Cover
Cover | 12 Months Ended |
Dec. 31, 2021 | |
Cover [Abstract] | |
Entity Registrant Name | WETRADE GROUP INC. |
Entity Central Index Key | 0001784970 |
Document Type | S-1/A |
Amendment Flag | true |
Entity Small Business | true |
Entity Emerging Growth Company | true |
Entity Filer Category | Non-accelerated Filer |
Entity Ex Transition Period | false |
Amendment Description | Amendment |
Entity Incorporation State Country Code | WY |
Entity Address Address Line 1 | No 1 Gaobei South Coast, Yi An Men 111 Block 37, Chao Yang District |
Entity Address Address Line 2 | Yi An Men 111 Block 37 |
Entity Address Address Line 3 | Chao Yang District |
Entity Address City Or Town | Beijing City |
Country Region | 86 |
Entity Address Postal Zip Code | 100020 |
City Area Code | 135 |
Local Phone Number | 011-76409 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Current Assets: | ||
Cash And Cash Equivalents | $ 616,593 | $ 4,640,603 |
Accounts Receivable | 5,627,463 | 2,609,520 |
Account Receivable- Related Party | 3,603,402 | 0 |
Note Receivable | 3,798,130 | 3,097,981 |
Other Receivables | 30,147 | 5,771 |
Prepayments | 2,760,658 | 61,707 |
Total Current Assets | 16,436,393 | 10,415,582 |
Property And Equipment, Net | 395,353 | 0 |
Right Of Use Assets | 2,328,950 | 2,813,186 |
Intangible Asset, Net | 37,765 | 49,029 |
Rental Deposit | 272,063 | 264,910 |
Total Assets: | 19,470,524 | 13,542,707 |
Current Liabilities: | ||
Account Payables | 7,710 | 8,176 |
Account Payables- Related Parties | 54,436 | 0 |
Accrued Expenses | 217,073 | 263,355 |
Tax Payables | 711,841 | 828,695 |
Amount Due To Related Parties | 1,105,532 | 416,501 |
Lease Liabilities, Current | 596,098 | 569,865 |
Other Payables | 306,270 | 90,632 |
Total Current Liabilities | 2,998,960 | 2,177,224 |
Lease Liabilities, Non- Current | 1,942,242 | 2,471,598 |
Total Liabilities | 4,941,202 | 4,648,822 |
Stockholders' Equity: | ||
Common Stock; $0.00 Per Share Par Value; 305,451,498 Issued And Outstanding At December 31, 2021 And 305,451,498 Issued And Outstanding At December 31, 2020* | 0 | 0 |
Additional Paid In Capital | 6,197,520 | 6,057,520 |
Accumulated Other Comprehensive Income | 898,497 | 578,735 |
Retained Earnings | 7,433,305 | 2,257,630 |
Total Stockholders' Equity | 14,529,322 | 8,893,885 |
Total Liabilities And Stockholders' Equity | $ 19,470,524 | $ 13,542,707 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Dec. 31, 2021 | Dec. 31, 2020 |
CONSOLIDATED BALANCE SHEETS | ||
Common Stock, Shares Par Value | $ 0 | $ 0 |
Common Stock, Shares Issued | 305,451,498 | 305,451,498 |
Common Stock, Shares Outstanding | 305,451,498 | 305,451,498 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Income (Loss) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Revenue: | ||
Service Revenue, Non-related Party | $ 9,734,966 | $ 3,440,312 |
Service Revenue, Related Party | 4,646,329 | 2,831,252 |
Total Service Revenue | 14,381,295 | 6,271,564 |
Cost Of Revenue | (2,681,939) | (615,595) |
Gross Profit | 11,699,356 | 5,655,969 |
Operating Expenses: | ||
General And Administrative | (5,705,063) | (1,901,336) |
Operations Profit | 5,994,293 | 3,754,633 |
Other Income | 303,665 | 82,960 |
Income Before Income Tax | 6,297,958 | 3,837,593 |
Income Tax Expense | (1,122,283) | (1,162,556) |
Net Income | 5,175,675 | 2,675,037 |
Other Comprehensive Income | ||
Foreign Currency Translation Adjustment | 319,762 | 578,735 |
Comprehensive Income | $ 5,495,437 | $ 3,253,772 |
Net Income Per Share - Basic And Diluted | $ 0.02 | $ 0.01 |
Weighted Average Number Of Shares Outstanding*; Basic And Diluted | 305,451,498 | 304,166,073 |
Statement of Changes in Stockho
Statement of Changes in Stockholders Equity (Deficit) - USD ($) | Total | Common Stock | Additional Paid-In Capital | Share to be issued [Member] | Retained Earnings (Accumulated Deficit) | Accumulated other comprehensive loss |
Balance, Amount at Dec. 31, 2019 | $ 4,804,613 | $ 0 | $ 222,020 | $ 5,000,000 | $ (417,407) | |
Balance, Shares at Dec. 31, 2019 | 300,222,000 | |||||
Stock Issued During The Year | $ 835,500 | 5,835,500 | (5,000,000) | $ 0 | ||
Stock Issued During The Year | 5,229,498 | |||||
Foreign Currency Translation Adjustment | $ 578,735 | 0 | 578,735 | |||
Net Income For The Year | 2,675,037 | $ 0 | 0 | 0 | 2,675,037 | 0 |
Balance, Amount at Dec. 31, 2020 | 8,893,885 | $ 0 | 6,057,520 | 0 | 2,257,630 | 578,735 |
Balance, Shares at Dec. 31, 2020 | 305,451,498 | |||||
Foreign Currency Translation Adjustment | 319,762 | 0 | 319,762 | |||
Net Income For The Year | 5,175,675 | 5,175,675 | 0 | |||
Related Party Payable Forgiveness | 140,000 | $ 0 | 140,000 | $ 0 | 0 | 0 |
Balance, Amount at Dec. 31, 2021 | $ 14,529,322 | $ 0 | $ 6,197,520 | $ 7,433,305 | $ 898,497 | |
Balance,share at Dec. 31, 2021 | 305,451,498 |
STATEMENTS OF CASH FLOWS
STATEMENTS OF CASH FLOWS - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Cash Flows From Operating Activities: | ||
Net Income | $ 5,175,675 | $ 2,675,037 |
Adjustment To Reconcile Net Income To Cash Flows From Operating Activities: | ||
Depreciation Expenses | 23,353 | |
Amortization Of Intangible Assets | 12,519 | 11,696 |
Forgiveness Of Related Party Debt | 140,000 | 0 |
Changes In Operating Assets And Liabilities: | ||
Accounts Receivables | (2,910,665) | (2,489,993) |
Accounts Receivables- Related Parties | (3,558,398) | 0 |
Intangible Asset | 0 | (58,480) |
Other Receivables | 244,749 | (258,282) |
Prepaid Expenses | (2,926,541) | (41,141) |
Accounts Payable | (910) | 7,802 |
Account Payables-related Parties | 51,031 | 0 |
Accrued Expenses | (52,178) | 220,658 |
Tax Payables | (177,836) | 828,695 |
Other Payables | 250,870 | 48,524 |
Right Of Use Assets | 560,200 | (2,684,330) |
Lease Liabilities | (585,253) | 2,902,151 |
Net Cash Flows (used In) /provided By Operating Activities: | (3,753,384) | 1,162,337 |
Cash Flow From Investing Activities: | ||
Office Equipment | (417,112) | 0 |
Net Cash Flows Used In Investing Activities: | (417,112) | 0 |
Cash Flow From Financing Activities: | ||
Proceeds From Issuance Of Common Stock | 0 | 835,500 |
Note Receivable | (611,210) | (2,957,622) |
Related Party Loan | 689,031 | (1,560,020) |
Net Cash Provided By (used In) Financing Activities: | 77,821 | (3,682,142) |
Effect Of Exchange Rate Changes On Cash | 68,665 | 569,280 |
Change In Cash And Cash Equivalents: | (4,024,010) | (1,950,525) |
Cash And Cash Equivalents, Beginning Of Period | 4,640,603 | 6,591,128 |
Cash And Cash Equivalents, End Of Period | 616,593 | 4,640,603 |
Non-cash Investing And Financing Transaction | ||
Forgiveness Of Related Party Payable | 140,000 | 0 |
Supplemental Cash Flow Information: | ||
Cash Paid For Interest | 0 | 0 |
Cash Paid For Taxes | $ 480,528 | $ 1,162,556 |
NATURE OF BUSINESS
NATURE OF BUSINESS | 12 Months Ended |
Dec. 31, 2021 | |
NATURE OF BUSINESS | |
Nature Of Business | NOTE 1. NATURE OF BUSINESS Organization WeTrade Group, Inc. was incorporated in the State of Wyoming on March 28, 2019 and is in the business of providing an international cloud-based intelligence system and independently developed a micro-business cloud intelligence system called the “YCloud.” Our goal is to provide technical and auto-billing management services to micro-business online stores in China through big data analytics, machine learning mechanisms, social network recommendations, and multi-channel data analysis. (Source: iResearch. http://xueqiu.com/8455183447/172404679?sharetime=2,2/22/2021). YCloud serves corporate users in multiple industries, including e-commerce business, medical beauty, healthcare products, food and beverage, tourism and etc. We conduct business operations in mainland China and have established trial operations in Hong Kong, the Philippines, and Singapore. We expect to utilize the YCloud system to establish a global strategic cooperation with various social media platforms. Plan to negotiate with Kakao Talk, Line, Whatsapp, Ohho, and Bluechat. Additionally, we have formed long-term technical collaborations with Yuetao App, Daren App, Yuebei App, Zhiding App, Yuedian App, and Lvyue App through Weijiafu and Changtongfu. In January 2020, we appointed 3rd party software company to develop an auto-billing management system (“YCloud System”), to provide online payment services for our customers in PRC. The main functions of YCloud System are users’ marketing relationship, CPS commission profit management, multi-channel data statistics, AI fission and management, improved supply chain system. YCloud applications cover the micro business industry, tourism industry, hospitality industry, livestreaming and short video industry, medical beauty industry and traditional retail industry. Currently, YCloud serves the micro business industry and we have expanded the application of YCloud to tourism, hospitality, livestreaming and short video, medical beauty and traditional retail industries. