PaySign (PAYS) 10-Q 6 Nov 24 2024 Q3 Quarterly report Financial data

Cover

Cover - shares	9 Months Ended
	Sep. 30, 2024	Oct. 31, 2024
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Sep. 30, 2024
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2024
Current Fiscal Year End Date	--12-31
Entity File Number	001-38623
Entity Registrant Name	PAYSIGN, INC.
Entity Central Index Key	0001496443
Entity Tax Identification Number	95-4550154
Entity Incorporation, State or Country Code	NV
Entity Address, Address Line One	2615 St. Rose Parkway
Entity Address, City or Town	Henderson
Entity Address, State or Province	NV
Entity Address, Postal Zip Code	89052
City Area Code	702
Local Phone Number	453-2221
Title of 12(b) Security	Common Stock, $0.001 par value per share
Trading Symbol	PAYS
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Elected Not To Use the Extended Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		53,548,374

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)	Sep. 30, 2024	Dec. 31, 2023
Current assets
Cash	$ 10,293,207	$ 16,994,705
Restricted cash	100,272,166	92,356,308
Accounts receivable, net	32,796,871	16,222,341
Other receivables	1,736,387	1,585,983
Prepaid expenses and other current assets	2,400,674	2,020,781
Total current assets	147,499,305	129,180,118
Fixed assets, net	1,138,492	1,089,649
Intangible assets, net	11,561,703	8,814,327
Operating lease right-of-use asset	2,900,611	3,215,025
Deferred tax asset, net	3,873,953	4,299,730
Total assets	166,974,064	146,598,849
Current liabilities
Accounts payable and accrued liabilities	35,349,723	26,517,567
Operating lease liability, current portion	424,366	383,699
Customer card funding	100,091,865	92,282,124
Total current liabilities	135,865,954	119,183,390
Operating lease liability, long-term portion	2,601,801	2,928,078
Total liabilities	138,467,755	122,111,468
Commitments and contingencies (Note 8)
Stockholders’ equity
Preferred stock: $0.001 par value; 25,000,000 shares authorized; none issued and outstanding	0	0
Common stock; $0.001 par value; 150,000,000 shares authorized, 54,324,382 and 53,452,382 issued at September 30, 2024 and December 31, 2023, respectively	54,324	53,452
Additional paid-in capital	23,935,238	21,999,722
Treasury stock at cost, 798,008 and 698,008 shares, respectively	(1,638,379)	(1,277,884)
Retained earnings	6,155,126	3,712,091
Total stockholders’ equity	28,506,309	24,487,381
Total liabilities and stockholders’ equity	$ 166,974,064	$ 146,598,849

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Sep. 30, 2024	Dec. 31, 2023
Statement of Financial Position [Abstract]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	25,000,000	25,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	150,000,000	150,000,000
Common stock, shares issued	54,324,382	53,452,382
Treasury stock shares	798,008	698,008

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Revenues
Total revenues	$ 15,256,431	$ 12,400,325	$ 42,778,104	$ 33,584,666
Cost of revenues	6,783,117	6,068,207	19,779,776	16,589,139
Gross profit	8,473,314	6,332,118	22,998,328	16,995,527
Operating expenses
Selling, general and administrative	6,217,844	4,696,509	18,149,506	14,946,584
Depreciation and amortization	1,565,621	1,045,177	4,291,648	2,848,194
Total operating expenses	7,783,465	5,741,686	22,441,154	17,794,778
Income (loss) from operations	689,849	590,432	557,174	(799,251)
Other income
Interest income, net	800,715	615,324	2,345,416	1,800,388
Income before income tax provision	1,490,564	1,205,756	2,902,590	1,001,137
Income tax provision	53,727	105,152	459,555	164,819
Net income	$ 1,436,837	$ 1,100,604	$ 2,443,035	$ 836,318
Net income per share
Basic	$ 0.03	$ 0.02	$ 0.05	$ 0.02
Diluted	$ 0.03	$ 0.02	$ 0.04	$ 0.02
Weighted average common shares
Basic	53,450,613	52,548,101	53,102,454	52,404,049
Diluted	56,051,960	53,484,674	55,613,026	54,286,492
Plasma Industry [Member]
Revenues
Total revenues	$ 11,439,534	$ 11,061,712	$ 33,080,830	$ 30,436,240
Pharmaceutical Industry [Member]
Revenues
Total revenues	3,274,888	1,026,270	8,338,433	2,345,068
Other Revenue [Member]
Revenues
Total revenues	$ 542,009	$ 312,343	$ 1,358,841	$ 803,358

