Document And Entity Information
Document And Entity Information - shares | 6 Months Ended | |
Jun. 30, 2021 | Aug. 27, 2021 | |
Document Information Line Items | ||
Entity Registrant Name | SHARING ECONOMY INTERNATIONAL INC. | |
Document Type | 10-Q | |
Current Fiscal Year End Date | --12-31 | |
Entity Common Stock, Shares Outstanding | 239,278,847 | |
Amendment Flag | false | |
Entity Central Index Key | 0000819926 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Document Period End Date | Jun. 30, 2021 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q2 | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity File Number | 001-34591 | |
Entity Tax Identification Number | 90-0648920 | |
Entity Address, Address Line One | No.85 | |
Entity Address, Address Line Two | Castle Peak Road | |
Entity Address, Address Line Three | Castle Peak Bay, | |
Entity Address, City or Town | Tuen Mun, N.T., | |
Entity Address, Country | HK | |
City Area Code | (852) | |
Local Phone Number | 3583 2186 | |
Entity Interactive Data Current | Yes | |
Entity Address, Postal Zip Code | 00000 | |
Entity Incorporation, State or Country Code | NV |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) | Jun. 30, 2021 | Dec. 31, 2020 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 581,320 | $ 1,805,417 |
Accounts receivable, net of allowance for doubtful accounts | 64,421 | 38,814 |
Prepaid expenses and other receivables | 562,623 | 132,644 |
Marketable securities | 3,345,650 | 1,989,823 |
Total current assets | 4,554,014 | 3,966,698 |
OTHER ASSETS: | ||
Property and equipment, net | 425,980 | 487,336 |
Intangible assets, net | 107,782 | 156,767 |
Total other assets | 533,762 | 644,103 |
Total assets | 5,087,776 | 4,610,801 |
CURRENT LIABILITIES: | ||
Short-term bank loans | 6,426,211 | 6,446,139 |
Convertible note payable, net of unamortized debt discount | 634,341 | 595,750 |
Accounts payable and accrued expenses | 690,594 | 1,264,706 |
Other payable | 1,043,802 | 932,220 |
Due to related parties | 2,618,259 | 2,468,375 |
Deferred revenue | 107 | |
Total current liabilities | 11,413,207 | 11,707,297 |
LONG-TERM LIABILITIES: | ||
Long-term loan | 4,864,577 | 4,940,420 |
Total liabilities | 16,277,784 | 16,647,717 |
STOCKHOLDERS’ DEFICIT: | ||
Preferred stock, Series A $0.001 par value; 50,000,000 shares authorized; 531,600 and 531,600 issued and outstanding at June 30, 2021 and December 31, 2020, respectively | 532 | 532 |
Common stock $0.001 par value; 7,400,000,000 shares authorized; 238,424,776 and 172,883,475 shares issued and outstanding at June 30, 2021 and December 31, 2020, respectively | 238,424 | 172,883 |
Additional paid-in capital | 63,989,890 | 61,700,634 |
Retained earnings | (74,561,937) | (73,020,134) |
Accumulated other comprehensive income | 25,216 | (13,246) |
Total stockholders’ deficit attributed to SEII | (10,307,875) | (11,159,331) |
Non-controlling interest | (882,133) | (877,585) |
Total stockholders’ deficit | (11,190,008) | (12,036,916) |
Total liabilities and stockholders’ deficit | $ 5,087,776 | $ 4,610,801 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parentheticals) - $ / shares | Jun. 30, 2021 | Dec. 31, 2020 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value (in Dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 50,000,000 | 50,000,000 |
Preferred stock, shares issued | 531,600 | 531,600 |
Preferred stock, shares outstanding | 531,600 | 531,600 |
Common stock, par value (in Dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 7,400,000,000 | 7,400,000,000 |
Common stock, shares issued | 238,424,776 | 172,883,475 |
Common stock, shares outstanding | 238,424,776 | 172,883,475 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Income Statement [Abstract] | ||||
REVENUES | $ 42,078 | $ 56,073 | $ 130,285 | $ 67,982 |
COST OF REVENUES | (36,364) | (37,145) | ||
GROSS PROFIT | 42,078 | 19,709 | 130,285 | 30,837 |
OPERATING EXPENSES: | ||||
Depreciation and amortization | 57,538 | 84,590 | 115,844 | 169,180 |
Selling, general and administrative | 1,595,624 | 513,510 | 1,966,660 | 897,911 |
Written-off prepayments | 122,514 | |||
Impairment loss on marketable securities | (139,408) | 1,861,605 | ||
Impairment loss on goodwill | 1,080,898 | 1,080,898 | ||
Total operating expenses | 1,653,162 | 1,539,590 | 2,082,504 | 4,132,108 |
LOSS FROM OPERATIONS | (1,611,084) | (1,519,881) | (1,952,219) | (4,101,271) |
OTHER INCOME (EXPENSE): | ||||
Interest income | 9 | 2 | 12 | 4 |
Interest expense | (151,028) | (497,080) | (229,278) | (592,911) |
Dividend income | 5,500 | 175 | 7,222 | 175 |
Gain on sale of marketable securities | 439,771 | 76,968 | 616,641 | 76,968 |
Loss on disposal of a subsidiary | (70,901) | |||
Foreign currency loss | 1,507 | 4,058 | 8,755 | 959 |
Other income | 200 | 2,500 | 2,516 | 76,064 |
Total other (expense) income, net | 295,959 | (413,377) | 405,868 | (509,642) |
LOSS BEFORE PROVISION FOR INCOME TAXES | (1,315,125) | (1,933,258) | (1,546,351) | (4,610,913) |
PROVISIONS FOR INCOME TAXES: | ||||
Current | ||||
Deferred | ||||
Total income tax provision | ||||
NET LOSS | (1,315,125) | (1,933,258) | (1,546,351) | (4,610,913) |
NET LOSS ATTRIBUTABLE TO NON-CONTROLLING INTEREST | (2,224) | 352,682 | (4,548) | (49,902) |
NET LOSS ATTRIBUTABLE TO COMMON STOCKHOLDERS | (1,312,901) | (2,285,940) | (1,541,803) | (4,561,011) |
COMPREHENSIVE LOSS: | ||||
Net loss | (1,315,125) | (1,933,258) | (1,546,351) | (4,610,913) |
Foreign currency translation (loss) gain | 15,243 | (25,755) | 38,462 | (35,457) |
Comprehensive loss | (1,299,882) | (1,959,013) | (1,507,889) | (4,646,370) |
Net (loss) income attributable to non-controlling interest | (2,224) | 352,682 | (4,548) | (49,902) |
Foreign currency translation gain (loss) from non-controlling interest | 122 | 1,516 | ||
Comprehensive loss attributable to common stockholders | $ (1,297,658) | $ (2,311,817) | $ (1,503,341) | $ (4,597,984) |
NET LOSS PER COMMON SHARE: | ||||
Continuing operations – basic and diluted (in Dollars per share) | $ (0.01) | $ 0 | $ (0.01) | $ 0 |
Discontinued operations – basic and diluted (in Dollars per share) | 0 | 0 | ||
Net loss per common share - basic (in Dollars per share) | $ (0.01) | $ 0 | $ (0.01) | $ 0 |
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING: | ||||
Basic and diluted (in Shares) | 219,060,833 | 135,665,126 | 114,984,418 | 69,482,385 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Changes in Stockholders' Equity (Deficit) (Unaudited) - USD ($) | Preferred stock | Common stock | Additional Paid-in Capital | Accumulated other comprehensive (loss) income | Accumulated deficits | Non-controlling Interest | Common stock to be issued | Total |
Balance at Dec. 31, 2019 | $ 199,418 | $ 53,699,861 | $ 42,597 | $ (66,300,687) | $ (960,202) | $ 7,018,942 | $ (6,300,071) | |
Balance (in Shares) at Dec. 31, 2019 | 199,418,592 | 7,018,942,195 | ||||||
Common stock issued for acquisition of Peak Equity Group | $ 7,018,942 | $ (7,018,942) | ||||||
Common stock issued for acquisition of Peak Equity Group (in Shares) | 7,018,942,195 | (7,018,942,195) | ||||||
Common stock issued acquisition of non-wholly owned subsidiary | $ 2,658 | 1,007,382 | (33,345) | 976,695 | ||||
Common stock issued acquisition of non-wholly owned subsidiary (in Shares) | 2,658,000 | |||||||
Common stock issued upon conversion of debt | $ 503 | 99,497 | 100,000 | |||||
Common stock issued upon conversion of debt (in Shares) | 502,955 | |||||||
NCI from disposal of subsidiary | 67,712 | 67,712 | ||||||
Common stock issued for services from consultants and service providers | $ 532 | $ 800 | 476,676 | 478,008 | ||||
Common stock issued for services from consultants and service providers (in Shares) | 531,600 | 800,000 | ||||||
Foreign currency translation adjustment | (35,457) | 1,516 | (33,941) | |||||
Net loss for the period | (4,561,011) | (49,902) | (4,610,913) | |||||
Balance at Jun. 30, 2020 | $ 3,190 | $ 7,219,663 | 55,283,416 | 7,140 | (70,861,698) | (974,221) | (9,322,510) | |
Balance (in Shares) at Jun. 30, 2020 | 3,189,600 | 7,219,663,742 | ||||||
Balance at Mar. 31, 2020 | $ 199,418 | 53,699,861 | 32,895 | (68,575,758) | (960,202) | $ 7,018,942 | (6,300,071) | |
Balance (in Shares) at Mar. 31, 2020 | 199,418,592 | 7,018,942,195 | ||||||
Common stock issued for acquisition of Peak Equity Group | $ 7,018,942 | $ (7,018,942) | ||||||
Common stock issued for acquisition of Peak Equity Group (in Shares) | 7,018,942,195 | (7,018,942,195) | ||||||
Common stock issued acquisition of non-wholly owned subsidiary | $ 2,658 | 1,007,382 | (33,345) | 976,695 | ||||
Common stock issued acquisition of non-wholly owned subsidiary (in Shares) | 2,658,000 | |||||||
Common stock issued upon conversion of debt | $ 503 | 99,497 | 100,000 | |||||
Common stock issued upon conversion of debt (in Shares) | 502,955 | |||||||
Common stock issued for services from consultants and service providers | $ 532 | $ 800 | 476,676 | 478,008 | ||||
Common stock issued for services from consultants and service providers (in Shares) | 531,600 | 800,000 | ||||||
Foreign currency translation adjustment | (25,855) | 122 | (25,633) | |||||
Net loss for the period | (2,285,940) | 352,682 | (1,953,258) | |||||
Balance at Jun. 30, 2020 | $ 3,190 | $ 7,219,663 | 55,283,416 | 7,140 | (70,861,698) | (974,221) | (9,322,510) | |
Balance (in Shares) at Jun. 30, 2020 | 3,189,600 | 7,219,663,742 | ||||||
Balance at Dec. 31, 2020 | $ 532 | $ 172,883 | 61,700,634 | (13,246) | (73,020,134) | (877,585) | (12,036,916) | |
Balance (in Shares) at Dec. 31, 2020 | 531,600 | 172,883,475 | ||||||
Issuance of shares for director’s remuneration | $ 8,333 | 491,667 | 500,000 | |||||
Issuance of shares for director’s remuneration (in Shares) | 8,333,335 | |||||||
Common stock issued upon conversion of debt | $ 16,401 | 187,766 | 204,167 | |||||
Common stock issued upon conversion of debt (in Shares) | 16,400,691 | |||||||
Fractional shares from reverse split (in Shares) | 800 | |||||||
Common stock issued for services from consultants and service providers | $ 26,873 | 1,024,537 | 1,051,410 | |||||
Common stock issued for services from consultants and service providers (in Shares) | 26,872,638 | |||||||
Common stock issued for business marketing services | $ 13,935 | 585,285 | 599,220 | |||||
Common stock issued for business marketing services (in Shares) | 13,935,337 | |||||||
Cancellation share | $ (1) | 1 | ||||||
Cancellation share (in Shares) | (1,500) | |||||||
Foreign currency translation adjustment | 38,462 | 38,462 | ||||||
Net loss for the period | (1,541,803) | (4,548) | (1,546,351) | |||||
Balance at Jun. 30, 2021 | $ 532 | $ 238,424 | 63,989,890 | 25,216 | (74,561,937) | (882,133) | (11,190,008) | |
Balance (in Shares) at Jun. 30, 2021 | 531,600 | 238,424,776 | ||||||
Balance at Mar. 31, 2021 | $ 532 | $ 193,669 | 62,284,015 | 9,973 | (73,249,036) | (879,909) | (11,640,756) | |
Balance (in Shares) at Mar. 31, 2021 | 531,600 | 193,670,023 | ||||||
Common stock issued upon conversion of debt | $ 3,948 | 96,052 | 100,000 | |||||
Common stock issued upon conversion of debt (in Shares) | 3,948,278 | |||||||
Common stock issued for services from consultants and service providers | $ 26,873 | 1,024,537 | 1,051,410 | |||||
Common stock issued for services from consultants and service providers (in Shares) | 26,872,638 | |||||||
Common stock issued for business marketing services | $ 13,935 | 585,285 | 599,220 | |||||
Common stock issued for business marketing services (in Shares) | 13,935,337 | |||||||
Cancellation of common stock | $ (1) | 1 | ||||||
Cancellation of common stock (in Shares) | (1,500) | |||||||
Foreign currency translation adjustment | 15,243 | 15,243 | ||||||
Net loss for the period | (1,312,901) | (2,224) | (1,315,125) | |||||
Balance at Jun. 30, 2021 | $ 532 | $ 238,424 | $ 63,989,890 | $ 25,216 | $ (74,561,937) | $ (882,133) | $ (11,190,008) | |
Balance (in Shares) at Jun. 30, 2021 | 531,600 | 238,424,776 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net loss | $ (1,546,351) | $ (4,610,913) |
Adjustments to reconcile net loss from operations to net cash used in operating activities: | ||
Depreciation | 66,769 | 67,684 |
Amortization of intangible assets | 49,075 | 101,496 |
Impairment loss on marketable securities | 1,861,605 | |
Gain on disposal of marketable securities | (616,641) | (76,968) |
Impairment loss on goodwill | 1,080,898 | |
Written-off prepayments | 122,514 | |
Stock-based professional fees | 225,333 | |
Stock-based consultancy fee | 1,051,410 | |
Stock-based business marketing fee | 599,220 | |
Loss on disposal of a subsidiary | 70,901 | |
Amortization of debt discount | 2,821 | 2,137 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (25,607) | (39,375) |
Prepaid expenses and other receivables | (429,979) | 22,208 |
Accounts payable and accrued expenses | (74,113) | 1,122 |
Other payable | 120,750 | 422,015 |
Income tax payable | (6,802) | |
Deferred revenue | (107) | 430 |
CASH FLOWS USED IN OPERATING ACTIVITIES | (802,753) | (755,715) |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Dividends received | 7,222 | |
Purchase of marketable securities | (17,381,542) | (3,295,426) |
Proceeds from disposal of marketable securities | 16,649,971 | 2,894,765 |
Proceeds from disposal of a subsidiary | 8,251 | |
Cash and cash equivalents from acquisition of a non-wholly owned subsidiary | 192,022 | |
CASH FLOWS USED IN INVESTING ACTIVITIES | (724,349) | (200,388) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Repayments of bank loan | (60,592) | (39,149) |
Proceeds from bank loan | 1,412,574 | |
Proceeds from issuance of note payable | 230,770 | 183,000 |
Advance from related party | 149,884 | 329,982 |
CASH FLOWS PROVIDED BY FINANCING ACTIVITIES | 320,062 | 1,886,407 |
Effect of exchange rate changes | (17,057) | (20,564) |
Net change in cash and cash equivalents | (1,224,097) | 909,740 |