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2021 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Summary Of Significant Accounting Policies | NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”). The consolidated financial statements include the financial statements of the Company and its subsidiaries. All significant inter-company transactions and balances have been eliminated in consolidation. As of December 31, 2021, the details of the consolidating subsidiaries are as follows: Name of Company Place of incorporation Attributable equity interest % Utour Pte Ltd Singapore 100 % WeTrade Information Technology Limited (“WITL”) Hong Kong 100 % Yueshang Information Technology (Beijing) Co., Ltd. (“YITB”) P.R.C. 100 % Yueshang Group Network (Hunan) Co., Limited (“Yueshang Hunan”) P.R.C 100 % Yueshang Technology Group (Hainan Special Economic Zone) Co. Limited (“Yueshang Hainan”) P.R.C 100 % Tibet XiaoShang Technology Co Limited (“Tibet Xiaoshang”) P.R.C 100 % Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Management believes that the estimates used in preparing the financial statements are reasonable and prudent; however, actual results could differ from these estimates. Significant estimates include the allowance for doubtful accounts, useful lives of intangible asset, valuation of deferred tax assets, and certain accrued liabilities such as contingent liabilities. Fair Value The Company follows guidance for accounting for fair value measurements of financial assets and financial liabilities and for fair value measurements of nonfinancial items that are recognized or disclosed at fair value in the financial statements on a recurring basis. Additionally, the Company adopted guidance for fair value measurement related to nonfinancial items that are recognized and disclosed at fair value in the financial statements on a nonrecurring basis. The guidance establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to measurements involving significant unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are as follows: Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 3 inputs are unobservable inputs for the asset or liability. The carrying amounts of financial assets such as cash approximate their fair values because of the short maturity of these instruments. Concentrations of Credit Risk, Significant Customers The Company’s financial instruments that are exposed to concentrations of credit risk consist primarily of accounts receivable. The Company does not require collateral for accounts receivables. The Company maintains an allowance for its doubtful accounts receivable due to estimated credit losses. The Company records the allowance against bad debt expense through the consolidated statements of operations, included in general and administrative expense, up to the amount of revenues recognized to date. Receivables are written off and charged against the recorded allowance when the Company has exhausted collection efforts without success. As of December 31, 2021 and 2020, account receivables from third parties are amounted to $5,627,463 (2020: $2,609,520) and account receivables from related parties are amounted to $3,603,402 (2020: $nil). As of December 31, 2021, the total account receivables from two main customers are amounted to $9,230,865, which consists of amount due from third party customer of $5,627,463 and amount due from related party customer of $3,603,402. Revenue Recognition The Company follows the guidance of Accounting Standards Codification (ASC) 606, Revenue from Contracts Cash Equivalents The Company considers all highly liquid debt instruments purchased with a maturity period of three months or less to be cash or cash equivalents. The carrying amounts reported in the accompanying unaudited condensed consolidated balance sheets for cash and cash equivalents approximate their fair value. All of the Company’s cash that is held in bank accounts in Singapore and PRC is not protected by Federal Deposit Insurance Corporation (“FDIC”) insurance or any other similar insurance in the PRC, or Singapore. Foreign Currency The Company’s principal country of operations is the PRC. The accompanying consolidated financial statements are presented in US$. The functional currency of the Company is US$, and the functional currency of the Company’s subsidiaries is RMB. The consolidated financial statements are translated into US$ from RMB at year-end exchange rates as to assets and liabilities and average exchange rates as to revenues and expenses. Capital accounts are translated at their historical exchange rates when the capital transactions occurred. The resulting translation adjustments are recorded as a component of shareholders’ equity included in other comprehensive income. Gains and losses from foreign currency transactions are included in profit or loss. There were no gains and losses from foreign currency transactions from the inception to December 31, 2021. Year ended December 31, 2021 2020 RMB: US$ exchange rate 6.36 6.53 The balance sheet amounts, with the exception of equity, December 31, 2021 and December 31, 2020 were translated at 6.36 RMB and 6.53 RMB to $1.00, respectively. The equity accounts were stated at their historical rates. The average translation rates applied to statements of operations and comprehensive income accounts for the year ended December 31, 2021 and year ended December 31, 2020 were 6.44 RMB and 6.84 RMB to $1.00, respectively. Cash flows were also translated at average translation rates for the year and, therefore, amounts reported on the statement of cash flows would not necessarily agree with changes in the corresponding balances on the consolidated balance sheet. The transactions dominated in SGD are immaterial. Intangible Asset Intangible asset is software development cost of YCloud system incurred by the Company, it will be amortized on a straight line basis over the estimated useful life of 5 years. Commitments and contingencies On September 16, 2020 the Company entered into lease agreement for a new office space in Beijing. The term of the lease is for a (5) Five Years with first 4 months free on the 1st year of the term and 1st month free of each following years of the term. The monthly rent on the 1st year will be approximately of $63,000 with a 6% increase for each subsequent year. Total commitment for the full term of the lease will be $3,516,627. Internal Use Software Development We account for costs incurred to develop or purchase computer software for internal use in accordance with Accounting Standards Codification (“ASC”) 350-40 "Internal-Use Software" or ASC 350-50 "Website Costs". As required by ASC 350-40, we capitalize the costs incurred during the application development stage, which include costs to design the software configuration and interfaces, coding, installation, and testing. Costs incurred during the preliminary project stage along with post-implementation stages of internal use computer software are expensed as incurred. Capitalized development costs are amortized on a straight-line basis over a period of five years. Costs incurred to maintain existing product offerings are expensed as incurred. The capitalization and ongoing assessment of recoverability of development costs requires considerable judgment by management with respect to certain external factors, including, but not limited to, technological and economic feasibility, and estimated economic life. Leases The Company has operating leases for corporate offices under a non-cancellable operating lease with expiration date. The leases have non-cancellable remaining terms of 3 years. ASU 2016-02 requires that public companies use a secured incremental browning rate for the present value of lease payments when the rate implicit in the contract is not readily determinable. We determine a secured rate on a quarterly basis and update the weighted average discount rate accordingly. Lease terms and discount rate follow: Lease cost In USD Operating lease cost (included in general and admin in company’s statement of operations) $ 694,533 Other information Cash paid for amounts included in the measurement of lease liabilities for the quarter ended 12/31/2021 719,272 Weighted average remaining lease term-operating leases (in years) 3.67 Average discount rate - operating leases 5 % The supplemental balance sheet information related to leases for the period is as follows: Operating leases Long -term right-of-use assets 2,328,950 Total right-of-use assets $ 2,328,950 Short-term operating lease liabilities 596,098 Long-term operating lease liabilities 1,942,242 Total operating lease liabilities $ 2,538,340 Maturities of the Company’s lease liabilities are as follows: Year ending December 31, 2022 709,336 2023 753,074 2024 798,895 2025 526,944 Total lease payments $ 2,788,249 Less: Imputed interest/present value discount (249,909 ) Present value of lease liabilities $ 2,538,340 Income Tax Income taxes are determined in accordance with the provisions of ASC Topic 740, “Income Taxes” (“ASC Topic 740”). Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using enacted income tax rates expected to apply to taxable income in the periods in which those temporary differences are expected to be recovered or settled. Any effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. ASC 740 prescribes a comprehensive model for how companies should recognize, measure, present, and disclose in their financial statements uncertain tax positions taken or expected to be taken on a tax return. Under ASC 740, tax positions must initially be recognized in the financial statements when it is more likely than not the position will be sustained upon examination by the tax authorities. Such tax positions must initially and subsequently be measured as the largest amount of tax benefit that has a greater than 50% likelihood of being realized upon ultimate settlement with the tax authority assuming full knowledge of the position and relevant facts. The Company has a subsidiary in Singapore and PRC. The Company is subject to tax in Singapore and PRC jurisdictions. As a result of its future business activities, the Company will be required to file tax returns that are subject to examination by the Inland Revenue Authority of Singapore and Tax Department of PRC. Capital Structure The Company currently has unlimited authorized shares of $0.00 par value common stock, with 305,451,498 shares issued and outstanding as of December 31, 2021 and 2020. Earnings per share Basic net income per share of common stock attributable to common stockholders is calculated by dividing net income attributable to common stockholders by the weighted-average shares of common stock outstanding for the period. Potentially dilutive shares, which are based on the weighted-average shares of common stock underlying outstanding stock-based awards, warrants, options, or convertible debt using the treasury stock method or the if-converted method, as applicable, are included when calculating diluted net income per share of common stock attributable to common stockholders when their effect is dilutive. Potential dilutive securities are excluded from the calculation of diluted EPS in loss periods as their effect would be anti-dilutive. As of December 31, 2021 and 2020, there were no potentially dilutive shares. 2021 2020 Statement of Operations Summary Information: Net Profit $ 5,175,675 $ 2,675,037 Weighted-average common shares outstanding - basic and diluted 305,451,498 304,166,073 Net profit per share, basic and diluted $ 0.02 $ 0.01 |
RECENT ACCOUNTING PRONOUNCEMENT
RECENT ACCOUNTING PRONOUNCEMENTS | 12 Months Ended |
Dec. 31, 2021 | |
RECENT ACCOUNTING PRONOUNCEMENTS | |
Recent Accounting Pronouncements | NOTE 3 – RECENT ACCOUNTING PRONOUNCEMENTS Recent accounting pronouncements issued by the FASB (including its Emerging Issues Task Force) and the United States Securities and Exchange Commission did not or are not believed by management to have a material impact on the Company’s present or future financial statements. |
REVENUE
REVENUE | 12 Months Ended |
Dec. 31, 2021 | |
REVENUE | |
Revenue | NOTE 4. REVENUE In the business of providing an international cloud-based intelligence system, namely “YCloud” system. We aim to provide technical and auto-billing management system services to micro-business online stores in China through big data analytics, machine learning mechanisms, social network recommendations, and multi-channel data analysis. Weijiafu and Changtongfu are our customers to take charge of the Ycloud users’ profiles. Meanwhile, all YCloud users’ information is retained within YCloud system. We derive our revenue from system service fees charged for transactions conducted through YCloud. We receive 2%-3.5% of the total Gross Merchandise Volume generated in the platform as a system service fee from YCloud users through service agreement with our customers (such as Weijiafu and Changtongfu), depending on the type of service and industry. Gross Merchandise Volume, or GMV, is a term used in online retailing to indicate a total sales monetary-value for merchandise sold through a particular marketplace over a certain time frame. We generally receive the system service fee from Weijiafu and Changtongfu within the first ten days of each calendar month. With effect from October 2021, YCloud system service fee will be settled within the first ten days of each quarter due to high volume of transaction amounts conducted through YCloud from end users. As of reporting date, all the service fee receivable has been fully settled and received. As of year ended December 31, 2021 and 2020, the Gross Merchandise Volume, or GMV in YCloud systems are as follow: Gross Merchandise Volume (“GMV”) 2021 2020 US$ US$ Non-related party 292,177,817 10,437,687 Related party 139,359,179 153,038,677 Total: 431,536,996 163,476,364 As of year ended December 31, 2021 and 2020, we generated revenues from YCloud service fees amounting to $14,381,295 and $6,271,564. Service revenue from third party were $9,734,966 (2020: $3,440,312) and service revenue from related party were $4,646,329 (2020: $2,831,252) for the year ended December 31, 2021. The increase in revenue was mainly due to increase in YCloud users during the year. As of year ended December 31, 2021, we provide “YCloud” services system through our two main customers: third party customer- Weijiafu and related party-Changtongfu to provide YCloud payment channels and users’ date storage services to individual and corporate micro-business owners. |
CASH
CASH | 12 Months Ended |
Dec. 31, 2021 | |
CASH | |
Cash | NOTE 5 – CASH As of December 31, 2021, the Company held cash in bank in the amount of $616,593 which consists of the following: December 31, 2021 December 31, 2020 Bank Deposits-China $ 303,065 4,593,943 Bank Deposits-Singapore 313,528 46,660 616,593 4,640,603 |
INTANGIBLE ASSET
INTANGIBLE ASSET | 12 Months Ended |
Dec. 31, 2021 | |
INTANGIBLE ASSET | |
Intangible Asset | NOTE 6 – INTANGIBLE ASSET Intangible asset is software development cost incurred by company, it will be amortized on a straight line basis over the estimated useful life of 5 years as follow: December 31, 2021 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Weighted Average Useful Life (Years) Intangible assets: Software development $ 57,143 $ (25,176 ) $ 31,967 5 Foreign currency translation adjustment - - 5,798 Intangible assets, net $ 57,143 $ (25,176 ) $ 37,765 Amortization expense for intangible assets was $12,519 for the year ended December 31, 2021. Expected future intangible asset amortization as of December 31, 2021 was as follows: Fiscal years: Remaining 2022 $ 25,176 2023 12,588 |
PROPERTY AND EQUIPMENT
PROPERTY AND EQUIPMENT | 12 Months Ended |
Dec. 31, 2021 | |
PROPERTY AND EQUIPMENT | |
Property And Equipment | NOTE 7 – PROPERTY AND EQUIPMENT As of December 31, 2021, property and equipment consists of the following: December 31, 2021 Gross Carrying Amount Accumulated Depreciation Net Carrying Amount Weighted Average Useful Life (Years) Property and equipment: Office equipment $ 150,915 $ (23,353 ) $ 127,562 3 Leasehold improvement 267,791 - 267,791 5 Property and equipment, net $ 418,706 $ (23,353 ) $ 395,353 Depreciation expenses of office equipment were $23,353 and nil for the year ended December 31, 2021 and year ended December 31, 2020 respectively as the computer and office equipment were acquired on June 29, 2021. Amortization expenses of leasehold improvement is $nil for the year ended December 31, 2021 as the new office renovation will be completed in April 2022. |
ACCOUNT RECEIVABLES
ACCOUNT RECEIVABLES | 12 Months Ended |
Dec. 31, 2021 | |
ACCOUNT RECEIVABLES | |