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (UNAUDITED) - USD ($)	Common Stock [Member]	Additional Paid-in Capital [Member]	Treasury Stock, Common [Member]	Retained Earnings [Member]	Total
Beginning balance, value at Dec. 31, 2022	$ 52,650	$ 19,137,281	$ (150,000)	$ (2,746,636)	$ 16,293,295
Beginning balance, shares at Dec. 31, 2022	52,650,382		(303,450)
Stock issued upon vesting of restricted stock	$ 118	(118)
Stock issued upon vesting of restricted stock, shares	118,000
Stock-based compensation		618,244			618,244
Repurchase of common stock			$ (666,018)		(666,018)
Repurchase of common stock, shares			(200,000)
Net income				(160,130)	(160,130)
Ending balance, value at Mar. 31, 2023	$ 52,768	19,755,407	$ (816,018)	(2,906,766)	16,085,391
Ending balance, shares at Mar. 31, 2023	52,768,382		(503,450)
Beginning balance, value at Dec. 31, 2022	$ 52,650	19,137,281	$ (150,000)	(2,746,636)	16,293,295
Beginning balance, shares at Dec. 31, 2022	52,650,382		(303,450)
Net income					836,318
Ending balance, value at Sep. 30, 2023	$ 53,382	21,304,569	$ (1,277,884)	(1,910,318)	18,169,749
Ending balance, shares at Sep. 30, 2023	53,382,382		(698,008)
Beginning balance, value at Mar. 31, 2023	$ 52,768	19,755,407	$ (816,018)	(2,906,766)	16,085,391
Beginning balance, shares at Mar. 31, 2023	52,768,382		(503,450)
Stock issued upon vesting of restricted stock	$ 70	(70)
Stock issued upon vesting of restricted stock, shares	70,000
Exercise of stock options	$ 4	9,596			9,600
Exercise of stock options, shares	4,000
Stock-based compensation		830,426			830,426
Repurchase of common stock			$ (311,649)		(311,649)
Repurchase of common stock, shares			(119,558)
Net income				(104,156)	(104,156)
Ending balance, value at Jun. 30, 2023	$ 52,842	20,595,359	$ (1,127,667)	(3,010,922)	16,509,612
Ending balance, shares at Jun. 30, 2023	52,842,382		(623,008)
Stock issued upon vesting of restricted stock	$ 540	(540)
Stock issued upon vesting of restricted stock, shares	540,000
Stock-based compensation		709,750			709,750
Repurchase of common stock			$ (150,217)		(150,217)
Repurchase of common stock, shares			(75,000)
Net income				1,100,604	1,100,604
Ending balance, value at Sep. 30, 2023	$ 53,382	21,304,569	$ (1,277,884)	(1,910,318)	18,169,749
Ending balance, shares at Sep. 30, 2023	53,382,382		(698,008)
Beginning balance, value at Dec. 31, 2023	$ 53,452	21,999,722	$ (1,277,884)	3,712,091	24,487,381
Beginning balance, shares at Dec. 31, 2023	53,452,382		(698,008)
Stock issued upon vesting of restricted stock	$ 214	(214)
Stock issued upon vesting of restricted stock, shares	214,000
Stock-based compensation		663,951			663,951
Net income				309,096	309,096
Ending balance, value at Mar. 31, 2024	$ 53,666	22,663,459	$ (1,277,884)	4,021,187	25,460,428
Ending balance, shares at Mar. 31, 2024	53,666,382		(698,008)
Beginning balance, value at Dec. 31, 2023	$ 53,452	21,999,722	$ (1,277,884)	3,712,091	24,487,381
Beginning balance, shares at Dec. 31, 2023	53,452,382		(698,008)
Net income					2,443,035
Ending balance, value at Sep. 30, 2024	$ 54,324	23,935,238	$ (1,638,379)	6,155,126	28,506,309
Ending balance, shares at Sep. 30, 2024	54,324,382		(798,008)
Beginning balance, value at Mar. 31, 2024	$ 53,666	22,663,459	$ (1,277,884)	4,021,187	25,460,428
Beginning balance, shares at Mar. 31, 2024	53,666,382		(698,008)
Stock issued upon vesting of restricted stock	$ 106	(106)
Stock issued upon vesting of restricted stock, shares	106,000
Exercise of stock options	$ 10	23,990			24,000
Exercise of stock options, shares	10,000
Stock-based compensation		670,138			670,138
Net income				697,102	697,102
Ending balance, value at Jun. 30, 2024	$ 53,782	23,357,481	$ (1,277,884)	4,718,289	26,851,668
Ending balance, shares at Jun. 30, 2024	53,782,382		(698,008)
Stock issued upon vesting of restricted stock	$ 540	(540)
Stock issued upon vesting of restricted stock, shares	540,000
Exercise of stock options	$ 2	4,798			4,800
Exercise of stock options, shares	2,000
Stock-based compensation		573,499			573,499
Repurchase of common stock			$ (360,495)		(360,495)
Repurchase of common stock, shares			(100,000)
Net income				1,436,837	1,436,837
Ending balance, value at Sep. 30, 2024	$ 54,324	$ 23,935,238	$ (1,638,379)	$ 6,155,126	$ 28,506,309
Ending balance, shares at Sep. 30, 2024	54,324,382		(798,008)

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($)	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Cash flows from operating activities:
Net income	$ 2,443,035	$ 836,318
Adjustments to reconcile net income to net cash provided by operating activities:
Gain on disposal assets	0	(4,862)
Stock-based compensation expense	1,907,588	2,158,420
Depreciation and amortization	4,291,648	2,848,194
Noncash lease expense	314,414	297,822
Deferred income taxes, net	425,777	0
Changes in operating assets and liabilities:
Accounts receivable	(16,574,530)	(2,597,107)
Other receivables	(150,404)	66,596
Prepaid expenses and other current assets	(379,893)	(545,943)
Accounts payable and accrued liabilities	8,832,156	3,556,238
Operating lease liability	(285,610)	(269,017)
Customer card funding	7,809,741	(2,166,595)
Net cash provided by operating activities	8,633,922	4,180,064
Cash flows from investing activities:
Purchase of fixed assets	(318,167)	(218,133)
Capitalization of internally developed software	(6,647,100)	(4,781,853)
Purchase of intangible assets	(122,600)	0
Net cash used in investing activities	(7,087,867)	(4,999,986)
Cash flows from financing activities:
Proceeds from exercise of options	28,800	9,600
Repurchase of common stock	(360,495)	(1,127,884)
Net cash used in financing activities	(331,695)	(1,118,284)
Net change in cash and restricted cash	1,214,360	(1,938,206)
Cash and restricted cash, beginning of period	109,351,013	89,897,351
Cash and restricted cash, end of period	110,565,373	87,959,145
Cash and restricted cash reconciliation:
Cash	10,293,207	9,936,627
Restricted cash	100,272,166	78,022,518
Total cash and restricted cash	110,565,373	87,959,145
Non-cash financing activities
Cash paid for taxes	$ 107,264	$ 185,310

Pay vs Performance Disclosure

Pay vs Performance Disclosure - USD ($)	3 Months Ended						9 Months Ended
	Sep. 30, 2024	Jun. 30, 2024	Mar. 31, 2024	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2024	Sep. 30, 2023
Pay vs Performance Disclosure [Table]
Net Income (Loss)	$ 1,436,837	$ 697,102	$ 309,096	$ 1,100,604	$ (104,156)	$ (160,130)	$ 2,443,035	$ 836,318

Insider Trading Arrangements

Insider Trading Arrangements	3 Months Ended
	Sep. 30, 2024 shares
Other Than Mark Newcomer [Member]
Trading Arrangements, by Individual [Table]
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false
Mark Newcomer [Member]
Trading Arrangements, by Individual [Table]
Name	Mark Newcomer
Title	President and Chief Executive Officer
Rule 10b5-1 Arrangement Adopted	true
Adoption Date	June 12, 2024
Expiration Date	June 11, 2025
Trading Arrangement, Securities Aggregate Available Amount	1,200,000