Cash and cash equivalents - beginning of period | 1,805,417 | 83,667 |
Cash and cash equivalents - end of period | 581,320 | 993,407 |
Cash paid for: | ||
Interest | 110,107 | 144,225 |
Income taxes | ||
NON-CASH INVESTING AND FINANCING ACTIVITIES: | ||
Interest | 119,171 | 448,686 |
Stock issued for director’s remuneration | 500,000 | |
Stock issued for acquisition of a non-wholly owned subsidiary | 976,695 | |
Stock issued for services from consultants and vendors | 1,650,630 | 478,008 |
Stock issued for redemption of convertible note and accrued interest | $ 204,267 | $ 100,000 |
Description of Business and Org
Description of Business and Organization | 6 Months Ended |
Jun. 30, 2021 | |
Accounting Policies [Abstract] | |
DESCRIPTION OF BUSINESS AND ORGANIZATION | NOTE 1 – DESCRIPTION OF BUSINESS AND ORGANIZATION Sharing Economy International Inc. (the “Company”) was incorporated in Delaware on June 24, 1987 under the name of Malex, Inc. On December 18, 2007, the Company’s corporate name was changed to China Wind Systems, Inc. and on June 13, 2011, the Company changed its corporate name to Cleantech Solutions International, Inc. On August 7, 2012, the Company was re-domiciled to a Nevada corporation. On January 8, 2018, the Company changed its corporate name to Sharing Economy International Inc. The Company’s current business initiatives are focused on targeting the technology and global sharing economy markets, by developing online platforms and rental business partnerships that will drive the global development of sharing through economical rental business models. ● Vantage Ultimate Limited (“Vantage”), a company incorporated under the laws of British Virgin Islands on February 1, 2017 and is wholly-owned by the Company. ● Sharing Economy Investment Limited (“Sharing Economy”), a company incorporated under the laws of British Virgin Islands on May 18, 2017 and is wholly-owned by Vantage. ● EC Advertising Limited (“EC Advertising”), a company incorporated under the laws of Hong Kong on March 17, 2017 and is a wholly-owned by Sharing Economy. ● EC Rental Limited (“EC Rental”), a company incorporated under the laws of British Virgin Islands on May 22, 2017 and is wholly-owned by Vantage. ● EC Assets Management Limited (“EC Assets”), a company incorporated under the laws of British Virgin Islands on May 22, 2017 and is wholly-owned by Vantage. ● Cleantech Solutions Limited (formerly known as EC (Fly Car) Limited), a company incorporated under the laws of British Virgin Islands on May 22, 2017 and is a wholly-owned by Sharing Economy. ● Global Bike Share (Mobile App) Limited, a company incorporated under the laws of British Virgin Islands on May 23, 2017 and is a wholly-owned by Sharing Economy. ● EC Power (Global) Technology Limited (“EC Power”), a company incorporated under the laws of British Virgin Islands on May 26, 2017 and is wholly-owned by EC Rental. ● ECPower (HK) Company Limited, a company incorporated under the laws of Hong Kong on June 23, 2017 and is wholly-owned by EC Power. ● EC Manpower Limited, a company incorporated under the laws of Hong Kong on July 3, 2017 and is wholly-owned by Vantage. ● EC Technology & Innovations Limited (“EC Technology”), a company incorporated under the laws of British Virgin Islands on September 1, 2017 and is wholly-owned by Vantage. ● Inspirit Studio Limited (“Inspirit Studios”), a company incorporated under the laws of Hong Kong on August 24, 2015, and 51% of its shareholding was acquired by EC Technology on December 8, 2017. ● EC Creative Limited (“EC Creative”), a company incorporated under the laws of British Virgin Islands on January 9, 2018 and is wholly-owned by Vantage. ● 3D Discovery Co. Limited (“3D Discovery”), a company incorporated under the laws of Hong Kong on February 24, 2015, 60% of its shareholdings was acquired by EC Technology on January 19, 2018 and remaining 40% of its shareholdings was acquired by EC Technology on August 14, 2020. ● Sharing Film International Limited, a company incorporated under the laws of Hong Kong on January 22, 2018 and is a wholly-owned by EC Creative. ● AnyWorkspace Limited (“AnyWorkspace”), a company incorporated under the laws of Hong Kong on November 12, 2015, and 80% of its shareholding was acquired by Sharing Economy on January 30, 2018. On March 24, 2020, the Company disposed 80% equity interest of AnyWorkspace. ● Xiamen Great Media Company Limited (“Xiamen Great Media”), a company incorporated under the laws of the PRC on September 5, 2018 and is a wholly-owned by EC Advertising. Going Concern These condensed consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the settlement of liabilities and commitments in the normal course of business. As reflected in the accompanying condensed consolidated financial statements, the Company had a loss of approximately $1,546,351 for the six months ended June 30, 2021 and suffered from the accumulated deficit of $74,561,937 at that date. The net cash used in operations were approximately $795,531 for the six months ended June 30, 2021. Management believes that its capital resources are not currently adequate to continue operating and maintaining its business strategy for the next twelve months from the date of this report. The Company may seek to raise capital through additional debt and/or equity financings to fund its operations in the future. Although the Company has historically raised capital from sales of equity and from bank loans, there is no assurance that it will be able to continue to do so. If the Company is unable to raise additional capital or secure additional lending in the near future, management expects that the Company will need to curtail or cease operations. Management believes that these matters raise substantial doubt about the Company’s ability to continue as a going concern. The accompanying condensed consolidated financial statements do not include any adjustments related to the recoverability and classification of recorded asset amounts or classification of liabilities that might be necessary should the Company be unable to continue as a going concern. Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared by management in accordance with both accounting principles generally accepted in the United States (“GAAP”), and the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Certain information and note disclosures normally included in audited financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to those rules and regulations, although the Company believes that the disclosures made are adequate to make the information not misleading. In the opinion of management, the consolidated balance sheet as of December 31, 2020 which has been derived from audited financial statements and these unaudited condensed consolidated financial statements reflect all normal and recurring adjustments considered necessary to state fairly the results for the periods presented. The results for the period ended June 30, 2021 are not necessarily indicative of the results to be expected for the entire fiscal year ending December 31, 2021 or for any future period. These unaudited condensed consolidated financial statements and notes thereto should be read in conjunction with the Management’s Discussion and the audited financial statements and notes thereto included in the Annual Report on Form 10-K for the year ended December 31, 2020. Principles of Consolidation The Company’s unaudited condensed consolidated financial statements include the financial statements of its wholly-owned and majority owned subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. Use of Estimates The preparation of the condensed consolidated financial statements in conformity with accounting principles generally accepted in the U.S. requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues, expenses, and the related disclosures at the date of the financial statements and during the reporting period. Actual results could materially differ from these estimates. Significant estimates in the six months ended June 30, 2021 and 2020 include the allowance for doubtful accounts on accounts and other receivables, the allowance for inventory reserve, the useful life of property and equipment and intangible assets, assumptions used in assessing impairment of long-term assets, valuation of deferred tax assets, and the value of stock-based compensation. Cash and Cash Equivalents For purposes of the consolidated statements of cash flows, the Company considers all highly liquid instruments purchased with a maturity of three months or less and money market accounts to be cash equivalents. The Company maintains with various financial institutions mainly in the PRC, Hong Kong and the U.S. At June 30, 2021 and December 31, 2020, cash balances held in banks in the PRC and Hong Kong of $581,320 and $1,805,417, respectively, are uninsured. Available-for-sale marketable securities Available-for-sale marketable securities are reported at fair value using the market approach based on the quoted prices in active markets at the reporting date. The Company classifies the valuation techniques that use these inputs as Level 1 of fair value measurements. Any unrealized losses that are deemed other-than-temporary are included in current period earnings and removed from accumulated other comprehensive income (loss). Realized gains and losses on marketable securities are included in current period earnings. For purposes of computing realized gains and losses, the cost basis of each investment sold is generally based on the weighted average cost method. The Company regularly evaluates whether the decline in fair value of available-for-sale securities is other-than-temporary and objective evidence of impairment could include: ● The severity and duration of the fair value decline; ● Deterioration in the financial condition of the issuer; and ● Evaluation of the factors that could cause individual securities to have an other-than-temporary impairment. Fair Value of Financial Instruments The Company adopted the guidance of ASC Topic 820 for fair value measurements which clarifies the definition of fair value, prescribes methods for measuring fair value, and establishes a fair value hierarchy to classify the inputs used in measuring fair value as follows: Level 1 - Inputs are unadjusted quoted prices in active markets for identical assets or liabilities available at the measurement date. Level 2 - Inputs are unadjusted quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, inputs other than quoted prices that are observable, and inputs derived from or corroborated by observable market data. Level 3 - Inputs are unobservable inputs which reflect the reporting entity’s own assumptions on what assumptions the market participants would use in pricing the asset or liability based on the best available information. The carrying amounts reported in the consolidated balance sheets for cash and cash equivalents, restricted cash, notes receivable, accounts receivable, inventories, advances to suppliers, deferred tax assets, receivable from sale of subsidiary, prepaid expenses and other, short-term bank loans, bank acceptance notes payable, note payable, accounts payable, accrued liabilities, advances from customers, amount due to a related party, VAT and service taxes payable and income taxes payable approximate their fair market value based on the short-term maturity of these instruments. ASC Topic 825-10 “Financial Instruments” allows entities to voluntarily choose to measure certain financial assets and liabilities at fair value (fair value option). The fair value option may be elected on an instrument-by-instrument basis and is irrevocable, unless a new election date occurs. If the fair value option is elected for an instrument, unrealized gains and losses for that instrument should be reported in earnings at each subsequent reporting date. The Company did not elect to apply the fair value option to any outstanding instruments. The following table presents information about the Company’s assets and liabilities that were measured at fair value as of June 30, 2021 and December 31, 2020, and indicates the fair value hierarchy of the valuation techniques the Company utilized to determine such fair value. June 30, Quoted Significant Significant Description 2021 (Level 1) (Level 2) (Level 3) (Unaudited) Assets: Marketable securities, available-for-sale $ 3,345,650 $ 3,345,650 $ – $ – December 31, Quoted Significant Significant Description 2020 (Level 1) (Level 2) (Level 3) Assets: Marketable securities, available-for-sale $ 1,989,823 $ 1,989,823 $ – $ – As of June 30, 2021 and December 31, 2020, the Company did not have any nonfinancial assets and liabilities that are recognized or disclosed at fair value in the financial statements, at least annually, on a recurring basis, nor did the Company have any assets or liabilities measured at fair value on a non-recurring basis. Concentrations of Credit Risk The Company’s operations are carried out in Hong Kong. Accordingly, the Company’s business, financial condition and results of operations may be influenced by the political, economic and legal environment in Hong Kong. The Company’s operations in Hong Kong are subject to specific considerations and significant risks not typically associated with companies in North America. The Company’s results may be adversely affected by changes in governmental policies with respect to laws and regulations, anti-inflationary measures, currency conversion and remittance abroad, and rates and methods of taxation, among other things. Financial instruments which potentially subject the Company to concentrations of credit risk consist principally of cash and trade accounts receivable. Substantially all of the Company’s cash is maintained with state-owned banks within the Hong