valuation allowance | (2,650,851) | (1,493,197) |
Total net deferred tax assets | 55,555 | 85,736 |
Basis difference in long-lived fixed assets | (53,622) | (85,013) |
Right-of-use assets | (1,933) | (723) |
Total deferred tax liabilities | (55,555) | (85,736) |
Net deferred tax assets (liabilities) | $ 0 | $ 0 |
INCOME TAX (Details Narrative)
INCOME TAX (Details Narrative) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Operating loss carryforwards | $ 4,601,190 | $ 2,646,166 |
UNITED STATES | ||
Operating loss carryforwards | 7,247,356 | 4,127,053 |
CANADA | ||
Operating loss carryforwards | 6,542,099 | 3,421,796 |
HONG KONG | ||
Operating loss carryforwards | 698,685 | 698,685 |
MALAYSIA | ||
Operating loss carryforwards | $ 2,525,831 | $ 1,551,826 |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Related Party Transaction [Line Items] | ||
Amounts due to related parties | $ 4,035,596 | $ 2,254,023 |
Porta Capital [Member] | ||
Related Party Transaction [Line Items] | ||
Amounts due to related parties | 2,063,876 | 1,868,833 |
Bru Haas B [Member] | ||
Related Party Transaction [Line Items] | ||
Amounts due to related parties | 1,675,573 | 326,665 |
Bru Haas [Member] | ||
Related Party Transaction [Line Items] | ||
Amounts due to related parties | 168,649 | 26,910 |
Clicque [Member] | ||
Related Party Transaction [Line Items] | ||
Amounts due to related parties | 90,272 | 0 |
Tila Network [Member] | ||
Related Party Transaction [Line Items] | ||
Amounts due to related parties | 19,478 | 19,590 |
Porta Network [Member] | ||
Related Party Transaction [Line Items] | ||
Amounts due to related parties | 5,734 | 0 |
Mr Song [Member] | ||
Related Party Transaction [Line Items] | ||
Amounts due to related parties | $ 12,014 | $ 12,025 |
RELATED PARTY TRANSACTIONS (D_2
RELATED PARTY TRANSACTIONS (Details 1) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Related Party Transaction [Line Items] | ||
Income amount | $ 1,025 | $ 16,747 |
Research and development consulting fee | 36,166 | 65,975 |
Rent expense | 229,306 | 79,134 |
Bru Haas [Member] | ||
Related Party Transaction [Line Items] | ||
Research and development consulting fee | 0 | 30,000 |
Rent expense | 120,000 | |
Network Bandwidth expense | 210,578 | 220,071 |
Porta Capital [Member] | ||
Related Party Transaction [Line Items] | ||
Research and development consulting fee | 36,166 | 35,975 |
Rent expense | 109,306 | 79,134 |
Sales Income [Member] | Bru Haas [Member] | ||
Related Party Transaction [Line Items] | ||
Income amount | 1,178 | 0 |
Outsource Income [Member] | Bru Haas [Member] | ||
Related Party Transaction [Line Items] | ||
Income amount | $ 0 | $ 14,086 |
RELATED PARTY TRANSACTIONS (D_3
RELATED PARTY TRANSACTIONS (Details Narrative) | 12 Months Ended |
Dec. 31, 2021USD ($) | |
Related Party Transactions [Abstract] | |
Fair market value of rent | $ 1,500 |
CONCENTRATIONS OF RISK (Details
CONCENTRATIONS OF RISK (Details - Schedule of concentrations of risk) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Concentration Risk [Line Items] | ||
Revenue | $ 62,842 | $ 73,416 |
Revenue Benchmark [Member] | ||
Concentration Risk [Line Items] | ||
Revenue | 35,126 | 61,765 |
Accounts Receivable [Member] | ||
Concentration Risk [Line Items] | ||
Accounts receivable | 19,833 | 14,596 |
Customer A [Member] | Revenue Benchmark [Member] | ||
Concentration Risk [Line Items] | ||
Revenue | $ 19,708 | $ 10,550 |
Customer A [Member] | Revenue Benchmark [Member] | Customer Concentration Risk [Member] | ||
Concentration Risk [Line Items] | ||
Concentrations of risk, percentage | 31.00% | 14.00% |
Customer A [Member] | Accounts Receivable [Member] | ||
Concentration Risk [Line Items] | ||
Accounts receivable | $ 19,735 | $ 11,002 |
Customer B [Member] | Revenue Benchmark [Member] | ||
Concentration Risk [Line Items] | ||
Revenue | $ 15,418 | $ 41,222 |
Customer B [Member] | Revenue Benchmark [Member] | Customer Concentration Risk [Member] | ||
Concentration Risk [Line Items] | ||
Concentrations of risk, percentage | 25.00% | 56.00% |
Customer B [Member] | Accounts Receivable [Member] | ||
Concentration Risk [Line Items] | ||
Accounts receivable | $ 98 | $ 3,594 |
Major Customers [Member] | Revenue Benchmark [Member] | Customer Concentration Risk [Member] | ||
Concentration Risk [Line Items] | ||
Concentrations of risk, percentage | 56.00% | 84.00% |
Customer C [Member] | Revenue Benchmark [Member] | ||
Concentration Risk [Line Items] | ||
Revenue | $ 9,993 | |
Customer C [Member] | Revenue Benchmark [Member] | Customer Concentration Risk [Member] | ||
Concentration Risk [Line Items] | ||
Concentrations of risk, percentage | 14.00% | |
Customer C [Member] | Accounts Receivable [Member] | ||
Concentration Risk [Line Items] | ||
Accounts receivable | $ 0 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($) | Oct. 06, 2021 | Apr. 28, 2021 | Dec. 31, 2021 |
Offsetting Assets [Line Items] | |||
Restricted shares | 1,403,973 | ||
Purchase of common stock | $ 15,000,000 | ||
Restricted common stock, shares | 1,003,378 | ||
Common Stock [Member] | |||
Offsetting Assets [Line Items] | |||
Shares issued for commitment fee, shares | 1,003,378 | ||
Purchase Agreement [Member] | |||
Offsetting Assets [Line Items] | |||
Purchase of common stock | $ 15,000,000 | ||
Common stock increments | 100,000 |