BASIS OF PRESENTATION AND SUMMA

BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT POLICIES	9 Months Ended
	Sep. 30, 2024
Accounting Policies [Abstract]
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT POLICIES	1. BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT POLICIES The foregoing unaudited interim condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the instructions for Form 10-Q and Regulation S-X as promulgated by the Securities and Exchange Commission (“SEC”). Accordingly, these financial statements do not include all of the disclosures required by GAAP for complete financial statements. These unaudited interim condensed consolidated financial statements should be read in conjunction with the audited financial statements and the notes thereto included on Form 10-K for the year ended December 31, 2023. In the opinion of management, the unaudited interim condensed consolidated financial statements furnished herein include all adjustments, all of which are of a normal recurring nature, necessary for a fair statement of the results for the interim period presented. The preparation of financial statements in accordance with GAAP requires the use of estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities known to exist as of the date the financial statements are published, and the reported amounts of revenues and expenses during the reporting period. Uncertainties with respect to such estimates and assumptions are inherent in the preparation of the Company’s financial statements; accordingly, it is possible that the actual results could differ from these estimates and assumptions that could have a material effect on the reported amounts of the Company’s financial position and results of operations. Operating results for the three and nine months ended September 30, 2024 are not necessarily indicative of the results that may be expected for the year ending December 31, 2024. About Paysign, Inc. Paysign, Inc. (the “Company,” “Paysign,” “we” or “our”) was incorporated on August 24, 1995, and trades under the symbol PAYS on The Nasdaq Stock Market LLC. Paysign is a provider of prepaid card programs, comprehensive patient affordability offerings, digital banking services and integrated payment processing designed for businesses, consumers and government institutions. Headquartered in Nevada, the company creates customized, innovative payment solutions for clients across all industries, including pharmaceutical, healthcare, hospitality and retail. Principles of Consolidation Segment Reporting Use of Estimates Cash and Cash Equivalents no Restricted Cash Reimbursement Receivables 29,136,803 14,111,655 Concentrations of Credit Risk 43,104 59,958,918 As of September 30, 2024, the Company also had a concentration of accounts receivable risk. Two pharma program customers associated with our pharma patient affordability programs each individually represented 20 18 30 12 Fixed Assets 3 to 10 years The Company periodically evaluates whether events and circumstances have occurred that may warrant revision of the estimated useful life of fixed assets or whether the remaining balance of fixed assets should be evaluated for possible impairment. The Company uses an estimate of the related undiscounted cash flows over the remaining life of the fixed assets in measuring their recoverability. Intangible Assets Intangible assets with a finite life are amortized on a straight-line basis over each asset’s estimated useful life, which is generally 3 to 15 years Internally Developed Software Costs For computer software developed or obtained for internal use, costs that are incurred in the preliminary project and post implementation stages of software development are expensed as incurred. Costs incurred during the application and development stage are capitalized. Capitalized costs are amortized using the straight-line method over a three year estimated useful life, beginning in the period in which the software is available for use. Contract Assets three to five years Hosting Implementation – three-year Customer Card Funding Earnings Per Share Revenue and Expense Recognition The Company generates revenues from plasma card programs through fees generated from cardholder fees and interchange fees. Revenues from pharma card programs are generated through card program management fees, transaction claims processing fees, interchange fees, and settlement income. Other revenues are generated through cardholder fees, interchange fees, program management fees, load fees and breakage. Plasma and pharma card program revenues include both fixed and variable components. Cardholder fees represent an obligation to the cardholder based on a per transaction basis and are recognized at a point in time when the performance obligation is fulfilled. Card program management fees and transaction claims processing fees include an obligation to our card program sponsors and are generally recognized when earned on a monthly basis and are typically due within 30 days pursuant to the contract terms which are generally multi-year contracts. The Company uses the output method to recognize card program management fee revenue at the amount of consideration to which an entity has a right to invoice. The performance obligation is satisfied when the services are transferred to the customer which the Company determined to be monthly, as the customer simultaneously receives and consumes the benefit from the Company’s performance. Interchange fees are earned when customer-issued cards are processed through card payment networks as the nature of our promise to the customer is that we stand ready to process transactions at the customer’s requests on a daily basis over the contract term. Since the timing and quantity of transactions to be processed by us are not determinable, we view interchange fees to comprise an obligation to stand ready to process as many transactions as the customer requests. Accordingly, the promise to stand ready is accounted for as a single series performance obligation. The Company uses the right to invoice practical expedient and recognizes interchange fee revenue concurrent with the processing of card transactions. Interchange fees are settled in accordance with the card payment network terms and conditions, which is typically within a few days. The portion of the dollar value of prepaid-stored value cards that consumers do not ultimately redeem are referred to as breakage. In certain card programs where we hold the cardholder funds and expect to be entitled to a breakage amount, we recognize revenue using estimated breakage rates ratably over the estimated card life; provided that a significant reversal of the amount of breakage revenue recognized is not probable, and record adjustments to such estimates when redemption is remote or we are legally defeased of the obligation, if applicable. For each program, we utilize a third party to estimate breakage rates based on historical redemption patterns, market-specific trends, escheatment rules and existing economic conditions. The Company accounts for breakage in accordance with Accounting Standards Update (“ASU”) 2016-04, Liabilities—Extinguishment of Liabilities (Subtopic 405-20): Recognition of Breakage for Certain Prepaid Stored-Value Cards 19,331 106,117 0 The Company utilizes the remote method of revenue recognition for settlement income whereby the unspent balances will be recognized as revenue at the expiration of the cards or the respective card program. This has primarily been associated with the pharma prepaid business which ended in 2022. The Company records all revenue on a gross basis since it is the primary obligor and establishes the price in the contract arrangement with its customers. The Company is currently under no obligation to refund any fees, and the Company does not currently have any obligations for disputed claim settlements. Given the nature of the Company’s services and contracts, generally it has no contract assets. Settlement income was $ 0 211 Cost of revenues is comprised of transaction processing fees, data connectivity and data center expenses, network fees, bank fees, card production and postage costs, customer service, program management, application integration setup, fraud charges, and sales and commission expense. Operating Leases In determining the present value of lease payments at lease commencement date, the Company utilizes its incremental borrowing rate based on the information available, unless the rate implicit in the lease is readily determinable. The liability for operating leases is based on the present value of future lease payments. Operating lease expenses are recorded as rent expense, which is included within selling, general and administrative expenses within the consolidated statements of operations and presented as operating cash outflows within the consolidated statements of cash flows. Leases with an initial term of 12 months or less are not recorded on the balance sheet, with lease expense for these leases recognized on a straight-line basis over the lease term. Stock-Based Compensation Recently Issued Accounting Pronouncement Income Taxes – Improvements to Income Tax Disclosures In November 2023, the FASB issued ASU 2023-07, “Improvements to Reportable Segment Disclosures”, which expands reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses. The amendments in the ASU require, among other things, disclosure of significant segment expenses that are regularly provided to an entity's chief operating decision maker (“CODM”) and a description of other segment items by reportable segment, as well as disclosure of the title and position of the CODM, and an explanation of how the CODM uses the reported measure(s) of segment profit or loss in assessing segment performance and deciding how to allocate resources. Annual disclosures are required for fiscal years beginning after December 15, 2023 and interim disclosures are required for periods within fiscal years beginning after December 15, 2024. Retrospective application is required, and early adoption is permitted. The Company is currently evaluating the effect the updated guidance will have on the Company's financial statement disclosures as the Company has a single reportable segment.