Kong, and none of these deposits are covered by insurance. The Company has not experienced any losses in such accounts and believes it is not exposed to any risks on its cash in bank accounts. A significant portion of the Company’s sales are credit sales which are primarily to customers whose ability to pay is dependent upon the industry economics prevailing in these areas; however, concentrations of credit risk with respect to trade accounts receivables is limited due to generally short payment terms. The Company also performs ongoing credit evaluations of its customers to help further reduce credit risk. Accounts Receivable Accounts receivable are presented net of an allowance for doubtful accounts. The Company maintains allowances for doubtful accounts for estimated losses. The Company reviews the accounts receivable on a periodic basis and makes general and specific allowances when there is doubt as to the collectability of individual balances. In evaluating the collectability of individual receivable balances, the Company considers many factors, including the age of the balance, a customer’s historical payment history, its current credit-worthiness and current economic trends. Accounts are written off after exhaustive efforts at collection. At June 30, 2021 and December 31, 2020, the Company has established, based on a review of its outstanding balances, no allowance for doubtful accounts in the accounts. Property and Equipment Property and equipment are carried at cost and are depreciated on a straight-line basis over the estimated useful lives of the assets. The cost of repairs and maintenance is expensed as incurred; major replacements and improvements are capitalized. When assets are retired or disposed of, the cost and accumulated depreciation are removed from the accounts, and any resulting gains or losses are included in the statements of operations in the year of disposition. The Company examines the possibility of decreases in the value of fixed assets when events or changes in circumstances reflect the fact that their recorded value may not be recoverable. Impairment loss has been recorded in current period. Useful life Office equipment and furniture 5 years Vehicles 5 years Vessels 5 years Depreciation expense from continuing operations for the three months ended June 30, 2021 and 2020 amounted to $33,000 and $33,842, respectively. Depreciation expense from continuing operations for the six months ended June 30, 2021 and 2020 amounted to $66,769 and $67,684, respectively. Impairment of long-lived assets and intangible assets In accordance with ASC Topic 360, the Company reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of the assets may not be fully recoverable, or at least annually. The Company recognizes an impairment loss when the sum of expected undiscounted future cash flows is less than the carrying amount of the asset. The amount of impairment is measured as the difference between the asset’s estimated fair value and its book value. At June 30, 2021 and December 31, 2020, the Company conducted an impairment assessment on property, equipment and intangible asset based on the guidelines established in ASC Topic 360 to determine the estimated fair market value of property, equipment and intangible asset as of June 30, 2021 and December 31, 2020. Such analysis considered future use of such equipment, consultation with equipment resellers, subsequent sales of price of equipment held for sale, and other industry factors. Upon completion of the annual impairment analysis, no impairment charges on long-lived assets need to be charged. Revenue recognition In May 2014, FASB issued an update Accounting Standards Update (“ASU”) (“ASU 2014-09”) establishing Accounting Standards Codification (“ASC”) Topic 606, Revenue from Contracts with Customers The Company derives its revenues from the sale of licence and advertising right and in a term of certain periods. The Company applies the following five steps in order to determine the appropriate amount of revenue to be recognized as it fulfills its obligations under each of its agreements: ● 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. Income taxes The Company is governed by the Income Tax Law of the PRC, Inland Revenue Ordinance of Hong Kong and the U.S. Internal Revenue Code of 1986, as amended. The Company accounts for income taxes using the asset/liability method prescribed by ASC 740, “Accounting for Income Taxes.” Under this method, deferred tax assets and liabilities are determined based on the difference between the financial reporting and tax bases of assets and liabilities using enacted tax rates that will be in effect in the period in which the differences are expected to reverse. The Company records a valuation allowance to offset deferred tax assets if, based on the weight of available evidence, it is more-likely-than-not that some portion, or all, of the deferred tax assets will not be realized. The effect on deferred taxes of a change in tax rates is recognized as income or loss in the period that includes the enactment date. On December 22, 2017, the United States signed into law the Tax Cuts and Jobs Act (the “Act”), a tax reform bill which, among other items, reduces the current federal income tax rate in the United States to 21% from 35%. The rate reduction is effective January 1, 2018, and is permanent. The Act has caused the Company’s deferred income taxes to be revalued. As changes in tax laws or rates are enacted, deferred tax assets and liabilities are adjusted through income tax expense. Pursuant to the guidance within SEC Staff Accounting Bulletin No. 118 (“SAB 118”), as of December 31, 2020, the Company recognized the provisional effects of the enactment of the Act for which measurement could be reasonably estimated. Since the Company has provided a full valuation allowance against its deferred tax assets, the revaluation of the deferred tax assets did not have a material impact on any period presented. The ultimate impact of the Act may differ from these estimates due to the Company’s continued analysis or further regulatory guidance that may be issued as a result of the Act. The Company applied the provisions of ASC 740-10-50, “Accounting for Uncertainty in Income Taxes,” which provides clarification related to the process associated with accounting for uncertain tax positions recognized in the Company’s financial statements. Audit periods remain open for review until the statute of limitations has passed. The completion of review or the expiration of the statute of limitations for a given audit period could result in an adjustment to the Company’s liability for income taxes. Any such adjustment could be material to the Company’s results of operations for any given quarterly or annual period based, in part, upon the results of operations for the given period. As of June 30, 2021 and December 31, 2020, the Company had no uncertain tax positions, and will continue to evaluate for uncertain positions in the future. Stock-Based Compensation FASB’s ASC Topic 718, Stock Compensation (formerly, FASB Statement 123R) (“ASC Topic 718”), prescribes accounting and reporting standards for all stock-based payment transactions in which employee and non-employee services are acquired. The Company measures the cost of employee and non-employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award. The Company estimates the fair value of each restricted stock award as of the date of grant using the closing price as reported by the OTC Markets Group Inc. (the “OTCM”) on the date of grant. The fair value determined represents the cost for the award and is recognized over the vesting period during which an employee is required to provide service in exchange for the award. The Company accounts for forfeitures of restricted stock as they occur. Foreign Currency Translation The reporting currency of the Company is the U.S. dollar. The functional currency of the parent company is the U.S. dollar and the functional currency of the Company’s operating subsidiaries is the Chinese Renminbi (“RMB”) or Hong Kong dollars (HKD). For the subsidiaries and affiliates, whose functional currencies are the RMB or HKD, results of operations and cash flows are translated at average exchange rates during the period, assets and liabilities are translated at the unified exchange rate at the end of the period, and equity is translated at historical exchange rates. As a result, amounts relating to assets and liabilities reported on the statements of cash flows may not necessarily agree with the changes in the corresponding balances on the balance sheets. Translation adjustments resulting from the process of translating the local currency financial statements into U.S. dollars are included in determining comprehensive loss. The Company did not enter into any material transaction in foreign currencies. Transaction gains or losses have not had, and are not expected to have, a material effect on the results of operations of the Company. Translation of amounts from RMB and HK$ into US$ has been made at the following exchange rates for the period ended June 30, 2021 and 2020: June 30, June 30, Period-end RMB:US$ exchange rate 6.4697 7.0682 Period average RMB:US$ exchange rate 6.4549 7.0324 Period-end HK$:US$ exchange rate 7.7650 7.7502 Period average HK$:US$ exchange rate 7.8000 7.8000 Loss Per Share of Common Stock ASC Topic 260 “Earnings per Share,” requires presentation of both basic and diluted earnings per share (“EPS”) with a reconciliation of the numerator and denominator of the basic EPS computation to the numerator and denominator of the diluted EPS computation. Basic EPS excludes dilution. Diluted EPS reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of the entity. Basic net loss per share is computed by dividing net loss available to common stockholders by the weighted average number of shares of common stock outstanding during the period. Diluted net loss per share is computed by dividing net loss by the weighted average number of shares of common stock, common stock equivalents and potentially dilutive securities outstanding during each period. The Company did not have any common stock equivalents or potentially dilutive common stock outstanding during the six months ended June 30, 2021 and 2020. In a period in which the Company has a net loss, all potentially dilutive securities are excluded from the computation of diluted shares outstanding as they would have had an anti-dilutive impact. The following table presents a reconciliation of basic and diluted net loss per share: Six months ended 2021 2020 Net Loss for basic and diluted attributable to common shareholders $ (1,546,351 ) $ (4,610,913 ) Weighted average common stock outstanding – basic and diluted 114,984,418 3,474,119,263 Net loss per common share – basic and diluted $ (0.01 ) $ (0.00 ) Noncontrolling interest The Company accounts for noncontrolling interest in accordance with ASC Topic 810-10-45, which requires the Company to present noncontrolling interests as a separate component of total shareholders’ equity on the consolidated balance sheets and the consolidated net loss attributable to the its noncontrolling interest be clearly identified and presented on the face of the consolidated statements of operations and comprehensive loss. Comprehensive Loss Comprehensive loss is comprised of net loss and all changes to the statements of stockholders’ equity, except those due to investments by stockholders, changes in paid-in capital and distributions to stockholders. For the Company, comprehensive loss income for the six months ended June 30, 2021 and 2020 included net loss and unrealized gain from foreign currency translation adjustments. Reclassification Certain reclassifications have been made in prior period’s consolidated financial statements to conform to the current year’s financial presentation. The reclassifications have no effect on previously reported net loss. Recent Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments Financial Instruments—Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842): Effective Dates In January 2017, the FASB issued ASU 2017-04, Intangibles - Goodwill and Other: Simplifying the Test for Goodwill Impairment (ASC 350). The Company is currently evaluating the impact that the adoption of this guidance will have on its consolidated financial statements. In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740) Simplifying the Accounting for Income Taxes In June 2020, the FASB issued ASU No. 2020-06, Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging - Contracts in Entity’s Own Equity (Subtopic 815-40). From time to time, new accounting pronouncements are issued by the FASB or other standard setting bodies that the Company adopts as of the specified effective date. The Company does not believe that the impact of recently issued standards that are not yet effective will have a material impact on the Company’s financial position or results of operations upon adoption. |
Property and Equipment
Property and Equipment | 6 Months Ended |
Jun. 30, 2021 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY AND EQUIPMENT | NOTE 2 – PROPERTY AND EQUIPMENT At June 30, 2021 and December 31, 2020, property and equipment consisted of the following: Useful life June 30, December 31, Office equipment 5 years 25,792 25,872 Motor vehicle 5 years 79,433 72,382 Yacht 5 years 589,577 591,404 694,802 689,658 Less: accumulated depreciation (268,822 ) (202,322 ) $ 425,980 $ 487,336 Depreciation expense for the six months ended June 30, 2021 and 2020 amounted to $66,769 and $67,684. Depreciation expense for the three months ended June 30, 2021 and 2020 amounted to $33,000 and $33,842. |
Intangible Assets
Intangible Assets | 6 Months Ended |
Jun. 30, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