Account Receivables | NOTE 8 – ACCOUNT RECEIVABLES As of December 31, 2021, account receivables is related to the services fee receivables from customers as follow: December 31, 2021 December 31, 2020 Account receivables $ 5,627,463 $ 2,609,520 Account receivables- Related parties 3,603,402 - $ 9,230,865 $ 2,609,520 We generally receive the system service fee from YCloud users through Weijiafu and Changtongfu within the first ten days of each calendar month. With effect from October 2021, YCloud system service fee will be settled within the first ten days of each quarter due to high volume of transaction amounts conducted through YCloud from end users. The Company’s financial instruments that are exposed to concentrations of credit risk consist primarily of accounts receivable. The Company does not require collateral for accounts receivables. The Company maintains an allowance for its doubtful accounts receivable due to estimated credit losses. The Company records the allowance against bad debt expense through the consolidated statements of operations, included in general and administrative expense, up to the amount of revenues recognized to date. Receivables are written off and charged against the recorded allowance when the Company has exhausted collection efforts without success. As of December 31, 2021, account receivable from two main customers are amounted to $9,230,865(2020: $2,609,520) and which is 100% (2020: 100%) of total account receivables. As of reporting date, all the services fee receivables has been fully settled from two main customers. |
NOTE RECEIVABLES
NOTE RECEIVABLES | 12 Months Ended |
Dec. 31, 2021 | |
NOTE RECEIVABLES | |
Note Receivables | NOTE 9 – NOTE RECEIVABLES As of December 31, 2021 and 2020, Note receivables consists of the following: December 31, 2021 December 31, 2020 Note receivables $ 3,798,130 $ 3,097,981 Note receivable is related to the short-term loan of $3,798,130 (approximately of RMB 24 million) to a third party with annual interest of 5%, which will be matured on November 4, 2022. As at December 31, 2021 the accrued interest for the loan is $167,626. The accrued interest and principal amount of the loan for the year ended December 31, 2021 and December 31, 2020 are as follow: December 31, 2021 December 31, 2020 Principal $ 3,630,504 $ 3,064,336 Accrued interest 167,626 33,645 $ 3,798,130 $ 3,097,981 |
OTHER RECEIVABLE
OTHER RECEIVABLE | 12 Months Ended |
Dec. 31, 2021 | |
OTHER RECEIVABLE | |
Other Receivable | NOTE 10 – OTHER RECEIVABLES As of December 31, 2021, other receivables consists of staff advances, prepaid trademark and system set up fees as follow: December 31, 2021 December 31, 2020 Prepaid trademark and system set up fee - 3,318 Advances to staff 19,302 - Others 10,845 2,453 30,147 5,771 |
PREPAYMENTS
PREPAYMENTS | 12 Months Ended |
Dec. 31, 2021 | |
PREPAYMENTS | |
Prepayments | NOTE 11 – PREPAYMENTS As of December 31, 2021, prepayments consist of the following: December 31, 2021 December 31, 2020 Office furniture and renovation $ 1,895,591 $ - Office Rental 173,611 - Block chain software and annual fee 630,291 - Software licenses fee 61,165 61,707 $ 2,760,658 $ 61,707 As of 31 December 2021, there is a prepayment of approximate $1.9 million in relation of purchasing new office furniture as a result of new office renovation during the year, the renovation is expected to complete in April 2022. As of 31 December 2021, there is a prepayment of $630,291 in relation of block chain software development under YCloud system, which is expect to complete in June 2022. |
RENTAL DEPOSIT
RENTAL DEPOSIT | 12 Months Ended |
Dec. 31, 2021 | |
RENTAL DEPOSIT | |
Rental Deposit | NOTE 12 – RENTAL DEPOSIT As of December 31, 2021, rental deposit of $272,063 (2020: $264,910) is office lease deposit with the tenancy period of 5 years, which consist of rental deposit and property management fee deposit. |
ACCOUNT PAYABLES- RELATED PARTI
ACCOUNT PAYABLES- RELATED PARTIES | 12 Months Ended |
Dec. 31, 2021 | |
ACCOUNT PAYABLES- RELATED PARTIES | |
Account Payables- Related Parties | NOTE 13 – ACCOUNT PAYABLES- RELATED PARTIES As of December 31, 2021 As of December 31, 2020 Account payable- related party $ 54,436 $ - $ 54,436 $ - Account payable- related party balance of $54,436 represented background system management service and basic application training fees payable to Beijing Xinke Datong Technology Co Ltd. The service period is 16 months and which will end in June 2022. |
AMOUNT DUE TO RELATED PARTIES
AMOUNT DUE TO RELATED PARTIES | 12 Months Ended |
Dec. 31, 2021 | |
AMOUNT DUE TO RELATED PARTIES | |
Amount Due To Related Parties | NOTE 14 – AMOUNT DUE TO RELATED PARTIES As of December 31, 2021 As of December 31, 2020 Related parties payable $ 745,532 $ 276,501 Related party loan - 140,000 Director fee payable 360,000 - $ 1,105,532 $ 416,501 The related party balance of $745,532 represented advances and professional expenses paid on behalf by Director, which consists of $504,297 advance from Dai Zheng, $42,000 advance from Li Zhuo, $10,000 from Che Kean Tat and $189,235 office rental advance from Liu Pijun through Zhiding Network Technology (Beijing) Co Limited (“ZNTB”). It is unsecured, interest-free with no fixed payment term and imputed interest is consider to be immaterial. As of December 31, 2021, the director fee payable of $360,000 represented the accrued of director fees from the appointment date to December 31, 2021. As of December 31, 2021, the related party loan is $nil (2020: $140,000) due to the forgiveness of related party loan from Global Joy Trip Ltd as a result of the Company has been dissolved in January 2021 and the related company has agreed to forgive the loan. |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended |
Dec. 31, 2021 | |
RELATED PARTY TRANSACTIONS | |
Related Party Transactions | NOTE 15 – RELATED PARTY TRANSACTIONS The following is the list of the related parties to which the Company has transactions with: (a) Beijing Zhidingwang Investment Management Limited Partnership (“BZIM”), the entity in which the Group’s CEO, Liu PiJun beneficially own 56% equity interest. (b) Zhiding Network Technology (Beijing) Co Limited (“ZNTB”), the entity in which the Group’s CEO, Liu Pijun beneficially own 77.98% equity interest and Group’s Director, Li Daxue beneficially own 3% equity interest. (c) Beijing Xingke Datong Technology Co Ltd (“BXDT”), the entity in which the supervisor of a subsidiary company, Deng Liangpeng beneficially own 80% equity interest. (d) Huoerguo Zhufeng Technology Co Ltd (“HZTC”), the entity in which the supervisor of a subsidiary company, Sun Tong beneficially own 46% equity interest. (e) Global Joy Trip (HK) Limited (“Global Joy HK”), the entity in which the Group’s Chairman, Daizheng and Group’s CEO, Liu Pijun are the director, the company has been dissolved in Jan 2021. Related parties transactions consisted of the following as of the dates indicated. Name of related party Nature of transaction For the year ended December 31, 2021 For the year ended December 31, 2020 BZIM No transaction during the year NA NA ZNTB Office rental paid on behalf of the Group $ 189,235 - BXDT System service fee $ 485,190 - HZTC System service fee $ 739,016 - |
ACCRUED EXPENSES
ACCRUED EXPENSES | 12 Months Ended |
Dec. 31, 2021 | |
ACCRUED EXPENSES | |
Accrued Expenses | NOTE 16 – ACCRUED EXPENSES Accrued expenses of $217,073 consists of the accrued payroll, CPF and social welfare as follow: December 31, 2021 December 31, 2020 Accrued payroll $ 217,073 $ 263,355 $ 217,073 $ 263,355 |
OTHER PAYABLES
OTHER PAYABLES | 12 Months Ended |
Dec. 31, 2021 | |
ACCOUNT PAYABLES- RELATED PARTIES | |
Other Payables | NOTE 17 – OTHER PAYABLES Other payables of $306,270 consists of the payables of securities account set up fee and related documentation expenses as follow: December 31, 2021 December 31, 2020 Security account set up fee-Staff $ 306,270 $ 90,632 306,270 90,632 |
EQUITY
EQUITY | 12 Months Ended |
Dec. 31, 2021 | |
Consolidated Statements of Operations and Comprehensive Income (Loss) | |
Equity | NOTE 18 – EQUITY The company has an unlimited number of shares of common stock authorized, and has issued 305,451,498 shares with par value as of December 31, 2021 and 2020. On March 29, 2019, the company has issued 100,000,000 shares with par value to thirty-three founders. On September 3, 2019, the company has issued a total 74,000 shares at $3 each to 5 non-US shareholders. The total outstanding shares has increased to 100,074,000 shares as at December 31, 2019. In February, 2020, there are 1,666,666 shares issued at $3 per share to 2 new shareholders. On July 10, 2020, the company has issued another 26,000 shares at $3 per share to 2 new shareholders and the total outstanding shares has increased to 101,766,666 shares. On September 15, 2020, the Wyoming Secretary of State approved the Company’s certificate of amendment to amend its Articles of Incorporation to effectuate a 3 for 1 forward stock split. The total issued and outstanding shares of the Company’s common stock has been increased from 101,766,666 to 305,299,998 shares, with the par value unchanged at zero. On September 21, 2020, there are 151,500 shares issued at $5 per share to 303 new shareholders, the Company’s common stock issued has been increased to 305,451,498 shares since December 31, 2020. |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2021 | |
INCOME TAXES | |