FIXED ASSETS, NET

FIXED ASSETS, NET	9 Months Ended
	Sep. 30, 2024
Property, Plant and Equipment [Abstract]
FIXED ASSETS, NET	2. FIXED ASSETS, NET Fixed assets consisted of the following: Schedule of fixed assets September 30, December 31, Equipment $ 2,597,744 $ 2,399,243 Software 461,496 345,057 Furniture and fixtures 762,144 757,662 Website costs 69,881 69,881 Leasehold improvements 236,904 236,904 4,128,169 3,808,747 Less: accumulated depreciation (2,989,677 ) (2,719,098 ) Fixed assets, net $ 1,138,492 $ 1,089,649 Depreciation expense for the three months ended September 30, 2024 and 2023 was $ 91,401 107,967 269,324 323,928

INTANGIBLE ASSETS, NET

INTANGIBLE ASSETS, NET	9 Months Ended
	Sep. 30, 2024
Goodwill and Intangible Assets Disclosure [Abstract]
INTANGIBLE ASSETS, NET	3. INTANGIBLE ASSETS, NET Intangible assets consisted of the following: Schedule of intangible assets September 30, 2024 December 31, Patents and trademarks $ 38,186 $ 38,186 Platform 27,038,218 20,391,118 Customer lists and contracts 1,177,200 1,177,200 Licenses 216,901 216,901 Hosting implementation 43,400 43,400 Contract assets 272,600 150,000 28,786,505 22,016,805 Less: accumulated amortization (17,224,802 ) (13,202,478 ) Intangible assets, net $ 11,561,703 $ 8,814,327 Intangible assets are amortized over their useful lives ranging from periods of 3 to 15 years 1,474,220 937,210 4,022,324 2,524,266

LEASE

LEASE	9 Months Ended
	Sep. 30, 2024
Lease
LEASE	4. LEASE The Company entered into an operating lease for an office space which became effective in June 2020. The lease term is 10 two optional extensions of five years each 5.7 6 Operating lease cost included in selling, general and administrative expenses for the three months ended September 30, 2024 and 2023 was $ 190,603 186,470 568,642 565,905 The following is the lease maturity analysis of our operating lease as of September 30, 2024: Year ending December 31, Schedule of lease maturity 2024 (excluding the nine months ended September 30, 2024) $ 142,992 2025 612,006 2026 640,604 2027 640,604 2028 640,604 Thereafter 907,523 Total lease payments 3,584,333 Less: Imputed interest (558,166 ) Present value of future lease payments 3,026,167 Less: current portion of lease liability (424,366 ) Long-term portion of lease liability $ 2,601,801

CUSTOMER CARD FUNDING LIABILITY

CUSTOMER CARD FUNDING LIABILITY	9 Months Ended
	Sep. 30, 2024
Revenue from Contract with Customer [Abstract]
CUSTOMER CARD FUNDING LIABILITY	5. CUSTOMER CARD FUNDING LIABILITY The Company issues prepaid cards with various provisions for cardholder fees or expiration. Revenue generated from cardholder transactions and interchange fees are recognized when the Company’s performance obligation is fulfilled. Unspent balances left on pharma cards are recognized as settlement income at the expiration of the cards and the card program. Contract liabilities related to prepaid cards represent funds on card and client funds held to be loaded to card before the amounts are ultimately spent by the cardholders or recognized as revenue by the Company. Contract liabilities related to prepaid cards are reported as customer card funding liability on the condensed consolidated balance sheet. The opening and closing balances of the Company's liabilities were as follows: Schedule of contract liabilities Nine months ended September 30, 2024 2023 Beginning balance $ 92,282,124 $ 80,189,113 Increase (decrease), net 7,809,741 (2,166,595 ) Ending balance $ 100,091,865 $ 78,022,518 The amount of revenue recognized during the nine months ended September 30, 2024 and 2023 that was included in the opening contract liability for prepaid cards was $ 2,319,630 2,020,224

COMMON STOCK

COMMON STOCK	9 Months Ended
	Sep. 30, 2024
Equity [Abstract]
COMMON STOCK	6. COMMON STOCK At September 30, 2024, the Company's authorized capital stock was 150,000,000 0.001 25,000,000 0.001 54,324,382 53,526,374 no Stock-based compensation expense related to Company grants for the three months ended September 30, 2024 and 2023 was $ 573,499 709,750 1,907,588 2,158,420 2024 Transactions 542,000 872,000 4,800 28,800 During the three and nine months ended September 30, 2024 the Company repurchased 100,000 360,495 3.60 The Company granted 140,000 4.30 620,000 3.71 eight months to five years 2023 Transactions 540,000 732,000 9,600 During the three and nine months ended September 30, 2023 the Company repurchased 75,000 394,558 150,217 2.00 1,127,884 2.86 The Company also granted 0 350,000 2.96 two months to five years