INTANGIBLE ASSETS | NOTE 3 –INTANGIBLE ASSETS As of June 30, 2021 and December 31, 2020, intangible assets consisted of the following: Useful life June 30, December 31, Other intangible assets 3 - 5 years 843,967 844,246 Redemption code 5 years 750,000 750,000 Goodwill infinite 27,353 27,353 1,621,320 1,621,599 Less: accumulated amortization (763,538 ) (714,832 ) Less: impairment loss (750,000 ) (750,000 ) $ 107,782 $ 156,767 Annual amortization of intangible assets attributable to future periods is as follows: Year ending June 30: Amount 2021 $ 63,964 2022 16,465 2023 - $ 80,429 For the six months ended June 30, 2021 and 2020, amortization of intangible assets amounted to $49,075 and $101,496, respectively. For the three months ended June 30, 2021 and 2020, amortization of intangible assets amounted to $24,538 and $50,748, respectively. |
Bank Loans
Bank Loans | 6 Months Ended |
Jun. 30, 2021 | |
Debt Disclosure [Abstract] | |
BANK LOANS | NOTE 4 – BANK LOANS Bank loans of $4,987,904 represented amount due to one financial institution in Hong Kong that are repayable in a term of 30 years, with 360 monthly installments and interest is charged at the annual rate of 2.5% below its best lending rate. Revolving credit line of $6,302,884 is expected to be repaid in the next twelve months and interest is charged at the rate of 1.63% per annum over the Hong Kong Dollar Best Lending Rate. At June 30, 2021, the banking facilities of the Company were secured by: ● Personal guarantee by the directors of the Company’s subsidiary; ● Legal charge and rental assignment over the leasehold land and buildings owned by its related companies which are controlled by the major shareholder of the Company, Mr. Chan Tin Chi; and ● Hong Kong Mortgage Corporation Limited. At June 30, 2021 and December 31, 2020, bank loans consisted of the following: June 30, December 31, Mortgage loan $ 4,987,904 $ 5,064,142 Line of revolving loan 6,302,884 6,322,417 Total bank loans $ 11,290,788 $ 11,386,559 Reclassifying as: Current portion $ 6,426,211 $ 6,446,139 Long-term portion (more than 12 months) 4,864,577 4,940,420 Total bank loans $ 11,290,788 $ 11,386,559 Interest related to the bank loans was $54,357 and $48,394 for the three months ended June 30, 2021 and 2020, respectively. Interest related to the bank loans was $110,107 and $144,225 for the six months ended June 30, 2021 and 2020, respectively. All interests are included in interest expense on the accompanying condensed consolidated statements of operations. |
Convertible Note Payable
Convertible Note Payable | 6 Months Ended |
Jun. 30, 2021 | |
Convertible Notes Payable [Abstract] | |
CONVERTIBLE NOTE PAYABLE | NOTE 5 – CONVERTIBLE NOTE PAYABLE Securities purchase agreement and related convertible note and warrants On May 2, 2018, pursuant to a securities purchase agreement, the Company closed a private placement of securities with Iliad Research and Trading, L.P. (the “Investor”) pursuant to which the Investor purchased a Convertible Promissory Note (the “Iliad Note”) in the original principal amount of $900,000, convertible into shares of common stock of the Company (the “Common Stock”), upon the terms and subject to the limitations and conditions set forth in the Iliad Note, and a two year Warrant to purchase 134,328 shares of Common Stock at an exercise price of $7.18 per share (the “Warrant”). In connection with the Iliad Note, the Company paid an original issue discount of $150,000 and paid issuance costs of $45,018 which will be reflected as a debt discount and amortized over the Iliad Note term. The Iliad Note bears interest at 10% per annum, is unsecured, and is due on the date that is fifteen months from May 2, 2018. The warrants shall expire on the last calendar day of the month in which the second anniversary of the Issue Date occurs. On November 8, 2018, the Company converted an aggregate of $27,811 and $47,189 outstanding principal and interest of the Iliad Note, respectively, into a total of 36,621 shares of its common stock. On January 11, 2019, the Company converted an aggregate of $34,103 and $15,897 outstanding principal and interest of the Iliad Note, respectively, into 266,667 shares of its common stock. On April 30, 2020, the Company converted an aggregate of $100,000 and $0 outstanding principal and interest of the Iliad Note, respectively, into 502,955 shares of its common stock. During the December, 2020, the Company converted an aggregate of $235,000 and $158,017 outstanding principal and interest of the Iliad Note, respectively, into 18,944,773 shares of its common stock. The Investor has the right at any time after May 2, 2018 until the outstanding balance has been paid in full to convert all or any part of the outstanding balance into shares of common stock of the Company at conversion price of $6.70 per share (the “Lender Conversion Price”). The Lender Conversion Price is subject to certain adjustments set forth in the Iliad Note. The conversion price for each Redemption Conversion (the “Redemption Conversion Price”) shall be the lesser of (a) the Lender Conversion Price, and (b) the Market Price; provided, however, in no event shall the Redemption Conversion Price be less than $2.00 per share (“Conversion Price Floor”) unless the Company waived the Conversion Price Floor. This debt instrument includes embedded components including a put option. The Company evaluated these embedded components to determine whether they are embedded derivatives within the scope of ASC 815 that should be separately carried at fair value. ASC 815-15-25-1 provides guidance on when an embedded component should be separated from its host instrument and accounted for separately as a derivative. Based on this analysis, the Company believes that the put option is clearly and closely related to the debt instrument and does not meet the definition of a derivative. Accordingly, in connection with this Iliad Note, the Company recorded a debt discount for (a) the original issue discount of $150,000 (b) the relative fair value of the warrants issued of $152,490 and (c) legal fees and other fees paid in connection with the Iliad Note aggregating $45,018. There is no beneficial conversion feature on this Iliad Note. The debt discount shall be accreted on a straight line basis over the term of this Iliad Note. On April 7, 2020, pursuant to a securities purchase agreement, the Company closed a private placement of securities with Power Up Lending Group Ltd. (“Power Up”) pursuant to which Power Up purchased a Convertible Promissory Note (the “Power Up Note”) in the original principal amount of $83,000, with additional tranches of up to $1,000,000 in the aggregate over the next twelve (12) months, subject to the discretion of both parties. The Power Up Note is convertible into shares of the common stock of the Company at a price equal to 65% of the average of the two (2) lowest trading prices for the Company’s common stock during the twenty (20) trading day period ending on the latest complete trading day prior to the conversion date. The Power Up Note bears interest at 8% per annum and is due on October 7, 2021. During the December, 2020, the Company converted an aggregate of $127,820 and $0 outstanding principal and interest of the Power Up Note, respectively, into 8,228,775 shares of its common stock. On April 14, 2020, the Company and Black Ice Advisors, LLC (“Black Ice”) entered into a Securities Purchase Agreement, whereby the Company issued a note to Black Ice (the “Black Ice Note”) in the original principal amount of $110,000.The Black Ice Note contains an original issue discount of $10,000 which will be reflected as a debt discount and amortized over the Black Ice Note term. The Black Ice Note is convertible into shares of the common stock of the Company at a price equal to 60% of the lowest trading price of the Company’s common stock for the fifteen (15) prior trading days including the day upon which a Notice of Conversion is received by the Company. The Black Ice Note bears interest at 10% per annum and is due on April 14, 2021. In December 2020, the Company converted an aggregate of $15,000 and $0 outstanding principal and interest of the Black Ice Note, respectively, into 987,180 shares of its common stock. In January 2021, the Company converted an aggregate of $95,000 and $9,167 outstanding principal and interest of the Black Ice Note, respectively, into 12,452,413 shares of its common stock. In June 2021, the Company converted an aggregate of $100,000 outstanding principal of the Black Ice Note, respectively, into 3,948,278 shares of its common stock. On April 9, 2021, pursuant to a securities purchase agreement, the Company closed a private placement of securities with Pyram LC Architecture Limited. (“Pyram”) pursuant to which Pyram purchased a Convertible Promissory Note (the “Pyram Note”) in the original principal amount of $89,744. The Power Up Note is convertible into shares of the common stock of the Company at a price equal to 70% of the average closing prices for the Company’s common stock during the ten (10) trading day period ending on the latest complete trading day prior to the conversion date. The Power Up Note bears interest at 12% per annum and is due on October 8, 2021. On April 28, 2021, pursuant to a securities purchase agreement, the Company closed a private placement of securities with Pyram pursuant to which Pyram purchased the Pyram Note in the original principal amount of $38,462. The Power Up Note is convertible into shares of the common stock of the Company at a price equal to 70% of the average closing prices for the Company’s common stock during the ten (10) trading day period ending on the latest complete trading day prior to the conversion date. The Power Up Note bears interest at 12% per annum and is due on October 28, 2021. On May 13, 2021, pursuant to a securities purchase agreement, the Company closed a private placement of securities with Pyram pursuant to which Pyram purchased the Pyram Note in the original principal amount of $25,641. The Power Up Note is convertible into shares of the common stock of the Company at a price equal to 70% of the average closing prices for the Company’s common stock during the ten (10) trading day period ending on the latest complete trading day prior to the conversion date. The Power Up Note bears interest at 12% per annum and is due on November 12, 2021. On June 29, 2021, pursuant to a securities purchase agreement, the Company closed a private placement of securities with Pyram pursuant to which Pyram purchased the Pyram Note in the original principal amount of $76,923. The Power Up Note is convertible into shares of the common stock of the Company at a price equal to 70% of the average closing prices for the Company’s common stock during the ten (10) trading day period ending on the latest complete trading day prior to the conversion date. The Power Up Note bears interest at 12% per annum and is due on December 28, 2021. As of June 30, 2021 and December 31, 2020, convertible debt consisted of the following: June 30, December 31, Principal $ 634,341 $ 598,571 Unamortized discount - (2,821 ) Convertible debt, net $ 634,341 $ 595,750 The amortization of discount was $2,821 and $2,137 for the six months ended June 30, 2021 and 2020. The amortization of discount was $0 and $2,137 for the three months ended June 30, 2021 and 2020. As of June 30, 2021 and December 31, 2020, accrued interest amounted to $853,080 and $701,794, respectively. |
Related Party Transactions
Related Party Transactions | 6 Months Ended |
Jun. 30, 2021 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | NOTE 6 – RELATED PARTY TRANSACTIONS Due to related parties From time to time, during 2021 and 2020, the Company receive advances from Chan Tin Chi Family Company Limited (formerly known as YSK 1860 Co., Limited), who is the major shareholder of the Company for working capital purposes. These advances are non-interest bearing and are payable on demand. During the period ended June 30, 2021, the Company repaid to Chan Tin Chi Family Company Limited for working capital totaled $106,657. During the period ended June 30, 2020, the Company repaid to Chan Tin Chi Family Company Limited for working capital totaled $110,113. As of June 30, 2021 and December 31, 2020, amounts due to Chan Tin Chi Family Company Limited amounted to $1,710,912 and $1,817,569, respectively. At June 30, 2021 and December 31, 2020, amounts due to related companies amounted to $907,347 and $650,806, respectively. The amounts are unsecured, interest-free and have no fixed terms of repayment. |
Stockholders' Deficit
Stockholders' Deficit | 6 Months Ended |
Jun. 30, 2021 | |
Stockholders' Equity Note [Abstract] | |