Income Taxes | NOTE 19 – INCOME TAXES The Company is subject to U.S. Federal tax laws. The Company has not recognized an income tax benefit for its operating losses in the United States because the Company does not expect to commence active operations in the United States. UTour Pte Ltd was incorporated in Singapore and is subject to Singapore profits tax at a tax rate of 17%. Since UTour Pte Ltd had no taxable income during the reporting period, it has not paid Singapore profits taxes. UTour has not recognized an income tax benefit for its operating losses in Singapore because the Company does not expect to commence active operations in Singapore. WeTrade Information Technology Limited (“WITL”) was incorporated in Hong Kong and is subject to Hong Kong profits tax at a tax rate of 16.5%. Since WITL had no taxable income during the reporting period, it has not paid Hong Kong profits taxes. WITL has not recognized an income tax benefit for its operating losses in Hong Kong because the Company does not expect to commence active operations in Hong Kong. The Company is currently conducting its major operations in the PRC through Yueshang Information Technology (Beijing) Co., Ltd., Wetrade Digital (Beijing ) Technology Co Limited, Yushang Group (Hunan) Network Technology Limited, Yueshang Technology Group( Hainan) Limited and Tibet Xiaoshang Technology Group Limited, which are in accordance with the relevant tax laws and regulations and the corporate income tax rate in China is ranged from 9% to 25%. As of December 31, 2021 and 2020, tax expenses was $1,122,283 and 1,162,556 respectively. Tax payables was $711,841 (2020: $828,695), which are consists of PRC corporate income tax at the rate ranged from 9% to 25%, Value-added Tax of 6% and PRC Urban construction tax and levies as follow: As of December 31, 2021 As of December 31, 2020 Corporate income tax $ 649,032 $ 709,197 VAT, Urban construction tax and levies 62,129 119,498 $ 711,841 $ 828,695 For the years ended December 31, 2021 and 2020, the local (United States) and foreign components of income before income taxes were comprised of the following: As of December 31, 2021 As of December 31, 2020 Tax jurisdictions from : Local $ (537,024 ) $ (162,293 ) Foreign, representing Singapore (111,942 ) (71,993 ) Hong Kong - - China 6,946,924 4,071,879 $ 6,297,958 $ 3,837,593 The provision for income taxes consisted of the following: As of December 31, 2021 As of December 31, 2020 Current : -Local $ - $ - -Foreign (China) 1,122,283 1,162,556 Deferred: -Local - - -Foreign (China) - - $ (1,122,283 ) $ (1,162,556 ) The effective tax rate in the periods presented is the result of the mix of income earned in various tax jurisdictions that apply a broad range of income tax rates. The Company has subsidiaries that operate in various countries: United States, Singapore, Hong Kong and China that are subject to taxes in the jurisdictions in which they operate, as follows: United States of America The Company is registered in the State of Wyoming and is subject to the tax laws of the United States of America and the tax rate is 21%. As of December 2021, the operations in the United States of America incurred $985,317 of cumulative net operating losses which can be carried forward to offset future taxable income. The net operating loss carryforwards begin to expire in 2041, if unutilized. Singapore UTour Pte Limited is subject to Singapore Profits Tax, which is charged at the statutory income rate of 17% on its assessable income. Hong Kong WeTrade Information Technology Limited is subject to Hong Kong Profits Tax, which is charged at the statutory income rate of 16.5% on its assessable income. People’s Republic of China Yueshang Group (Hunan) Network Technology Limited, Yueshang Technology Group (Hainan Special Zone) Limited, WeTrade Digital (Beijing) Technology Co Limited and Tibet Xiaoshang Technology Group Limited are operating in the People’s Republic of China (“PRC”) subject to the Corporate Income Tax governed by the Income Tax Law of the People’s Republic of China at the rate ranged from 9% to 25%. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2021 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Basis Of Preparation | Basis of Presentation The consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”). The consolidated financial statements include the financial statements of the Company and its subsidiaries. All significant inter-company transactions and balances have been eliminated in consolidation. As of December 31, 2021, the details of the consolidating subsidiaries are as follows: Name of Company Place of incorporation Attributable equity interest % Utour Pte Ltd Singapore 100 % WeTrade Information Technology Limited (“WITL”) Hong Kong 100 % Yueshang Information Technology (Beijing) Co., Ltd. (“YITB”) P.R.C. 100 % Yueshang Group Network (Hunan) Co., Limited (“Yueshang Hunan”) P.R.C 100 % Yueshang Technology Group (Hainan Special Economic Zone) Co. Limited (“Yueshang Hainan”) P.R.C 100 % Tibet XiaoShang Technology Co Limited (“Tibet Xiaoshang”) P.R.C 100 % |
Use Of Estimate | The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Management believes that the estimates used in preparing the financial statements are reasonable and prudent; however, actual results could differ from these estimates. Significant estimates include the allowance for doubtful accounts, useful lives of intangible asset, valuation of deferred tax assets, and certain accrued liabilities such as contingent liabilities. Fair Value The Company follows guidance for accounting for fair value measurements of financial assets and financial liabilities and for fair value measurements of nonfinancial items that are recognized or disclosed at fair value in the financial statements on a recurring basis. Additionally, the Company adopted guidance for fair value measurement related to nonfinancial items that are recognized and disclosed at fair value in the financial statements on a nonrecurring basis. The guidance establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to measurements involving significant unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are as follows: Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 3 inputs are unobservable inputs for the asset or liability. The carrying amounts of financial assets such as cash approximate their fair values because of the short maturity of these instruments. Concentrations of Credit Risk, Significant Customers The Company’s financial instruments that are exposed to concentrations of credit risk consist primarily of accounts receivable. The Company does not require collateral for accounts receivables. The Company maintains an allowance for its doubtful accounts receivable due to estimated credit losses. The Company records the allowance against bad debt expense through the consolidated statements of operations, included in general and administrative expense, up to the amount of revenues recognized to date. Receivables are written off and charged against the recorded allowance when the Company has exhausted collection efforts without success. As of December 31, 2021 and 2020, account receivables from third parties are amounted to $5,627,463 (2020: $2,609,520) and account receivables from related parties are amounted to $3,603,402 (2020: $nil). As of December 31, 2021, the total account receivables from two main customers are amounted to $9,230,865, which consists of amount due from third party customer of $5,627,463 and amount due from related party customer of $3,603,402. Revenue Recognition The Company follows the guidance of Accounting Standards Codification (ASC) 606, Revenue from Contracts |
Fair Value | The Company follows guidance for accounting for fair value measurements of financial assets and financial liabilities and for fair value measurements of nonfinancial items that are recognized or disclosed at fair value in the financial statements on a recurring basis. Additionally, the Company adopted guidance for fair value measurement related to nonfinancial items that are recognized and disclosed at fair value in the financial statements on a nonrecurring basis. The guidance establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to measurements involving significant unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are as follows: Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 3 inputs are unobservable inputs for the asset or liability. The carrying amounts of financial assets such as cash approximate their fair values because of the short maturity of these instruments. |
Revenue Recognition | The Company follows the guidance of Accounting Standards Codification (ASC) 606, Revenue from Contracts |