BASIC AND FULLY DILUTED NET INC

BASIC AND FULLY DILUTED NET INCOME PER COMMON SHARE	9 Months Ended
	Sep. 30, 2024
Net income per share
BASIC AND FULLY DILUTED NET INCOME PER COMMON SHARE	7. BASIC AND FULLY DILUTED NET INCOME PER COMMON SHARE The following table sets forth the computation of basic and fully diluted net income per common share for the three and nine months ended September 30, 2024 and 2023: Schedule of computation of earning per share Three Months Ended Nine months ended 2024 2023 2024 2023 Numerator: Net income $ 1,436,837 $ 1,100,604 $ 2,443,035 $ 836,318 Denominator: Weighted average common shares: Denominator for basic calculation 53,450,613 52,548,101 53,102,454 52,404,049 Weighted average effects of potentially diluted common stock: Stock options (calculated using the treasury method) 1,089,063 472,791 991,804 745,193 Unvested restricted stock grants 1,512,284 463,782 1,518,768 1,137,250 Denominator for fully diluted calculation 56,051,960 53,484,674 55,613,026 54,286,492 Net income per common share: Basic $ 0.03 $ 0.02 $ 0.05 $ 0.02 Fully diluted $ 0.03 $ 0.02 $ 0.04 $ 0.02

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	9 Months Ended
	Sep. 30, 2024
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	8. COMMITMENTS AND CONTINGENCIES From time to time, we may become involved in various lawsuits and legal proceedings that arise in the ordinary course of business. However, litigation is subject to inherent uncertainties, and an adverse result in these or other matters may arise from time to time that may harm our business. The Company has been named as a defendant in three securities class action complaints filed in the United States District Court for the District of Nevada: Yilan Shi v. Paysign, Inc. et al., filed on March 19, 2020 (“Shi”), Lorna Chase v. Paysign, Inc. et al., filed on March 25, 2020 (“Chase”), and Smith & Duvall v. Paysign, Inc. et al., filed on April 2, 2020 (collectively, the “Complaints” or “Securities Class Action”). Smith & Duvall v. Paysign, Inc. et al. was voluntarily dismissed on May 21, 2020. On May 18, 2020, the Shi plaintiffs and another entity called the Paysign Investor Group each filed a motion to consolidate the remaining Shi and Chase actions and to be appointed lead plaintiff. The Complaints are putative class actions filed on behalf of a class of persons who acquired the Company’s common stock from March 19, 2019 through March 31, 2020, inclusive. The Complaints generally allege that the Company, Mark R. Newcomer, and Mark Attinger violated Section 10(b) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and that Messrs. Newcomer and Attinger violated Section 20(a) of the Exchange Act, by making materially false or misleading statements, or failing to disclose material facts, regarding the Company’s internal control over financial reporting and its financial statements. The Complaints seek class action certification, compensatory damages, and attorney’s fees and costs. On December 2, 2020, the Court consolidated Shi and Chase as In re Paysign, Inc. Securities Litigation and appointed the Paysign Investor Group as lead plaintiff. On January 12, 2021, Plaintiffs filed an Amended Complaint in the consolidated action. Defendants filed a Motion to Dismiss the Amended Complaint on March 15, 2021. On February 9, 2023, the Court granted in part and denied in part Defendants’ Motion to Dismiss. On May 22, 2023, Defendants filed an Answer to the Amended Complaint. On December 15, 2023, the parties agreed in principle to a proposed settlement of the Securities Class Action and Plaintiffs filed a Consented Motion for Preliminary Approval of Settlement. On January 4, 2024, the Court preliminarily approved a settlement in the amount of $ 3,750,000 The Company has also been named as a nominal defendant in four stockholder derivative actions currently pending in the United States District Court for the District of Nevada. The first-filed derivative action is entitled Andrzej Toczek, derivatively on behalf of Paysign, Inc. v. Mark R. Newcomer, et al. and was filed on September 17, 2020. This action alleges violations of Section 14(a) of the Exchange Act, breach of fiduciary duty, unjust enrichment, and waste, largely in connection with the failure to correct information technology controls over financial reporting alleged in the Securities Class Action, thereby causing the Company to face exposure in the Securities Class Action. The complaint also alleges insider trading violations against certain individual defendants. The second-filed derivative action is entitled John K. Gray, derivatively on behalf of Paysign, Inc. v. Mark Attinger, et al. and was filed on May 9, 2022. This action involves the same alleged conduct raised in the Toczek action and asserts claims for breach of fiduciary duty in connection with financial reporting, breach of fiduciary duty in connection with alleged insider trading against certain individual defendants, and unjust enrichment. On June 3, 2022, the Court approved a stipulation staying the action until the Court in the consolidated Securities Class Action issued a ruling on the Motion to Dismiss. On May 10, 2023, the Toczek and Gray actions were consolidated. The Company has also been named as a nominal defendant in a third stockholder derivative action initially filed in state court in Clark County, Nevada, on October 2, 2023, entitled Simone Blanchette, derivatively on behalf of Paysign, Inc. v. Mark Newcomer, et al, which the defendants subsequently removed to federal district court in Nevada pursuant to a Notice of Removal filed on October 10, 2023. That complaint makes substantially the same allegations as made in the consolidated Toczek and Gray actions, and also contains a claim that the individual defendants violated Section 10(b) and Rule 10b-5 promulgated thereunder. On December 7, 2023, the parties requested that the action be stayed for sixty days due to the settlement negotiations in the consolidated Toczek and Gray actions, and the Court granted the sixty-day stay on December 11, 2023. Subsequently, the Court extended that deadline to March 29, 2024 and then to May 29, 2024 based upon the parties’ stipulations. The Company has also been named as a nominal defendant in a fourth stockholder derivative action in the United States District Court for the District of Nevada, filed on December 27, 2023, entitled Mo Jeewa, derivatively on behalf of Paysign, Inc. v. Mark R. Newcomer, et al. That complaint makes substantially the same allegations as made in the consolidated Toczek and Gray actions and the Blanchette action discussed above, and alleges breach of fiduciary duty and unjust enrichment. On October 4, 2024, the parties to the four shareholder derivative actions agreed to a mediator’s proposal to settle all four actions. The parties are currently in the process of documenting that settlement and intend to submit the proposed settlement to the district court for approval pursuant to Rule 23.1 of the Federal Rules of Civil Procedure. The four shareholder derivative actions settled by the Company agree to certain corporate therapeutics and the payment of a total of $ 607,500

INCOME TAX

INCOME TAX	9 Months Ended
	Sep. 30, 2024
Income Tax Disclosure [Abstract]
INCOME TAX	9. INCOME TAX The effective tax rates for the three months and nine months ended September 30, 2024 and September 30, 2023 were based on the Company’s forecasted annualized effective tax rates and were adjusted for discrete items that occurred within the periods presented. The effective tax rate for the three months and nine months ended September 30, 2024 varies from the three months and nine months ended September 30, 2023 primarily as a result of tax benefits related to the Company’s stock-based compensation and changes to the Company’s valuation allowance recorded on its net deferred tax assets. Under the provisions of the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”) signed into law in 2020 and the subsequent extension of the CARES Act through September 30, 2021, the Company was eligible for a refundable employee retention credit subject to certain criteria. The Company has elected an accounting policy to recognize the government assistance when it is probable that the Company is eligible to receive the assistance and present the credit as a reduction of the related expense. As of September 30, 2024 and December 31, 2023, the Company recorded $ 1,129,164