STOCKHOLDERS’ DEFICIT | NOTE 7 – STOCKHOLDERS’ DEFICIT Preferred Stock The Company has authorized 50,000,000 shares of preferred stock Series A, with a par value of $0.001 per share. There were 531,600 and 531,600 preferred shares issued and outstanding at June 30, 2021 and December 31, 2020. Common Stock The Company has authorized 7,400,000,000 shares of common stock with a par value of $0.001 per share. As of June 30, 2021 and December 31, 2020, the Company has 238,424,776 shares and 172,883,435 shares of common stock issued and outstanding, respectively. Preferred stock issued for services and acquisition of a non-wholly owned subsidiary During the year ended December 31, 2020, the Company issued an aggregate of 531,600 shares of preferred stock to one consultant and vendors for the services rendered and to be rendered. These shares were valued at the fair market value on the grant date using the reported closing share price on the date of grant. At the end of each financial reporting period prior to issuance of these shares, the fair value of these shares is measured using the fair value of the Company’s preferred stock at reporting date. During the year ended December 31, 2020, the fair value of the above mentioned shares issued and the change in value of the shares to be issued was $202,008. The Company recognizes stock-based professional fees over the period during which the services are rendered by such consultant or vendor. For the year ended December 31, 2020, the Company recorded stock-based consulting and service fees to service provider of $202,008. In connection with the issuance/future issuance of shares to consultants and vendors, the Company recorded prepaid expenses of $0 which will be amortized over the remaining service period. Common stock issued for services During the period ended June 30, 2021, the Company completed the following transactions - ● the Company issued an aggregate of 8,333,335 shares of common stock to the Board of Directors and Advisory Committee members for the services rendered, at the price of $0.06 per share. For the period ended June 30, 2021, the Company recorded stock-based service fee of $500,000. ● the Company issued 18,500,000 shares of common stock to certain consultants for the business consultancy services rendered under 2020 Stock Incentive Plan. For the period ended June 30, 2021, the Company recorded stock-based service fee to the consultants at the price of $0.04 per share, in an aggregate amount of $740,000. ● the Company issued 6,747,638 shares of common stock to certain consultants for the consultancy services rendered. For the period ended June 30, 2021, the Company recorded service fee to the consultants at the price of $0.038 per share, in an aggregate amount of $256,410. ● the Company issued 625,000 shares of common stock to certain consultants for the consultancy services rendered. For the period ended June 30, 2021, the Company recorded service fee to the consultants at the price of $0.04 per share, in an aggregate amount of $25,000. ● the Company issued 1,000,000 shares of common stock to certain consultants for the consultancy services rendered. For the period ended June 30, 2021, the Company recorded service fee to the consultants at the price of $0.03 per share, in an aggregate amount of $30,000. ● the Company issued 13,935,337 shares of common stock to the vendor for the business marketing services rendered. For the period ended June 30, 2021, the Company recorded service fee to the vendor at the price of $0.043 per share, in an aggregate amount of $599,220. Common stock issued for debt conversion In January 2021, the Company issued 12,452,413 shares of its common stock upon conversion of debt (note 5). In June 2021, the Company issued 3,948,278 shares of its common stock upon conversion of debt (note 5). |
Concentrations
Concentrations | 6 Months Ended |
Jun. 30, 2021 | |
Risks and Uncertainties [Abstract] | |
CONCENTRATIONS | NOTE 8 – CONCENTRATIONS Customers For the three and six months ended June 30, 2021 and 2020, there are no customers representing more than 10% of the Company’s revenue. Vendors For the three and six months ended June 30, 2021 and 2020, there are no vendors representing more than 10% of the Company’s purchase. |
Commitment and Contingencies
Commitment and Contingencies | 6 Months Ended |
Jun. 30, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENT AND CONTINGENCIES | NOTE 9 – COMMITMENT AND CONTINGENCIES Litigation: On April 25, 2019, ECPower (HK) Company Limited (“EC Power”), a subsidiary of SEII, filed a claim against The Dairy Farm Limited (“Dairy Farm”) in respect of the cooperation agreement between the two parties for the battery rental business at 7-Eleven outlets in Hong Kong during the period from September 2017 to February 2018. The claim is for a total compensation of HK$1,395,000 (approximately $178,846) which comprises of (i) HK$45,000 (approximately $5,769) as compensation for interest and administration cost incurred as a result of Dairy Farm’s delay in payment of EC Power’s share of the rental income, and (ii) HK$1,350,000 (approximately $173,077) as compensation for Dairy Farm’s early termination of the cooperation agreement without any valid proof of fault on the part of EC Power. Legal proceedings: On June 10, 2020, the Company’s subsidiary, Ecrent Worldwide Company Limited (“Ecrent Worldwide”), a wholly owned subsidiary of Universal Sharing Limited (formerly known as Ecrent Holdings Limited), received a writ of summon (the “Summon”) issued by Messrs Wilkinson & Grist on behalf of Mr. Michael Andrew BERMAN and Mr. Eric Hans ISRAEL, who were the former Chief Executive Officer and Chief Financial Officer of Ecrent (America) Company Limited (“Ecrent America”) and Ecrent (USA) Company Limited (“Ecrent USA”). Both Ecrent America and Ecrent USA were the former subsidiaries of Universal Sharing Limited. On the same day, the Summon also delivered to Mr. Chan Tin Chi, the major shareholder of SEII and his spouse, Ms. Deborah Yuen Wai Ming. Pursuant to the US Judgement dated on September 25, 2019 issued by the Supreme Court of the State of New York County of Nassau, the Summon demands Ecrent Worldwide, Mr. Chan Tin Chi, and Ms. Deborah Yuen Wai Ming to fully settle an amount of approximately $241,706 and $103,841 to Mr. Berman and Mr. Israel, respectively representing the unpaid salary, benefits, expenses and incentive bonus. SEII intends to dispute these proceedings that the US Judgement is not enforceable under the Hong Kong jurisdiction. In accordance with applicable accounting guidance, the Company records accruals for certain of its outstanding legal proceedings, investigations or claims when it is probable that a liability will be incurred, and the amount of loss can be reasonably estimated. The Company evaluates, on a quarterly basis, developments in legal proceedings, investigations or claims that could affect the amount of any accrual, as well as any developments that would make a loss contingency both probable and reasonably estimable. The Company discloses the amount of the accrual if the financial statements would be otherwise misleading. When a loss contingency is not both probable and estimable, the Company does not establish an accrued liability. However, if the loss (or an additional loss in excess of the accrual) is at least a reasonable possibility and material, then the Company discloses an estimate of the possible loss or range of loss, if such estimate can be made or discloses that an estimate cannot be made. |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2021 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | NOTE 10 – SUBSEQUENT EVENTS In accordance with ASC Topic 855, “ Subsequent Events The Company is currently in default under Iliad Note with the outstanding balance of $503,571 in principal and $756,409 accrued interest at December 31, 2020. The remaining outstanding balance of Iliad Note was $1,259,980 at June 30, 2021. At the date of filing, both parties have not reached into the mutual agreement. On July 29, 2021, the Company and Pyram LC Architecture Limited (“Pyram”) entered into a Note Purchase Agreement, whereby the Company issued a note to Pyram (the “Pyram Note”) in the principal amount of $102,564. The Pyram Note is a convertible into shares of the common stock of the Company at a price equal to 70% of the average closing prices for the Company’s common stock during the ten (10) trading day period ending on the latest complete trading day prior to the conversion date. |
Accounting Policies, by Policy
Accounting Policies, by Policy (Policies) | 6 Months Ended |
Jun. 30, 2021 | |
Accounting Policies [Abstract] | |
Going Concern | Going Concern These condensed consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the settlement of liabilities and commitments in the normal course of business. As reflected in the accompanying condensed consolidated financial statements, the Company had a loss of approximately $1,546,351 for the six months ended June 30, 2021 and suffered from the accumulated deficit of $74,561,937 at that date. The net cash used in operations were approximately $795,531 for the six months ended June 30, 2021. Management believes that its capital resources are not currently adequate to continue operating and maintaining its business strategy for the next twelve months from the date of this report. The Company may seek to raise capital through additional debt and/or equity financings to fund its operations in the future. Although the Company has historically raised capital from sales of equity and from bank loans, there is no assurance that it will be able to continue to do so. If the Company is unable to raise additional capital or secure additional lending in the near future, management expects that the Company will need to curtail or cease operations. Management believes that these matters raise substantial doubt about the Company’s ability to continue as a going concern. The accompanying condensed consolidated financial statements do not include any adjustments related to the recoverability and classification of recorded asset amounts or classification of liabilities that might be necessary should the Company be unable to continue as a going concern. |
Basis of Presentation | Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared by management in accordance with both accounting principles generally accepted in the United States (“GAAP”), and the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Certain information and note disclosures normally included in audited financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to those rules and regulations, although the Company believes that the disclosures made are adequate to make the information not misleading. In the opinion of management, the consolidated balance sheet as of December 31, 2020 which has been derived from audited financial statements and these unaudited condensed consolidated financial statements reflect all normal and recurring adjustments considered necessary to state fairly the results for the periods presented. The results for the period ended June 30, 2021 are not necessarily indicative of the results to be expected for the entire fiscal year ending December 31, 2021 or for any future period. These unaudited condensed consolidated financial statements and notes thereto should be read in conjunction with the Management’s Discussion and the audited financial statements and notes thereto included in the Annual Report on Form 10-K for the year ended December 31, 2020. |
Principles of Consolidation | Principles of Consolidation The Company’s unaudited condensed consolidated financial statements include the financial statements of its wholly-owned and majority owned subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. |
Use of Estimates | Use of Estimates The preparation of the condensed consolidated financial statements in conformity with accounting principles generally accepted in the U.S. requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues, expenses, and the related disclosures at the date of the financial statements and during the reporting period. Actual results could materially differ from these estimates. Significant estimates in the six months ended June 30, 2021 and 2020 include the allowance for doubtful accounts on accounts and other receivables, the allowance for inventory reserve, the useful life of property and equipment and intangible assets, assumptions used in assessing impairment of long-term assets, valuation of deferred tax assets, and the value of stock-based compensation. |
Cash and Cash Equivalents | Cash and Cash Equivalents For purposes of the consolidated statements of cash flows, the Company considers all highly liquid instruments purchased with a maturity of three months or less and money market accounts to be cash equivalents. The Company maintains with various financial institutions mainly in the PRC, Hong Kong and the U.S. At June 30, 2021 and December 31, 2020, cash balances held in banks in the PRC and Hong Kong of $581,320 and $1,805,417, respectively, are uninsured. |