Cash Equivalents | The Company considers all highly liquid debt instruments purchased with a maturity period of three months or less to be cash or cash equivalents. The carrying amounts reported in the accompanying unaudited condensed consolidated balance sheets for cash and cash equivalents approximate their fair value. All of the Company’s cash that is held in bank accounts in Singapore and PRC is not protected by Federal Deposit Insurance Corporation (“FDIC”) insurance or any other similar insurance in the PRC, or Singapore. Foreign Currency The Company’s principal country of operations is the PRC. The accompanying consolidated financial statements are presented in US$. The functional currency of the Company is US$, and the functional currency of the Company’s subsidiaries is RMB. The consolidated financial statements are translated into US$ from RMB at year-end exchange rates as to assets and liabilities and average exchange rates as to revenues and expenses. Capital accounts are translated at their historical exchange rates when the capital transactions occurred. The resulting translation adjustments are recorded as a component of shareholders’ equity included in other comprehensive income. Gains and losses from foreign currency transactions are included in profit or loss. There were no gains and losses from foreign currency transactions from the inception to December 31, 2021. Year ended December 31, 2021 2020 RMB: US$ exchange rate 6.36 6.53 The balance sheet amounts, with the exception of equity, December 31, 2021 and December 31, 2020 were translated at 6.36 RMB and 6.53 RMB to $1.00, respectively. The equity accounts were stated at their historical rates. The average translation rates applied to statements of operations and comprehensive income accounts for the year ended December 31, 2021 and year ended December 31, 2020 were 6.44 RMB and 6.84 RMB to $1.00, respectively. Cash flows were also translated at average translation rates for the year and, therefore, amounts reported on the statement of cash flows would not necessarily agree with changes in the corresponding balances on the consolidated balance sheet. The transactions dominated in SGD are immaterial. |
Foreign Currency | The Company’s principal country of operations is the PRC. The accompanying consolidated financial statements are presented in US$. The functional currency of the Company is US$, and the functional currency of the Company’s subsidiaries is RMB. The consolidated financial statements are translated into US$ from RMB at year-end exchange rates as to assets and liabilities and average exchange rates as to revenues and expenses. Capital accounts are translated at their historical exchange rates when the capital transactions occurred. The resulting translation adjustments are recorded as a component of shareholders’ equity included in other comprehensive income. Gains and losses from foreign currency transactions are included in profit or loss. There were no gains and losses from foreign currency transactions from the inception to December 31, 2021. Year ended December 31, 2021 2020 RMB: US$ exchange rate 6.36 6.53 The balance sheet amounts, with the exception of equity, December 31, 2021 and December 31, 2020 were translated at 6.36 RMB and 6.53 RMB to $1.00, respectively. The equity accounts were stated at their historical rates. The average translation rates applied to statements of operations and comprehensive income accounts for the year ended December 31, 2021 and year ended December 31, 2020 were 6.44 RMB and 6.84 RMB to $1.00, respectively. Cash flows were also translated at average translation rates for the year and, therefore, amounts reported on the statement of cash flows would not necessarily agree with changes in the corresponding balances on the consolidated balance sheet. The transactions dominated in SGD are immaterial. |
Intangible Asset | Intangible asset is software development cost of YCloud system incurred by the Company, it will be amortized on a straight line basis over the estimated useful life of 5 years. Commitments and contingencies On September 16, 2020 the Company entered into lease agreement for a new office space in Beijing. The term of the lease is for a (5) Five Years with first 4 months free on the 1st year of the term and 1st month free of each following years of the term. The monthly rent on the 1st year will be approximately of $63,000 with a 6% increase for each subsequent year. Total commitment for the full term of the lease will be $3,516,627. Internal Use Software Development We account for costs incurred to develop or purchase computer software for internal use in accordance with Accounting Standards Codification (“ASC”) 350-40 "Internal-Use Software" or ASC 350-50 "Website Costs". As required by ASC 350-40, we capitalize the costs incurred during the application development stage, which include costs to design the software configuration and interfaces, coding, installation, and testing. Costs incurred during the preliminary project stage along with post-implementation stages of internal use computer software are expensed as incurred. Capitalized development costs are amortized on a straight-line basis over a period of five years. Costs incurred to maintain existing product offerings are expensed as incurred. The capitalization and ongoing assessment of recoverability of development costs requires considerable judgment by management with respect to certain external factors, including, but not limited to, technological and economic feasibility, and estimated economic life. Leases The Company has operating leases for corporate offices under a non-cancellable operating lease with expiration date. The leases have non-cancellable remaining terms of 3 years. |
Income Tax | Income taxes are determined in accordance with the provisions of ASC Topic 740, “Income Taxes” (“ASC Topic 740”). Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using enacted income tax rates expected to apply to taxable income in the periods in which those temporary differences are expected to be recovered or settled. Any effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. ASC 740 prescribes a comprehensive model for how companies should recognize, measure, present, and disclose in their financial statements uncertain tax positions taken or expected to be taken on a tax return. Under ASC 740, tax positions must initially be recognized in the financial statements when it is more likely than not the position will be sustained upon examination by the tax authorities. Such tax positions must initially and subsequently be measured as the largest amount of tax benefit that has a greater than 50% likelihood of being realized upon ultimate settlement with the tax authority assuming full knowledge of the position and relevant facts. The Company has a subsidiary in Singapore and PRC. The Company is subject to tax in Singapore and PRC jurisdictions. As a result of its future business activities, the Company will be required to file tax returns that are subject to examination by the Inland Revenue Authority of Singapore and Tax Department of PRC. |
Leases | The Company has operating leases for corporate offices under a non-cancellable operating lease with expiration date. The leases have non-cancellable remaining terms of 3 years. ASU 2016-02 requires that public companies use a secured incremental browning rate for the present value of lease payments when the rate implicit in the contract is not readily determinable. We determine a secured rate on a quarterly basis and update the weighted average discount rate accordingly. Lease terms and discount rate follow: Lease cost In USD Operating lease cost (included in general and admin in company’s statement of operations) $ 694,533 Other information Cash paid for amounts included in the measurement of lease liabilities for the quarter ended 12/31/2021 719,272 Weighted average remaining lease term-operating leases (in years) 3.67 Average discount rate - operating leases 5 % The supplemental balance sheet information related to leases for the period is as follows: Operating leases Long -term right-of-use assets 2,328,950 Total right-of-use assets $ 2,328,950 Short-term operating lease liabilities 596,098 Long-term operating lease liabilities 1,942,242 Total operating lease liabilities $ 2,538,340 Maturities of the Company’s lease liabilities are as follows: Year ending December 31, 2022 709,336 2023 753,074 2024 798,895 2025 526,944 Total lease payments $ 2,788,249 Less: Imputed interest/present value discount (249,909 ) Present value of lease liabilities $ 2,538,340 |