BASIS OF PRESENTATION AND SUM_2

BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT POLICIES (Policies)	9 Months Ended
	Sep. 30, 2024
Accounting Policies [Abstract]
About Paysign, Inc.	About Paysign, Inc. Paysign, Inc. (the “Company,” “Paysign,” “we” or “our”) was incorporated on August 24, 1995, and trades under the symbol PAYS on The Nasdaq Stock Market LLC. Paysign is a provider of prepaid card programs, comprehensive patient affordability offerings, digital banking services and integrated payment processing designed for businesses, consumers and government institutions. Headquartered in Nevada, the company creates customized, innovative payment solutions for clients across all industries, including pharmaceutical, healthcare, hospitality and retail.
Principles of Consolidation	Principles of Consolidation
Segment Reporting	Segment Reporting
Use of Estimates	Use of Estimates
Cash and Cash Equivalents	Cash and Cash Equivalents no
Restricted Cash	Restricted Cash
Reimbursement Receivables	Reimbursement Receivables 29,136,803 14,111,655
Concentrations of Credit Risk	Concentrations of Credit Risk 43,104 59,958,918 As of September 30, 2024, the Company also had a concentration of accounts receivable risk. Two pharma program customers associated with our pharma patient affordability programs each individually represented 20 18 30 12
Fixed Assets	Fixed Assets 3 to 10 years The Company periodically evaluates whether events and circumstances have occurred that may warrant revision of the estimated useful life of fixed assets or whether the remaining balance of fixed assets should be evaluated for possible impairment. The Company uses an estimate of the related undiscounted cash flows over the remaining life of the fixed assets in measuring their recoverability.
Intangible Assets	Intangible Assets Intangible assets with a finite life are amortized on a straight-line basis over each asset’s estimated useful life, which is generally 3 to 15 years Internally Developed Software Costs For computer software developed or obtained for internal use, costs that are incurred in the preliminary project and post implementation stages of software development are expensed as incurred. Costs incurred during the application and development stage are capitalized. Capitalized costs are amortized using the straight-line method over a three year estimated useful life, beginning in the period in which the software is available for use. Contract Assets three to five years Hosting Implementation – three-year
Customer Card Funding	Customer Card Funding
Earnings Per Share	Earnings Per Share
Revenue and Expense Recognition	Revenue and Expense Recognition The Company generates revenues from plasma card programs through fees generated from cardholder fees and interchange fees. Revenues from pharma card programs are generated through card program management fees, transaction claims processing fees, interchange fees, and settlement income. Other revenues are generated through cardholder fees, interchange fees, program management fees, load fees and breakage. Plasma and pharma card program revenues include both fixed and variable components. Cardholder fees represent an obligation to the cardholder based on a per transaction basis and are recognized at a point in time when the performance obligation is fulfilled. Card program management fees and transaction claims processing fees include an obligation to our card program sponsors and are generally recognized when earned on a monthly basis and are typically due within 30 days pursuant to the contract terms which are generally multi-year contracts. The Company uses the output method to recognize card program management fee revenue at the amount of consideration to which an entity has a right to invoice. The performance obligation is satisfied when the services are transferred to the customer which the Company determined to be monthly, as the customer simultaneously receives and consumes the benefit from the Company’s performance. Interchange fees are earned when customer-issued cards are processed through card payment networks as the nature of our promise to the customer is that we stand ready to process transactions at the customer’s requests on a daily basis over the contract term. Since the timing and quantity of transactions to be processed by us are not determinable, we view interchange fees to comprise an obligation to stand ready to process as many transactions as the customer requests. Accordingly, the promise to stand ready is accounted for as a single series performance obligation. The Company uses the right to invoice practical expedient and recognizes interchange fee revenue concurrent with the processing of card transactions. Interchange fees are settled in accordance with the card payment network terms and conditions, which is typically within a few days. The portion of the dollar value of prepaid-stored value cards that consumers do not ultimately redeem are referred to as breakage. In certain card programs where we hold the cardholder funds and expect to be entitled to a breakage amount, we recognize revenue using estimated breakage rates ratably over the estimated card life; provided that a significant reversal of the amount of breakage revenue recognized is not probable, and record adjustments to such estimates when redemption is remote or we are legally defeased of the obligation, if applicable. For each program, we utilize a third party to estimate breakage rates based on historical redemption patterns, market-specific trends, escheatment rules and existing economic conditions. The Company accounts for breakage in accordance with Accounting Standards Update (“ASU”) 2016-04, Liabilities—Extinguishment of Liabilities (Subtopic 405-20): Recognition of Breakage for Certain Prepaid Stored-Value Cards 19,331 106,117 0 The Company utilizes the remote method of revenue recognition for settlement income whereby the unspent balances will be recognized as revenue at the expiration of the cards or the respective card program. This has primarily been associated with the pharma prepaid business which ended in 2022. The Company records all revenue on a gross basis since it is the primary obligor and establishes the price in the contract arrangement with its customers. The Company is currently under no obligation to refund any fees, and the Company does not currently have any obligations for disputed claim settlements. Given the nature of the Company’s services and contracts, generally it has no contract assets. Settlement income was $ 0 211 Cost of revenues is comprised of transaction processing fees, data connectivity and data center expenses, network fees, bank fees, card production and postage costs, customer service, program management, application integration setup, fraud charges, and sales and commission expense.
Operating Leases	Operating Leases In determining the present value of lease payments at lease commencement date, the Company utilizes its incremental borrowing rate based on the information available, unless the rate implicit in the lease is readily determinable. The liability for operating leases is based on the present value of future lease payments. Operating lease expenses are recorded as rent expense, which is included within selling, general and administrative expenses within the consolidated statements of operations and presented as operating cash outflows within the consolidated statements of cash flows. Leases with an initial term of 12 months or less are not recorded on the balance sheet, with lease expense for these leases recognized on a straight-line basis over the lease term.
Stock-Based Compensation	Stock-Based Compensation
Recently Issued Accounting Pronouncement	Recently Issued Accounting Pronouncement Income Taxes – Improvements to Income Tax Disclosures In November 2023, the FASB issued ASU 2023-07, “Improvements to Reportable Segment Disclosures”, which expands reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses. The amendments in the ASU require, among other things, disclosure of significant segment expenses that are regularly provided to an entity's chief operating decision maker (“CODM”) and a description of other segment items by reportable segment, as well as disclosure of the title and position of the CODM, and an explanation of how the CODM uses the reported measure(s) of segment profit or loss in assessing segment performance and deciding how to allocate resources. Annual disclosures are required for fiscal years beginning after December 15, 2023 and interim disclosures are required for periods within fiscal years beginning after December 15, 2024. Retrospective application is required, and early adoption is permitted. The Company is currently evaluating the effect the updated guidance will have on the Company's financial statement disclosures as the Company has a single reportable segment.