Available-for-sale marketable securities | Available-for-sale marketable securities Available-for-sale marketable securities are reported at fair value using the market approach based on the quoted prices in active markets at the reporting date. The Company classifies the valuation techniques that use these inputs as Level 1 of fair value measurements. Any unrealized losses that are deemed other-than-temporary are included in current period earnings and removed from accumulated other comprehensive income (loss). Realized gains and losses on marketable securities are included in current period earnings. For purposes of computing realized gains and losses, the cost basis of each investment sold is generally based on the weighted average cost method. The Company regularly evaluates whether the decline in fair value of available-for-sale securities is other-than-temporary and objective evidence of impairment could include: ● The severity and duration of the fair value decline; ● Deterioration in the financial condition of the issuer; and ● Evaluation of the factors that could cause individual securities to have an other-than-temporary impairment. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The Company adopted the guidance of ASC Topic 820 for fair value measurements which clarifies the definition of fair value, prescribes methods for measuring fair value, and establishes a fair value hierarchy to classify the inputs used in measuring fair value as follows: Level 1 - Inputs are unadjusted quoted prices in active markets for identical assets or liabilities available at the measurement date. Level 2 - Inputs are unadjusted quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, inputs other than quoted prices that are observable, and inputs derived from or corroborated by observable market data. Level 3 - Inputs are unobservable inputs which reflect the reporting entity’s own assumptions on what assumptions the market participants would use in pricing the asset or liability based on the best available information. The carrying amounts reported in the consolidated balance sheets for cash and cash equivalents, restricted cash, notes receivable, accounts receivable, inventories, advances to suppliers, deferred tax assets, receivable from sale of subsidiary, prepaid expenses and other, short-term bank loans, bank acceptance notes payable, note payable, accounts payable, accrued liabilities, advances from customers, amount due to a related party, VAT and service taxes payable and income taxes payable approximate their fair market value based on the short-term maturity of these instruments. ASC Topic 825-10 “Financial Instruments” allows entities to voluntarily choose to measure certain financial assets and liabilities at fair value (fair value option). The fair value option may be elected on an instrument-by-instrument basis and is irrevocable, unless a new election date occurs. If the fair value option is elected for an instrument, unrealized gains and losses for that instrument should be reported in earnings at each subsequent reporting date. The Company did not elect to apply the fair value option to any outstanding instruments. The following table presents information about the Company’s assets and liabilities that were measured at fair value as of June 30, 2021 and December 31, 2020, and indicates the fair value hierarchy of the valuation techniques the Company utilized to determine such fair value. June 30, Quoted Significant Significant Description 2021 (Level 1) (Level 2) (Level 3) (Unaudited) Assets: Marketable securities, available-for-sale $ 3,345,650 $ 3,345,650 $ – $ – December 31, Quoted Significant Significant Description 2020 (Level 1) (Level 2) (Level 3) Assets: Marketable securities, available-for-sale $ 1,989,823 $ 1,989,823 $ – $ – As of June 30, 2021 and December 31, 2020, the Company did not have any nonfinancial assets and liabilities that are recognized or disclosed at fair value in the financial statements, at least annually, on a recurring basis, nor did the Company have any assets or liabilities measured at fair value on a non-recurring basis. |
Concentrations of Credit Risk | Concentrations of Credit Risk The Company’s operations are carried out in Hong Kong. Accordingly, the Company’s business, financial condition and results of operations may be influenced by the political, economic and legal environment in Hong Kong. The Company’s operations in Hong Kong are subject to specific considerations and significant risks not typically associated with companies in North America. The Company’s results may be adversely affected by changes in governmental policies with respect to laws and regulations, anti-inflationary measures, currency conversion and remittance abroad, and rates and methods of taxation, among other things. Financial instruments which potentially subject the Company to concentrations of credit risk consist principally of cash and trade accounts receivable. Substantially all of the Company’s cash is maintained with state-owned banks within the Hong Kong, and none of these deposits are covered by insurance. The Company has not experienced any losses in such accounts and believes it is not exposed to any risks on its cash in bank accounts. A significant portion of the Company’s sales are credit sales which are primarily to customers whose ability to pay is dependent upon the industry economics prevailing in these areas; however, concentrations of credit risk with respect to trade accounts receivables is limited due to generally short payment terms. The Company also performs ongoing credit evaluations of its customers to help further reduce credit risk. |
Accounts Receivable | Accounts Receivable Accounts receivable are presented net of an allowance for doubtful accounts. The Company maintains allowances for doubtful accounts for estimated losses. The Company reviews the accounts receivable on a periodic basis and makes general and specific allowances when there is doubt as to the collectability of individual balances. In evaluating the collectability of individual receivable balances, the Company considers many factors, including the age of the balance, a customer’s historical payment history, its current credit-worthiness and current economic trends. Accounts are written off after exhaustive efforts at collection. At June 30, 2021 and December 31, 2020, the Company has established, based on a review of its outstanding balances, no allowance for doubtful accounts in the accounts. |
Property and Equipment | Property and Equipment Property and equipment are carried at cost and are depreciated on a straight-line basis over the estimated useful lives of the assets. The cost of repairs and maintenance is expensed as incurred; major replacements and improvements are capitalized. When assets are retired or disposed of, the cost and accumulated depreciation are removed from the accounts, and any resulting gains or losses are included in the statements of operations in the year of disposition. The Company examines the possibility of decreases in the value of fixed assets when events or changes in circumstances reflect the fact that their recorded value may not be recoverable. Impairment loss has been recorded in current period. Useful life Office equipment and furniture 5 years Vehicles 5 years Vessels 5 years Depreciation expense from continuing operations for the three months ended June 30, 2021 and 2020 amounted to $33,000 and $33,842, respectively. Depreciation expense from continuing operations for the six months ended June 30, 2021 and 2020 amounted to $66,769 and $67,684, respectively. |
Impairment of long-lived assets and intangible assets | Impairment of long-lived assets and intangible assets In accordance with ASC Topic 360, the Company reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of the assets may not be fully recoverable, or at least annually. The Company recognizes an impairment loss when the sum of expected undiscounted future cash flows is less than the carrying amount of the asset. The amount of impairment is measured as the difference between the asset’s estimated fair value and its book value. At June 30, 2021 and December 31, 2020, the Company conducted an impairment assessment on property, equipment and intangible asset based on the guidelines established in ASC Topic 360 to determine the estimated fair market value of property, equipment and intangible asset as of June 30, 2021 and December 31, 2020. Such analysis considered future use of such equipment, consultation with equipment resellers, subsequent sales of price of equipment held for sale, and other industry factors. Upon completion of the annual impairment analysis, no impairment charges on long-lived assets need to be charged. |
Revenue recognition | Revenue recognition In May 2014, FASB issued an update Accounting Standards Update (“ASU”) (“ASU 2014-09”) establishing Accounting Standards Codification (“ASC”) Topic 606, Revenue from Contracts with Customers The Company derives its revenues from the sale of licence and advertising right and in a term of certain periods. The Company applies the following five steps in order to determine the appropriate amount of revenue to be recognized as it fulfills its obligations under each of its agreements: ● 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. |
Income taxes | Income taxes The Company is governed by the Income Tax Law of the PRC, Inland Revenue Ordinance of Hong Kong and the U.S. Internal Revenue Code of 1986, as amended. The Company accounts for income taxes using the asset/liability method prescribed by ASC 740, “Accounting for Income Taxes.” Under this method, deferred tax assets and liabilities are determined based on the difference between the financial reporting and tax bases of assets and liabilities using enacted tax rates that will be in effect in the period in which the differences are expected to reverse. The Company records a valuation allowance to offset deferred tax assets if, based on the weight of available evidence, it is more-likely-than-not that some portion, or all, of the deferred tax assets will not be realized. The effect on deferred taxes of a change in tax rates is recognized as income or loss in the period that includes the enactment date. On December 22, 2017, the United States signed into law the Tax Cuts and Jobs Act (the “Act”), a tax reform bill which, among other items, reduces the current federal income tax rate in the United States to 21% from 35%. The rate reduction is effective January 1, 2018, and is permanent. The Act has caused the Company’s deferred income taxes to be revalued. As changes in tax laws or rates are enacted, deferred tax assets and liabilities are adjusted through income tax expense. Pursuant to the guidance within SEC Staff Accounting Bulletin No. 118 (“SAB 118”), as of December 31, 2020, the Company recognized the provisional effects of the enactment of the Act for which measurement could be reasonably estimated. Since the Company has provided a full valuation allowance against its deferred tax assets, the revaluation of the deferred tax assets did not have a material impact on any period presented. The ultimate impact of the Act may differ from these estimates due to the Company’s continued analysis or further regulatory guidance that may be issued as a result of the Act. The Company applied the provisions of ASC 740-10-50, “Accounting for Uncertainty in Income Taxes,” which provides clarification related to the process associated with accounting for uncertain tax positions recognized in the Company’s financial statements. Audit periods remain open for review until the statute of limitations has passed. The completion of review or the expiration of the statute of limitations for a given audit period could result in an adjustment to the Company’s liability for income taxes. Any such adjustment could be material to the Company’s results of operations for any given quarterly or annual period based, in part, upon the results of operations for the given period. As of June 30, 2021 and December 31, 2020, the Company had no uncertain tax positions, and will continue to evaluate for uncertain positions in the future. |
Stock-Based Compensation | Stock-Based Compensation FASB’s ASC Topic 718, Stock Compensation (formerly, FASB Statement 123R) (“ASC Topic 718”), prescribes accounting and reporting standards for all stock-based payment transactions in which employee and non-employee services are acquired. The Company measures the cost of employee and non-employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award. The Company estimates the fair value of each restricted stock award as of the date of grant using the closing price as reported by the OTC Markets Group Inc. (the “OTCM”) on the date of grant. The fair value determined represents the cost for the award and is recognized over the vesting period during which an employee is required to provide service in exchange for the award. The Company accounts for forfeitures of restricted stock as they occur. |
Foreign Currency Translation | Foreign Currency Translation The reporting currency of the Company is the U.S. dollar. The functional currency of the parent company is the U.S. dollar and the functional currency of the Company’s operating subsidiaries is the Chinese Renminbi (“RMB”) or Hong Kong dollars (HKD). For the subsidiaries and affiliates, whose functional currencies are the RMB or HKD, results of operations and cash flows are translated at average exchange rates during the period, assets and liabilities are translated at the unified exchange rate at the end of the period, and equity is translated at historical exchange rates. As a result, amounts relating to assets and liabilities reported on the statements of cash flows may not necessarily agree with the changes in the corresponding balances on the balance sheets. Translation adjustments resulting from the process of translating the local currency financial statements into U.S. dollars are included in determining comprehensive loss. The Company did not enter into any material transaction in foreign currencies. Transaction gains or losses have not had, and are not expected to have, a material effect on the results of operations of the Company. Translation of amounts from RMB and HK$ into US$ has been made at the following exchange rates for the period ended June 30, 2021 and 2020: June 30, June 30, Period-end RMB:US$ exchange rate 6.4697 7.0682 Period average RMB:US$ exchange rate 6.4549 7.0324 Period-end HK$:US$ exchange rate 7.7650 7.7502 Period average HK$:US$ exchange rate 7.8000 7.8000 |
Loss Per Share of Common Stock | Loss Per Share of Common Stock ASC Topic 260 “Earnings per Share,” requires presentation of both basic and diluted earnings per share (“EPS”) with a reconciliation of the numerator and denominator of the basic EPS computation to the numerator and denominator of the diluted EPS computation. Basic EPS excludes dilution. Diluted EPS reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of the entity. Basic net loss per share is computed by dividing net loss available to common stockholders by the weighted average number of shares of common stock outstanding during the period. Diluted net loss per share is computed by dividing net loss by the weighted average number of shares of common stock, common stock equivalents and potentially dilutive securities outstanding during each period. The Company did not have any common stock equivalents or potentially dilutive common stock outstanding during the six months ended June 30, 2021 and 2020. In a period in which the Company has a net loss, all potentially dilutive securities are excluded from the computation of diluted shares outstanding as they would have had an anti-dilutive impact. The following table presents a reconciliation of basic and diluted net loss per share: Six months ended 2021 2020 Net Loss for basic and diluted attributable to common shareholders $ (1,546,351 ) $ (4,610,913 ) Weighted average common stock outstanding – basic and diluted 114,984,418 3,474,119,263 Net loss per common share – basic and diluted $ (0.01 ) $ (0.00 ) |