Profit Per Share | Basic net income per share of common stock attributable to common stockholders is calculated by dividing net income attributable to common stockholders by the weighted-average shares of common stock outstanding for the period. Potentially dilutive shares, which are based on the weighted-average shares of common stock underlying outstanding stock-based awards, warrants, options, or convertible debt using the treasury stock method or the if-converted method, as applicable, are included when calculating diluted net income per share of common stock attributable to common stockholders when their effect is dilutive. Potential dilutive securities are excluded from the calculation of diluted EPS in loss periods as their effect would be anti-dilutive. As of December 31, 2021 and 2020, there were no potentially dilutive shares. 2021 2020 Statement of Operations Summary Information: Net Profit $ 5,175,675 $ 2,675,037 Weighted-average common shares outstanding - basic and diluted 305,451,498 304,166,073 Net profit per share, basic and diluted $ 0.02 $ 0.01 |
Capital Structure | The Company currently has unlimited authorized shares of $0.00 par value common stock, with 305,451,498 shares issued and outstanding as of December 31, 2021 and 2020. Earnings per share Basic net income per share of common stock attributable to common stockholders is calculated by dividing net income attributable to common stockholders by the weighted-average shares of common stock outstanding for the period. Potentially dilutive shares, which are based on the weighted-average shares of common stock underlying outstanding stock-based awards, warrants, options, or convertible debt using the treasury stock method or the if-converted method, as applicable, are included when calculating diluted net income per share of common stock attributable to common stockholders when their effect is dilutive. Potential dilutive securities are excluded from the calculation of diluted EPS in loss periods as their effect would be anti-dilutive. As of December 31, 2021 and 2020, there were no potentially dilutive shares. 2021 2020 Statement of Operations Summary Information: Net Profit $ 5,175,675 $ 2,675,037 Weighted-average common shares outstanding - basic and diluted 305,451,498 304,166,073 Net profit per share, basic and diluted $ 0.02 $ 0.01 |
Commitments And Contingencies | On September 16, 2020 the Company entered into lease agreement for a new office space in Beijing. The term of the lease is for a (5) Five Years with first 4 months free on the 1st year of the term and 1st month free of each following years of the term. The monthly rent on the 1st year will be approximately of $63,000 with a 6% increase for each subsequent year. Total commitment for the full term of the lease will be $3,516,627. Internal Use Software Development We account for costs incurred to develop or purchase computer software for internal use in accordance with Accounting Standards Codification (“ASC”) 350-40 "Internal-Use Software" or ASC 350-50 "Website Costs". As required by ASC 350-40, we capitalize the costs incurred during the application development stage, which include costs to design the software configuration and interfaces, coding, installation, and testing. Costs incurred during the preliminary project stage along with post-implementation stages of internal use computer software are expensed as incurred. Capitalized development costs are amortized on a straight-line basis over a period of five years. Costs incurred to maintain existing product offerings are expensed as incurred. The capitalization and ongoing assessment of recoverability of development costs requires considerable judgment by management with respect to certain external factors, including, but not limited to, technological and economic feasibility, and estimated economic life. Leases The Company has operating leases for corporate offices under a non-cancellable operating lease with expiration date. The leases have non-cancellable remaining terms of 3 years. |
Concentration Of Credit Risk, Significant Customers | The Company’s financial instruments that are exposed to concentrations of credit risk consist primarily of accounts receivable. The Company does not require collateral for accounts receivables. The Company maintains an allowance for its doubtful accounts receivable due to estimated credit losses. The Company records the allowance against bad debt expense through the consolidated statements of operations, included in general and administrative expense, up to the amount of revenues recognized to date. Receivables are written off and charged against the recorded allowance when the Company has exhausted collection efforts without success. As of December 31, 2021 and 2020, account receivables from third parties are amounted to $5,627,463 (2020: $2,609,520) and account receivables from related parties are amounted to $3,603,402 (2020: $nil). As of December 31, 2021, the total account receivables from two main customers are amounted to $9,230,865, which consists of amount due from third party customer of $5,627,463 and amount due from related party customer of $3,603,402. |
Internal Used Software Development | We account for costs incurred to develop or purchase computer software for internal use in accordance with Accounting Standards Codification (“ASC”) 350-40 "Internal-Use Software" or ASC 350-50 "Website Costs". As required by ASC 350-40, we capitalize the costs incurred during the application development stage, which include costs to design the software configuration and interfaces, coding, installation, and testing. Costs incurred during the preliminary project stage along with post-implementation stages of internal use computer software are expensed as incurred. Capitalized development costs are amortized on a straight-line basis over a period of five years. Costs incurred to maintain existing product offerings are expensed as incurred. The capitalization and ongoing assessment of recoverability of development costs requires considerable judgment by management with respect to certain external factors, including, but not limited to, technological and economic feasibility, and estimated economic life. |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Schedule Of Potentially Diluted Shares | 2021 2020 Statement of Operations Summary Information: Net Profit $ 5,175,675 $ 2,675,037 Weighted-average common shares outstanding - basic and diluted 305,451,498 304,166,073 Net profit per share, basic and diluted $ 0.02 $ 0.01 |
Schedule Of Exchange Rate | Year ended December 31, 2021 2020 RMB: US$ exchange rate 6.36 6.53 |
Schedule Of Consolidated Subsidiaries | Name of Company Place of incorporation Attributable equity interest % Utour Pte Ltd Singapore 100 % WeTrade Information Technology Limited (“WITL”) Hong Kong 100 % Yueshang Information Technology (Beijing) Co., Ltd. (“YITB”) P.R.C. 100 % Yueshang Group Network (Hunan) Co., Limited (“Yueshang Hunan”) P.R.C 100 % Yueshang Technology Group (Hainan Special Economic Zone) Co. Limited (“Yueshang Hainan”) P.R.C 100 % Tibet XiaoShang Technology Co Limited (“Tibet Xiaoshang”) P.R.C 100 % |
Schedule Lease Terms And Discount Rate | Lease cost In USD Operating lease cost (included in general and admin in company’s statement of operations) $ 694,533 Other information Cash paid for amounts included in the measurement of lease liabilities for the quarter ended 12/31/2021 719,272 Weighted average remaining lease term-operating leases (in years) 3.67 Average discount rate - operating leases 5 % The supplemental balance sheet information related to leases for the period is as follows: Operating leases Long -term right-of-use assets 2,328,950 Total right-of-use assets $ 2,328,950 Short-term operating lease liabilities 596,098 Long-term operating lease liabilities 1,942,242 Total operating lease liabilities $ 2,538,340 Maturities of the Company’s lease liabilities are as follows: Year ending December 31, 2022 709,336 2023 753,074 2024 798,895 2025 526,944 Total lease payments $ 2,788,249 Less: Imputed interest/present value discount (249,909 ) Present value of lease liabilities $ 2,538,340 |
REVENUE (Tables)
REVENUE (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
REVENUE (Tables) | |
Gross Merchandise Valume | Gross Merchandise Volume (“GMV”) 2021 2020 US$ US$ Non-related party 292,177,817 10,437,687 Related party 139,359,179 153,038,677 Total: 431,536,996 163,476,364 |
CASH (Tables)
CASH (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
CASH (Tables) | |
Schedule Of Cash In Bank | December 31, 2021 December 31, 2020 Bank Deposits-China $ 303,065 4,593,943 Bank Deposits-Singapore 313,528 46,660 616,593 4,640,603 |
INTANGIBLE ASSET (Tables)
INTANGIBLE ASSET (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
INTANGIBLE ASSET | |