FIXED ASSETS, NET (Tables)

FIXED ASSETS, NET (Tables)	9 Months Ended
	Sep. 30, 2024
Property, Plant and Equipment [Abstract]
Schedule of fixed assets	Schedule of fixed assets September 30, December 31, Equipment $ 2,597,744 $ 2,399,243 Software 461,496 345,057 Furniture and fixtures 762,144 757,662 Website costs 69,881 69,881 Leasehold improvements 236,904 236,904 4,128,169 3,808,747 Less: accumulated depreciation (2,989,677 ) (2,719,098 ) Fixed assets, net $ 1,138,492 $ 1,089,649

INTANGIBLE ASSETS, NET (Tables)

INTANGIBLE ASSETS, NET (Tables)	9 Months Ended
	Sep. 30, 2024
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of intangible assets	Schedule of intangible assets September 30, 2024 December 31, Patents and trademarks $ 38,186 $ 38,186 Platform 27,038,218 20,391,118 Customer lists and contracts 1,177,200 1,177,200 Licenses 216,901 216,901 Hosting implementation 43,400 43,400 Contract assets 272,600 150,000 28,786,505 22,016,805 Less: accumulated amortization (17,224,802 ) (13,202,478 ) Intangible assets, net $ 11,561,703 $ 8,814,327

LEASE (Tables)

LEASE (Tables)	9 Months Ended
	Sep. 30, 2024
Lease
Schedule of lease maturity	Schedule of lease maturity 2024 (excluding the nine months ended September 30, 2024) $ 142,992 2025 612,006 2026 640,604 2027 640,604 2028 640,604 Thereafter 907,523 Total lease payments 3,584,333 Less: Imputed interest (558,166 ) Present value of future lease payments 3,026,167 Less: current portion of lease liability (424,366 ) Long-term portion of lease liability $ 2,601,801

CUSTOMER CARD FUNDING LIABILI_2

CUSTOMER CARD FUNDING LIABILITY (Tables)	9 Months Ended
	Sep. 30, 2024
Revenue from Contract with Customer [Abstract]
Schedule of contract liabilities	Schedule of contract liabilities Nine months ended September 30, 2024 2023 Beginning balance $ 92,282,124 $ 80,189,113 Increase (decrease), net 7,809,741 (2,166,595 ) Ending balance $ 100,091,865 $ 78,022,518

BASIC AND FULLY DILUTED NET I_2

BASIC AND FULLY DILUTED NET INCOME PER COMMON SHARE (Tables)	9 Months Ended
	Sep. 30, 2024
Net income per share
Schedule of computation of earning per share	Schedule of computation of earning per share Three Months Ended Nine months ended 2024 2023 2024 2023 Numerator: Net income $ 1,436,837 $ 1,100,604 $ 2,443,035 $ 836,318 Denominator: Weighted average common shares: Denominator for basic calculation 53,450,613 52,548,101 53,102,454 52,404,049 Weighted average effects of potentially diluted common stock: Stock options (calculated using the treasury method) 1,089,063 472,791 991,804 745,193 Unvested restricted stock grants 1,512,284 463,782 1,518,768 1,137,250 Denominator for fully diluted calculation 56,051,960 53,484,674 55,613,026 54,286,492 Net income per common share: Basic $ 0.03 $ 0.02 $ 0.05 $ 0.02 Fully diluted $ 0.03 $ 0.02 $ 0.04 $ 0.02

BASIS OF PRESENTATION AND SUM_3

BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT POLICIES (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023
Product Information [Line Items]
Cash equivalents	$ 0		$ 0		$ 0
Reimbursement receivables included accounts receivables	32,796,871		32,796,871		16,222,341
Cash in excess of federally insured limits	43,104		$ 43,104		$ 59,958,918
Property plant and equipment estimated useful lives			3 to 10 years
Revenues	15,256,431	$ 12,400,325	$ 42,778,104	$ 33,584,666
Other Income [Member] | Breakage Revenue [Member]
Product Information [Line Items]
Revenues	19,331	0	106,117	0
Other Income [Member] | Settlement Revenue [Member]
Product Information [Line Items]
Revenues	0	$ 211	$ 0	$ 211
Intangible Assets [Member]
Product Information [Line Items]
Finite lived intangible asset useful life			3 to 15 years
Contract Assets [Member]
Product Information [Line Items]
Finite lived intangible asset useful life			three to five years
Hosting Implementation [Member]
Product Information [Line Items]
Finite lived intangible asset useful life			three-year
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Pharma Program Customer One [Member]
Product Information [Line Items]
Concentration risk, percentage			20%		30%
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Pharma Program Customer Two [Member]
Product Information [Line Items]
Concentration risk, percentage			18%		12%
Reimbursement Receivables [Member]
Product Information [Line Items]
Reimbursement receivables included accounts receivables	$ 29,136,803		$ 29,136,803		$ 14,111,655

FIXED ASSETS, NET (Details)

FIXED ASSETS, NET (Details) - USD ($)	Sep. 30, 2024	Dec. 31, 2023
Property, Plant and Equipment [Line Items]
Fixed assets, gross	$ 4,128,169	$ 3,808,747
Less: accumulated depreciation	(2,989,677)	(2,719,098)
Fixed assets, net	1,138,492	1,089,649
Equipment [Member]
Property, Plant and Equipment [Line Items]
Fixed assets, gross	2,597,744	2,399,243
Software Development [Member]
Property, Plant and Equipment [Line Items]
Fixed assets, gross	461,496	345,057
Furniture and Fixtures [Member]
Property, Plant and Equipment [Line Items]
Fixed assets, gross	762,144	757,662
Website Costs [Member]
Property, Plant and Equipment [Line Items]
Fixed assets, gross	69,881	69,881
Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Fixed assets, gross	$ 236,904	$ 236,904