Noncontrolling interest | Noncontrolling interest The Company accounts for noncontrolling interest in accordance with ASC Topic 810-10-45, which requires the Company to present noncontrolling interests as a separate component of total shareholders’ equity on the consolidated balance sheets and the consolidated net loss attributable to the its noncontrolling interest be clearly identified and presented on the face of the consolidated statements of operations and comprehensive loss. |
Comprehensive Loss | Comprehensive Loss Comprehensive loss is comprised of net loss and all changes to the statements of stockholders’ equity, except those due to investments by stockholders, changes in paid-in capital and distributions to stockholders. For the Company, comprehensive loss income for the six months ended June 30, 2021 and 2020 included net loss and unrealized gain from foreign currency translation adjustments. |
Reclassification | Reclassification Certain reclassifications have been made in prior period’s consolidated financial statements to conform to the current year’s financial presentation. The reclassifications have no effect on previously reported net loss. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments Financial Instruments—Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842): Effective Dates In January 2017, the FASB issued ASU 2017-04, Intangibles - Goodwill and Other: Simplifying the Test for Goodwill Impairment (ASC 350). The Company is currently evaluating the impact that the adoption of this guidance will have on its consolidated financial statements. In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740) Simplifying the Accounting for Income Taxes In June 2020, the FASB issued ASU No. 2020-06, Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging - Contracts in Entity’s Own Equity (Subtopic 815-40). From time to time, new accounting pronouncements are issued by the FASB or other standard setting bodies that the Company adopts as of the specified effective date. The Company does not believe that the impact of recently issued standards that are not yet effective will have a material impact on the Company’s financial position or results of operations upon adoption. |
Description of Business and O_2
Description of Business and Organization (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Accounting Policies [Abstract] | |
Schedule of fair value hierarchy of the valuation techniques | June 30, Quoted Significant Significant Description 2021 (Level 1) (Level 2) (Level 3) (Unaudited) Assets: Marketable securities, available-for-sale $ 3,345,650 $ 3,345,650 $ – $ – December 31, Quoted Significant Significant Description 2020 (Level 1) (Level 2) (Level 3) Assets: Marketable securities, available-for-sale $ 1,989,823 $ 1,989,823 $ – $ – |
Schedule of property and equipment useful life | Useful life Office equipment and furniture 5 years Vehicles 5 years Vessels 5 years |
Schedule of exchange rate | June 30, June 30, Period-end RMB:US$ exchange rate 6.4697 7.0682 Period average RMB:US$ exchange rate 6.4549 7.0324 Period-end HK$:US$ exchange rate 7.7650 7.7502 Period average HK$:US$ exchange rate 7.8000 7.8000 |
Schedule of reconciliation of basic and diluted net loss per share | Six months ended 2021 2020 Net Loss for basic and diluted attributable to common shareholders $ (1,546,351 ) $ (4,610,913 ) Weighted average common stock outstanding – basic and diluted 114,984,418 3,474,119,263 Net loss per common share – basic and diluted $ (0.01 ) $ (0.00 ) |
Property and Equipment (Tables)
Property and Equipment (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Property, Plant and Equipment [Abstract] | |
Schedule of property and equipment | Useful life June 30, December 31, Office equipment 5 years 25,792 25,872 Motor vehicle 5 years 79,433 72,382 Yacht 5 years 589,577 591,404 694,802 689,658 Less: accumulated depreciation (268,822 ) (202,322 ) $ 425,980 $ 487,336 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of intangible assets | Useful life June 30, December 31, Other intangible assets 3 - 5 years 843,967 844,246 Redemption code 5 years 750,000 750,000 Goodwill infinite 27,353 27,353 1,621,320 1,621,599 Less: accumulated amortization (763,538 ) (714,832 ) Less: impairment loss (750,000 ) (750,000 ) $ 107,782 $ 156,767 |
Schedule of amortization of intangible assets attributable to future periods | Year ending June 30: Amount 2021 $ 63,964 2022 16,465 2023 - $ 80,429 |
Bank Loans (Tables)
Bank Loans (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Debt Disclosure [Abstract] | |
Schedule of bank loans | June 30, December 31, Mortgage loan $ 4,987,904 $ 5,064,142 Line of revolving loan 6,302,884 6,322,417 Total bank loans $ 11,290,788 $ 11,386,559 Reclassifying as: Current portion $ 6,426,211 $ 6,446,139 Long-term portion (more than 12 months) 4,864,577 4,940,420 Total bank loans $ 11,290,788 $ 11,386,559 |
Convertible Note Payable (Table
Convertible Note Payable (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Convertible Notes Payable [Abstract] | |
Schedule of convertible debt | June 30, December 31, Principal $ 634,341 $ 598,571 Unamortized discount - (2,821 ) Convertible debt, net $ 634,341 $ 595,750 |
Description of Business and O_3
Description of Business and Organization (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||||||||
Dec. 22, 2017 | Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | Aug. 14, 2020 | Mar. 24, 2020 | Jan. 30, 2018 | Jan. 19, 2018 | Dec. 08, 2017 | |
Description of Business and Organization (Details) [Line Items] | |||||||||||
Loss on disposal | $ 1,546,351 | ||||||||||
Accumulated deficit | $ (74,561,937) | (74,561,937) | $ (73,020,134) | ||||||||
Net cash use in operation activities | 795,531 | ||||||||||
Cash balances held in banks | 581,320 | 581,320 | $ 1,805,417 | ||||||||
Depreciation expenses | $ 33,000 | $ 33,842 | $ 66,769 | $ 67,684 | |||||||
Inspirit Studio Limited [Member] | |||||||||||
Description of Business and Organization (Details) [Line Items] | |||||||||||
Equity acquired percentage | 51.00% | ||||||||||
3D Discovery Co. Limited [Member] | |||||||||||
Description of Business and Organization (Details) [Line Items] | |||||||||||
Equity acquired percentage | 60.00% | ||||||||||
EC Technology [Member] | |||||||||||
Description of Business and Organization (Details) [Line Items] | |||||||||||
Equity interest percentage | 40.00% | ||||||||||
AnyWorkspace Limited [Member] | |||||||||||
Description of Business and Organization (Details) [Line Items] | |||||||||||
Equity acquired percentage | 80.00% | ||||||||||
Equity interest percentage | 80.00% | ||||||||||
Minimum [Member] | |||||||||||
Description of Business and Organization (Details) [Line Items] | |||||||||||
Current federal income tax rate | 21.00% | ||||||||||
Maximum [Member] | |||||||||||
Description of Business and Organization (Details) [Line Items] | |||||||||||
Current federal income tax rate | 35.00% |
Description of Business and O_4
Description of Business and Organization (Details) - Schedule of fair value hierarchy of the valuation techniques - USD ($) | Jun. 30, 2021 | Dec. 31, 2020 |
Assets: | ||
Marketable securities, available-for-sale | $ 3,345,650 | $ 1,989,823 |
Quoted Prices In Active Markets (Level 1) [Member] | ||
Assets: | ||
Marketable securities, available-for-sale | 3,345,650 | 1,989,823 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Assets: | ||
Marketable securities, available-for-sale | ||
Significant Other Unobservable Inputs (Level 3) [Member] | ||
Assets: | ||
Marketable securities, available-for-sale |
Description of Business and O_5
Description of Business and Organization (Details) - Schedule of property and equipment useful life | 6 Months Ended |
Jun. 30, 2021 | |
Office equipment and furniture [Member] | |
Description of Business and Organization (Details) - Schedule of property and equipment useful life [Line Items] | |
Property and equipment useful life | 5 years |
Vehicles [Member] | |
Description of Business and Organization (Details) - Schedule of property and equipment useful life [Line Items] | |
Property and equipment useful life | 5 years |
Vessels [Member] | |
Description of Business and Organization (Details) - Schedule of property and equipment useful life [Line Items] | |
Property and equipment useful life | 5 years |
Description of Business and O_6
Description of Business and Organization (Details) - Schedule of exchange rate - USD ($) | Jun. 30, 2021 | Jun. 30, 2020 |
Period-end RMB:US$ exchange rate [Member] | ||
Description of Business and Organization (Details) - Schedule of exchange rate [Line Items] | ||
Foreign Currency Translation Exchange Rates | $ 6.4697 | $ 7.0682 |
Period average RMB:US$ exchange rate [Member] | ||
Description of Business and Organization (Details) - Schedule of exchange rate [Line Items] | ||
Foreign Currency Translation Exchange Rates | 6.4549 | 7.0324 |
Period-end HK$:US$ exchange rate [Member] | ||
Description of Business and Organization (Details) - Schedule of exchange rate [Line Items] | ||
Foreign Currency Translation Exchange Rates | 7.7650 | 7.7502 |
Period average HK$:US$ exchange rate [Member] | ||
Description of Business and Organization (Details) - Schedule of exchange rate [Line Items] | ||
Foreign Currency Translation Exchange Rates | $ 7.8000 | $ 7.8000 |
Description of Business and O_7
Description of Business and Organization (Details) - Schedule of reconciliation of basic and diluted net loss per share - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Schedule of reconciliation of basic and diluted net loss per share [Abstract] | ||||
Net Loss for basic and diluted attributable to common shareholders | $ (1,546,351) | $ (4,610,913) | ||
Weighted average common stock outstanding – basic and diluted | 114,984,418 | 3,474,119,263 | ||
Net loss per common share – basic and diluted | $ (0.01) | $ 0 | $ (0.01) | $ 0 |
Property and Equipment (Details
Property and Equipment (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Property, Plant and Equipment [Abstract] | ||||
Depreciation expense | $ 33,000 | $ 33,842 | $ 66,769 | $ 67,684 |
Property and Equipment (Detai_2
Property and Equipment (Details) - Schedule of property and equipment - USD ($) | 6 Months Ended | |
Jun. 30, 2021 | Dec. 31, 2020 | |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 694,802 | $ 689,658 |
Less: accumulated depreciation | (268,822) | (202,322) |
Property and equipment, net | $ 425,980 | 487,336 |
Office Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, useful life | 5 years | |
Property and equipment, gross | $ 25,792 | 25,872 |
Motor Vehicles [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, useful life | 5 years | |
Property and equipment, gross | $ 79,433 | 72,382 |
Yacht [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, useful life | 5 years | |
Property and equipment, gross | $ 589,577 | $ 591,404 |
Intangible Assets (Details)
Intangible Assets (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Amortization of intangible assets | $ 24,538 | $ 50,748 | $ 49,075 | $ 101,496 |
Intangible Assets (Details) - S
Intangible Assets (Details) - Schedule of intangible assets - USD ($) | 6 Months Ended | |
Jun. 30, 2021 | Dec. 31, 2021 | |
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross | $ 1,621,320 | $ 1,621,599 |
Less: accumulated amortization | (763,538) | (714,832) |
Less: impairment loss | (750,000) | (750,000) |
Intangible assets, net | 107,782 | 156,767 |
Other intangible assets [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross | $ 843,967 | 844,246 |
Redemption code [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, useful life | 5 years | |
Intangible assets, gross | $ 750,000 | 750,000 |
Goodwill [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross | $ 27,353 | $ 27,353 |
Intangible assets, useful life | infinite | |
Minimum [Member] | Other intangible assets [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, useful life | 3 years | |
Maximum [Member] | Other intangible assets [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, useful life | 5 years |
Intangible Assets (Details) -_2
Intangible Assets (Details) - Schedule of amortization of intangible assets attributable to future periods | Jun. 30, 2021USD ($) |
Schedule of amortization of intangible assets attributable to future periods [Abstract] | |
2021 | $ 63,964 |
2022 | 16,465 |
2023 | |
Total | $ 80,429 |
Bank Loans (Details)
Bank Loans (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Bank Loans (Details) [Line Items] | ||||
Bank loans due amount | $ 4,987,904 | $ 4,987,904 | ||
Terms of long term bank loans | 30 years | 30 years | ||
Interest rate | 2.50% | |||
Revolving credit line | $ 6,302,884 | $ 6,302,884 | ||
Interest related to bank loans | $ 151,028 | $ 497,080 | $ 229,278 | $ 592,911 |
Hong Kong [Member] | ||||
Bank Loans (Details) [Line Items] | ||||
Charged interest percentage rate | 1.63% | 1.63% | ||
Bank Loans [Member] | ||||
Bank Loans (Details) [Line Items] | ||||
Interest related to bank loans | $ 54,357 | $ 48,394 | $ 110,107 | $ 144,225 |
Bank Loans (Details) - Schedule
Bank Loans (Details) - Schedule of bank loans - USD ($) | Jun. 30, 2021 | Dec. 31, 2020 |
Schedule of bank loans [Abstract] | ||
Mortgage loan | $ 4,987,904 | $ 5,064,142 |
Line of revolving loan | 6,302,884 | 6,322,417 |
Total bank loans | 11,290,788 | 11,386,559 |