FIXED ASSETS, NET (Details Narr

FIXED ASSETS, NET (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Property, Plant and Equipment [Abstract]
Depreciation expense	$ 91,401	$ 107,967	$ 269,324	$ 323,928

INTANGIBLE ASSETS, NET (Details

INTANGIBLE ASSETS, NET (Details) - USD ($)	Sep. 30, 2024	Dec. 31, 2023
Finite-Lived Intangible Assets [Line Items]
Intangible assets, gross	$ 28,786,505	$ 22,016,805
Less: accumulated amortization	(17,224,802)	(13,202,478)
Intangible assets, net	11,561,703	8,814,327
Patents And Trademarks [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible assets, gross	38,186	38,186
Platform [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible assets, gross	27,038,218	20,391,118
Customer Lists And Contracts [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible assets, gross	1,177,200	1,177,200
Licenses [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible assets, gross	216,901	216,901
Hosting Implementation [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible assets, gross	43,400	43,400
Contract Assets [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible assets, gross	$ 272,600	$ 150,000

INTANGIBLE ASSETS, NET (Detai_2

INTANGIBLE ASSETS, NET (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Finite-Lived Intangible Assets [Line Items]
Amortization expense	$ 1,474,220	$ 937,210	$ 4,022,324	$ 2,524,266
Intangible Assets [Member]
Finite-Lived Intangible Assets [Line Items]
Finite lived intangible asset useful life			3 to 15 years

LEASE (Details)

LEASE (Details) - USD ($)	Sep. 30, 2024	Dec. 31, 2023
Lease
2024 (excluding the nine months ended September 30, 2024)	$ 142,992
2025	612,006
2026	640,604
2027	640,604
2028	640,604
Thereafter	907,523
Total lease payments	3,584,333
Less: Imputed interest	(558,166)
Present value of future lease payments	3,026,167
Less: current portion of lease liability	(424,366)	$ (383,699)
Long-term portion of lease liability	$ 2,601,801	$ 2,928,078

LEASE (Details Narrative)

LEASE (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Lease
Lease term	10 years		10 years
Lease term option to extend			two optional extensions of five years each
Remaining lease term	5 years 8 months 12 days		5 years 8 months 12 days
Discount rate	6%		6%
Operating Lease, Cost	$ 190,603	$ 186,470	$ 568,642	$ 565,905

CUSTOMER CARD FUNDING LIABILI_3

CUSTOMER CARD FUNDING LIABILITY (Details) - USD ($)	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Revenue from Contract with Customer [Abstract]
Beginning balance	$ 92,282,124	$ 80,189,113
Increase (decrease), net	7,809,741	(2,166,595)
Ending balance	$ 100,091,865	$ 78,022,518

CUSTOMER CARD FUNDING LIABILI_4

CUSTOMER CARD FUNDING LIABILITY (Details Narrative) - USD ($)	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Revenue from Contract with Customer [Abstract]
Revenue recognized, included in contract liability	$ 2,319,630	$ 2,020,224

COMMON STOCK (Details Narrative

COMMON STOCK (Details Narrative) - USD ($)	3 Months Ended				9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023
Class of Stock [Line Items]
Common stock, shares authorized	150,000,000				150,000,000		150,000,000
Common stock, par value	$ 0.001				$ 0.001		$ 0.001
Preferred stock, shares authorized	25,000,000				25,000,000		25,000,000
Preferred stock, par value	$ 0.001				$ 0.001		$ 0.001
Common stock, shares issued	54,324,382				54,324,382		53,452,382
Common stock, shares outstanding	53,526,374				53,526,374
Preferred stock, shares outstanding	0				0		0
Stock-based compensation expense	$ 573,499	$ 709,750			$ 1,907,588	$ 2,158,420
Proceeds from exercise of stock options	4,800				28,800
Repurchase of common stock, value	$ 360,495	$ 150,217	$ 311,649	$ 666,018
Proceeds from exercise of stock options					$ 28,800	$ 9,600
Treasury Stock, Common [Member]
Class of Stock [Line Items]
Repurchase of common stock, shares	100,000	75,000			100,000	394,558
Repurchase of common stock, value	$ 360,495	$ 150,217			$ 360,495	$ 1,127,884
Weighted average price	$ 3.60	$ 2			$ 3.60	$ 2.86
Vested Stock Awards And Stock Options Exercised [Member]
Class of Stock [Line Items]
Exercise of stock options, shares	542,000	540,000			872,000	732,000
Restricted Stock [Member]
Class of Stock [Line Items]
Restricted stock granted	140,000	0			620,000	350,000
Weighted average grant date fair value	$ 4.30	$ 2.96			$ 3.71	$ 2.96
Restricted stock awards granted vest over a period	eight months to five years	two months to five years			eight months to five years	two months to five years

BASIC AND FULLY DILUTED NET I_3

BASIC AND FULLY DILUTED NET INCOME PER COMMON SHARE (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Numerator:
Net income	$ 1,436,837	$ 1,100,604	$ 2,443,035	$ 836,318
Weighted average common shares:
Denominator for basic calculation	53,450,613	52,548,101	53,102,454	52,404,049
Weighted average effects of potentially diluted common stock:
Stock options (calculated using the treasury method)	1,089,063	472,791	991,804	745,193
Unvested restricted stock grants	1,512,284	463,782	1,518,768	1,137,250
Denominator for fully diluted calculation	56,051,960	53,484,674	55,613,026	54,286,492
Net income per common share:
Basic	$ 0.03	$ 0.02	$ 0.05	$ 0.02
Fully diluted	$ 0.03	$ 0.02	$ 0.04	$ 0.02

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($)	Oct. 04, 2024	Jan. 04, 2024
Commitments and Contingencies Disclosure [Abstract]
Settlement amount	$ 607,500	$ 3,750,000

INCOME TAX (Details Narrative)

INCOME TAX (Details Narrative) - USD ($)	Sep. 30, 2024	Dec. 31, 2023
Other receivables	$ 1,736,387	$ 1,585,983
US Federal Government [Member]
Other receivables	$ 1,129,164	$ 1,129,164