Reclassifying as: | ||
Current portion | 6,426,211 | 6,446,139 |
Long-term portion (more than 12 months) | 4,864,577 | 4,940,420 |
Total bank loans | $ 11,290,788 | $ 11,386,559 |
Convertible Note Payable (Detai
Convertible Note Payable (Details) - USD ($) | May 13, 2021 | Apr. 09, 2021 | Apr. 14, 2020 | Apr. 07, 2020 | Jan. 11, 2019 | Nov. 08, 2018 | Jun. 29, 2021 | Apr. 28, 2021 | Jan. 31, 2021 | Apr. 30, 2020 | May 02, 2018 | Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 |
Convertible Note Payable (Details) [Line Items] | ||||||||||||||||
Principal amount | $ 25,641 | $ 89,744 | $ 76,923 | $ 38,462 | $ 95,000 | $ 100,000 | $ 100,000 | $ 100,000 | $ 235,000 | |||||||
Original issue discount | 150,000 | |||||||||||||||
Debt discount | $ 45,018 | |||||||||||||||
Debt accrued interest | $ 9,167 | $ 0 | $ 158,017 | |||||||||||||
Aggregate of outstanding principal amount (in Shares) | 12,452,413 | 502,955 | 3,948,278 | 18,944,773 | ||||||||||||
Fair value of the warrants issued | $ 152,490 | |||||||||||||||
Note purchase agreement, description | the Company closed a private placement of securities with Power Up Lending Group Ltd. (“Power Up”) pursuant to which Power Up purchased a Convertible Promissory Note (the “Power Up Note”) in the original principal amount of $83,000, with additional tranches of up to $1,000,000 in the aggregate over the next twelve (12) months, subject to the discretion of both parties. The Power Up Note is convertible into shares of the common stock of the Company at a price equal to 65% of the average of the two (2) lowest trading prices for the Company’s common stock during the twenty (20) trading day period ending on the latest complete trading day prior to the conversion date. The Power Up Note bears interest at 8% per annum and is due on October 7, 2021. | |||||||||||||||
Conversion of stock description | the Company closed a private placement of securities with Pyram pursuant to which Pyram purchased the Pyram Note in the original principal amount of $25,641. The Power Up Note is convertible into shares of the common stock of the Company at a price equal to 70% of the average closing prices for the Company’s common stock during the ten (10) trading day period ending on the latest complete trading day prior to the conversion date. The Power Up Note bears interest at 12% per annum and is due on November 12, 2021. | the Company closed a private placement of securities with Pyram LC Architecture Limited. (“Pyram”) pursuant to which Pyram purchased a Convertible Promissory Note (the “Pyram Note”) in the original principal amount of $89,744. The Power Up Note is convertible into shares of the common stock of the Company at a price equal to 70% of the average closing prices for the Company’s common stock during the ten (10) trading day period ending on the latest complete trading day prior to the conversion date. The Power Up Note bears interest at 12% per annum and is due on October 8, 2021. | the Company closed a private placement of securities with Pyram pursuant to which Pyram purchased the Pyram Note in the original principal amount of $76,923. The Power Up Note is convertible into shares of the common stock of the Company at a price equal to 70% of the average closing prices for the Company’s common stock during the ten (10) trading day period ending on the latest complete trading day prior to the conversion date. The Power Up Note bears interest at 12% per annum and is due on December 28, 2021. | the Company closed a private placement of securities with Pyram pursuant to which Pyram purchased the Pyram Note in the original principal amount of $38,462. The Power Up Note is convertible into shares of the common stock of the Company at a price equal to 70% of the average closing prices for the Company’s common stock during the ten (10) trading day period ending on the latest complete trading day prior to the conversion date. The Power Up Note bears interest at 12% per annum and is due on October 28, 2021. | ||||||||||||
Amortization of discount | 0 | $ 2,137 | 2,821 | $ 2,137 | ||||||||||||
Accrued interest | $ 853,080 | $ 853,080 | $ 701,794 | |||||||||||||
Power Up Lending Group Ltd. [Member] | ||||||||||||||||
Convertible Note Payable (Details) [Line Items] | ||||||||||||||||
Principal amount | 127,820 | |||||||||||||||
Debt accrued interest | $ 0 | |||||||||||||||
Aggregate of outstanding principal amount (in Shares) | 8,228,775 | |||||||||||||||
Black Ice Advisors, LLC [Member] | ||||||||||||||||
Convertible Note Payable (Details) [Line Items] | ||||||||||||||||
Principal amount | $ 15,000 | |||||||||||||||
Debt accrued interest | $ 0 | |||||||||||||||
Aggregate of outstanding principal amount (in Shares) | 987,180 | |||||||||||||||
Note purchase agreement, description | the Company issued a note to Black Ice (the “Black Ice Note”) in the original principal amount of $110,000.The Black Ice Note contains an original issue discount of $10,000 which will be reflected as a debt discount and amortized over the Black Ice Note term. The Black Ice Note is convertible into shares of the common stock of the Company at a price equal to 60% of the lowest trading price of the Company’s common stock for the fifteen (15) prior trading days including the day upon which a Notice of Conversion is received by the Company. The Black Ice Note bears interest at 10% per annum and is due on April 14, 2021. | |||||||||||||||
Iliad Note [Member] | ||||||||||||||||
Convertible Note Payable (Details) [Line Items] | ||||||||||||||||
Principal amount | $ 34,103 | $ 27,811 | ||||||||||||||
Debt accrued interest | $ 15,897 | $ 47,189 | ||||||||||||||
Aggregate of outstanding principal amount (in Shares) | 266,667 | 36,621 | ||||||||||||||
Iliad Note [Member] | Investor [Member] | ||||||||||||||||
Convertible Note Payable (Details) [Line Items] | ||||||||||||||||
Principal amount | $ 900,000 | |||||||||||||||
Warrants exercise price (in Dollars per share) | $ 7.18 | |||||||||||||||
Debt instrument convertible conversion price (in Dollars per share) | $ 6.70 | |||||||||||||||
Iliad Note [Member] | Convertible Debt [Member] | ||||||||||||||||
Convertible Note Payable (Details) [Line Items] | ||||||||||||||||
Term of warrants | 2 years | |||||||||||||||
Warrants to purchase common stock (in Shares) | 134,328 | |||||||||||||||
Original issue discount | $ 150,000 | |||||||||||||||
Debt discount | $ 45,018 | |||||||||||||||
Due date description | The Iliad Note bears interest at 10% per annum, is unsecured, and is due on the date that is fifteen months from May 2, 2018. | |||||||||||||||
Redemption conversion price, description | The conversion price for each Redemption Conversion (the “Redemption Conversion Price”) shall be the lesser of (a) the Lender Conversion Price, and (b) the Market Price; provided, however, in no event shall the Redemption Conversion Price be less than $2.00 per share (“Conversion Price Floor”) unless the Company waived the Conversion Price Floor. |
Convertible Note Payable (Det_2
Convertible Note Payable (Details) - Schedule of convertible debt - USD ($) | Jun. 30, 2021 | Dec. 31, 2020 |
Schedule of convertible debt [Abstract] | ||
Principal | $ 634,341 | $ 598,571 |
Unamortized discount | (2,821) | |
Convertible debt, net | $ 634,341 | $ 595,750 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) | 6 Months Ended | |
Jun. 30, 2021 | Dec. 31, 2020 | |
Related Party Transactions (Details) [Line Items] | ||
Amounts due to related party | $ 907,347 | $ 650,806 |
YSK 1860 Co., Limited [Member] | ||
Related Party Transactions (Details) [Line Items] | ||
Provisional agreement for purchase and sale description | From time to time, during 2021 and 2020, the Company receive advances from Chan Tin Chi Family Company Limited (formerly known as YSK 1860 Co., Limited), who is the major shareholder of the Company for working capital purposes. These advances are non-interest bearing and are payable on demand. During the period ended June 30, 2021, the Company repaid to Chan Tin Chi Family Company Limited for working capital totaled $106,657. During the period ended June 30, 2020, the Company repaid to Chan Tin Chi Family Company Limited for working capital totaled $110,113. As of June 30, 2021 and December 31, 2020, amounts due to Chan Tin Chi Family Company Limited amounted to $1,710,912 and $1,817,569, respectively. |
Stockholders' Deficit (Details)
Stockholders' Deficit (Details) - USD ($) | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2021 | Dec. 31, 2020 | Jan. 31, 2021 | |
Stockholders' Deficit (Details) [Line Items] | |||
Preferred stock, shares authorized | 50,000,000 | 50,000,000 | |
Preferred stock, par value (in Dollars per share) | $ 0.001 | $ 0.001 | |
Preferred stock, shares issued | 531,600 | 531,600 | |
Preferred stock, shares outstanding | 531,600 | 531,600 | |
Common stock, shares authorized | 7,400,000,000 | 7,400,000,000 | |
Common stock, par value (in Dollars per share) | $ 0.001 | $ 0.001 | |
Common stock, shares issued | 238,424,776 | 172,883,475 | |
Common stock, shares outstanding | 238,424,776 | 172,883,475 | |
Service description | the Company issued an aggregate of 531,600 shares of preferred stock to one consultant and vendors for the services rendered and to be rendered. | ||
Fair value change in value (in Dollars) | $ 202,008 | ||
Stock based consulting and service fees (in Dollars) | 202,008 | ||
Prepaid expenses (in Dollars) | $ 0 | ||
Common stock issued for services, description | ●the Company issued an aggregate of 8,333,335 shares of common stock to the Board of Directors and Advisory Committee members for the services rendered, at the price of $0.06 per share. For the period ended June 30, 2021, the Company recorded stock-based service fee of $500,000. ●the Company issued 18,500,000 shares of common stock to certain consultants for the business consultancy services rendered under 2020 Stock Incentive Plan. For the period ended June 30, 2021, the Company recorded stock-based service fee to the consultants at the price of $0.04 per share, in an aggregate amount of $740,000. ●the Company issued 6,747,638 shares of common stock to certain consultants for the consultancy services rendered. For the period ended June 30, 2021, the Company recorded service fee to the consultants at the price of $0.038 per share, in an aggregate amount of $256,410. ●the Company issued 625,000 shares of common stock to certain consultants for the consultancy services rendered. For the period ended June 30, 2021, the Company recorded service fee to the consultants at the price of $0.04 per share, in an aggregate amount of $25,000. ●the Company issued 1,000,000 shares of common stock to certain consultants for the consultancy services rendered. For the period ended June 30, 2021, the Company recorded service fee to the consultants at the price of $0.03 per share, in an aggregate amount of $30,000. ●the Company issued 13,935,337 shares of common stock to the vendor for the business marketing services rendered. For the period ended June 30, 2021, the Company recorded service fee to the vendor at the price of $0.043 per share, in an aggregate amount of $599,220. | ||
Common Stock [Member] | |||
Stockholders' Deficit (Details) [Line Items] | |||
Common stock, shares issued | 238,424,776 | 172,883,435 | |
Common stock, shares outstanding | 238,424,776 | 172,883,435 | |
Common stock upon conversion of debt | 3,948,278 | 12,452,413 |
Concentrations (Details)
Concentrations (Details) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Customer [Member] | Revenue [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 10.00% | 10.00% | 10.00% | 10.00% |
Vendors [Member] | Purchase [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 10.00% | 10.00% | 10.00% | 10.00% |
Commitment and Contingencies (D
Commitment and Contingencies (Details) - USD ($) | Jun. 10, 2020 | Apr. 25, 2019 |
Commitments and Contingencies (Details) [Line Items] | ||
Commitments and contingencies, description | The claim is for a total compensation of HK$1,395,000 (approximately $178,846) which comprises of (i) HK$45,000 (approximately $5,769) as compensation for interest and administration cost incurred as a result of Dairy Farm’s delay in payment of EC Power’s share of the rental income, and (ii) HK$1,350,000 (approximately $173,077) as compensation for Dairy Farm’s early termination of the cooperation agreement without any valid proof of fault on the part of EC Power. | |
Mr. Chan Tin Chi [Member] | ||
Commitments and Contingencies (Details) [Line Items] | ||
Legal settlement amount | $ 241,706 | |
Ms. Deborah yuen Wai ming [Member] | ||
Commitments and Contingencies (Details) [Line Items] | ||
Legal settlement amount | $ 103,841 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) | 1 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jul. 29, 2021 | Jan. 31, 2021 | Apr. 30, 2020 | Jun. 30, 2021 | Dec. 31, 2020 | |
Subsequent Events (Details) [Line Items] | |||||
Accrued interest | $ 9,167 | $ 0 | $ 158,017 | ||
Remaining outstanding balance | $ 1,259,980 | ||||
Subsequent Event [Member] | Share Exchange Agreement [Member] | Subsequent Event [Member] | |||||
Subsequent Events (Details) [Line Items] | |||||
Purchase agreement, description | On July 29, 2021, the Company and Pyram LC Architecture Limited (“Pyram”) entered into a Note Purchase Agreement, whereby the Company issued a note to Pyram (the “Pyram Note”) in the principal amount of $102,564. The Pyram Note is a convertible into shares of the common stock of the Company at a price equal to 70% of the average closing prices for the Company’s common stock during the ten (10) trading day period ending on the latest complete trading day prior to the conversion date. | ||||
Iliad Note [Member] | |||||
Subsequent Events (Details) [Line Items] | |||||
Principal amount | 503,571 | ||||
Accrued interest | $ 756,409 |