Schedule Of Intangible Assets | December 31, 2021 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Weighted Average Useful Life (Years) Intangible assets: Software development $ 57,143 $ (25,176 ) $ 31,967 5 Foreign currency translation adjustment - - 5,798 Intangible assets, net $ 57,143 $ (25,176 ) $ 37,765 Amortization expense for intangible assets was $12,519 for the year ended December 31, 2021. Expected future intangible asset amortization as of December 31, 2021 was as follows: Fiscal years: Remaining 2022 $ 25,176 2023 12,588 |
PROPERTY AND EQUIPMENT (Tables)
PROPERTY AND EQUIPMENT (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
PROPERTY AND EQUIPMENT | |
Schedule Of Property And Equipment | December 31, 2021 Gross Carrying Amount Accumulated Depreciation Net Carrying Amount Weighted Average Useful Life (Years) Property and equipment: Office equipment $ 150,915 $ (23,353 ) $ 127,562 3 Leasehold improvement 267,791 - 267,791 5 Property and equipment, net $ 418,706 $ (23,353 ) $ 395,353 |
ACCOUNT RECEIVABLES (Tables)
ACCOUNT RECEIVABLES (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
ACCOUNT RECEIVABLES | |
Schedule Of Account Receivable | December 31, 2021 December 31, 2020 Account receivables $ 5,627,463 $ 2,609,520 Account receivables- Related parties 3,603,402 - $ 9,230,865 $ 2,609,520 |
NOTE RECEIVABLES (Tables)
NOTE RECEIVABLES (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
NOTE RECEIVABLES | |
Schedule Of Note Receivables | December 31, 2021 December 31, 2020 Note receivables $ 3,798,130 $ 3,097,981 |
Schedule Of Accrued Interest And Principal Amount | December 31, 2021 December 31, 2020 Principal $ 3,630,504 $ 3,064,336 Accrued interest 167,626 33,645 $ 3,798,130 $ 3,097,981 |
OTHER RECEIVABLES (Tables)
OTHER RECEIVABLES (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
OTHER RECEIVABLE | |
Schedule Of Other Receivables | December 31, 2021 December 31, 2020 Prepaid trademark and system set up fee - 3,318 Advances to staff 19,302 - Others 10,845 2,453 30,147 5,771 |
PREPAYMENTS (Tables)
PREPAYMENTS (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
PREPAYMENTS | |
Schedule Of Prepayments | December 31, 2021 December 31, 2020 Office furniture and renovation $ 1,895,591 $ - Office Rental 173,611 - Block chain software and annual fee 630,291 - Software licenses fee 61,165 61,707 $ 2,760,658 $ 61,707 |
ACCOUNT PAYABLES- RELATED PAR_2
ACCOUNT PAYABLES- RELATED PARTIES (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
ACCOUNT PAYABLES- RELATED PARTIES | |
Schedule Of Accounts Payable - Related Parties | As of December 31, 2021 As of December 31, 2020 Account payable- related party $ 54,436 $ - $ 54,436 $ - |
AMOUNT DUE TO RELATED PARTIES (
AMOUNT DUE TO RELATED PARTIES (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
AMOUNT DUE TO RELATED PARTIES | |
Schedule Of Due To Related Parties | As of December 31, 2021 As of December 31, 2020 Related parties payable $ 745,532 $ 276,501 Related party loan - 140,000 Director fee payable 360,000 - $ 1,105,532 $ 416,501 |
RELATED PARTY TRANSACTIONS (Tab
RELATED PARTY TRANSACTIONS (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
RELATED PARTY TRANSACTIONS | |
Schedule Of Related Party Transactions | Name of related party Nature of transaction For the year ended December 31, 2021 For the year ended December 31, 2020 BZIM No transaction during the year NA NA ZNTB Office rental paid on behalf of the Group $ 189,235 - BXDT System service fee $ 485,190 - HZTC System service fee $ 739,016 - |
ACCRUED EXPENSES (Tables)
ACCRUED EXPENSES (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
ACCRUED EXPENSES | |
Schedule Of Accrued Expenses | December 31, 2021 December 31, 2020 Accrued payroll $ 217,073 $ 263,355 $ 217,073 $ 263,355 |
OTHER PAYABLES (Tables)
OTHER PAYABLES (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
CASH (Tables) | |
Other Payable | December 31, 2021 December 31, 2020 Security account set up fee-Staff $ 306,270 $ 90,632 306,270 90,632 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
CASH (Tables) | |
Schedule Of Corporate Income Tax | As of December 31, 2021 As of December 31, 2020 Corporate income tax $ 649,032 $ 709,197 VAT, Urban construction tax and levies 62,129 119,498 $ 711,841 $ 828,695 |
Schedule Of Income Before Income Tax, Domestic And Foreign | As of December 31, 2021 As of December 31, 2020 Tax jurisdictions from : Local $ (537,024 ) $ (162,293 ) Foreign, representing Singapore (111,942 ) (71,993 ) Hong Kong - - China 6,946,924 4,071,879 $ 6,297,958 $ 3,837,593 |
Schedule Of Provision For Income Taxes | As of December 31, 2021 As of December 31, 2020 Current : -Local $ - $ - -Foreign (China) 1,122,283 1,162,556 Deferred: -Local - - -Foreign (China) - - $ (1,122,283 ) $ (1,162,556 ) |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) | 12 Months Ended |
Dec. 31, 2021 | |
Yueshang Information Technology (Beijing) Co., Ltd. ("YITB") [Member] | |
Attributable Equity Interest | 100.00% |
Place Of Incorporation | P.R.C. |
Utour Pte Ltd [Member] | |
Attributable Equity Interest | 100.00% |
Place Of Incorporation | Singapore |
WeTrade Information Technology Limited [Member] | |
Attributable Equity Interest | 100.00% |
Place Of Incorporation | Hong Kong |
Tibet XiaoShang Technology Co Limited (Tibet Xiaoshang) [Member] | |
Attributable Equity Interest | 100.00% |
Place Of Incorporation | P.R.C |
Yueshang Group Network (Hunan) Co., Limited ("Yueshang Hunan") [Member] | |
Attributable Equity Interest | 100.00% |
Place Of Incorporation | P.R.C |
Yueshang Technology Group (Hainan Special Economic Zone) Co. Limited ("Yueshang Hainan") [Member] | |
Attributable Equity Interest | 100.00% |
Place Of Incorporation | P.R.C |
SUMMARY OF SIGNIFICANT ACCOUN_5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 1) | Dec. 31, 2021 | Dec. 31, 2020 |
RMB [Member] | ||
Exchange Rate | 6.36 | 6.53 |
SUMMARY OF SIGNIFICANT ACCOUN_6
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 2) | 12 Months Ended |
Dec. 31, 2021USD ($) | |
Lease Cost | |
Operating Lease Cost (included In General And Admin In Company's Statement Of Operations) | $ 694,533 |
Other Information : | |
Cash Paid For Amounts Included In The Measurement Of Lease Liabilities For The Quarter Ended 9/30/2020 | $ 719,272 |
Weighted Average Remaining Lease Term-operating Leases (in Years) | 3 years 8 months 1 day |
Operating Leases | |
Average Discount Rate - Operating Leases | 5.00% |
Long -term Right-of-use Assets | $ 2,328,950 |
Total Right-of-use Assets | 2,328,950 |
Short-term Operating Lease Liabilities | 596,098 |
Long-term Operating Lease Liabilities | 1,942,242 |
Total Operating Lease Liabilities | 2,538,340 |
Maturities Of The Company's Lease Liabilities Are As Follows: | |
2022 | 709,336 |
2023 | 753,074 |
2024 | 798,895 |
2025 | 526,944 |
Total Lease Payments | 2,788,249 |
Less: Imputed Interest/present Value Discount | (249,909) |
Present Value Of Lease Liabilities | $ 2,538,340 |
SUMMARY OF SIGNIFICANT ACCOUN_7
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 3) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Statement Of Operations Summary Information: | ||
Net Income/ (loss) | $ 5,175,675 | $ 2,675,037 |
Weighted-average Common Shares Outstanding - Basic And Diluted | 305,451,498 | 304,166,073 |
Net Profit Per Share, Basic And Diluted | $ 0.02 | $ 0.01 |
SUMMARY OF SIGNIFICANT ACCOUN_8
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) | 1 Months Ended | 12 Months Ended | |
Sep. 16, 2020USD ($) | Dec. 31, 2021USD ($)$ / sharesshares | Dec. 31, 2020USD ($)$ / sharesshares | |
Common Stock Shares Outstanding | shares | 305,451,498 | 305,451,498 | |
Amount Due From Related Party | $ 3,603,402 | $ 0 | |
Amount Due From Third Party | $ 5,627,463 | ||
Common Stock Shares Issued | shares | 305,451,498 | 305,451,498 | |
Receivables From Related Party | $ 3,603,402 | $ 0 | |
Common Stock Value | $ / shares | $ 0 | $ 0 | |
Monthly Rent | $ 63,000 | ||
Lease Expense | $ 3,516,627 | ||
Tax Benefit Rate | 50.00% | ||
Remaining Terms | 3 years | ||
Sotware developments [Member] | |||
Intangible Assets, Estimated Useful Lives | 5 years | ||
Intangible Assets, Amortization Method | straight line basis | ||
RMB [Member] | |||
Exchange Rate | 6.36 | 6.53 | |
Average Exchange Rate | 6.44 | 6.84 | |
Two Main Customers [Member] | |||
Accounts Receivable From Customers | $ 9,230,865 | ||
Third Party Customers [Member] | |||
Account Receivables | $ 5,627,463 | $ 2,609,520 |
REVENUE (Details)
REVENUE (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
REVENUE (Details) | ||
Non-related Party | $ 292,177,817 | $ 10,437,687 |
Related Party | 139,359,179 | 153,038,677 |
Total | $ 431,536,996 | $ 163,476,364 |
REVENUE (Details Narrative)
REVENUE (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
REVENUE (Details) | ||
System Services Fees From Related Party, Description | We receive 2%-3.5% of the total Gross Merchandise Volume generated in the platform as a system service fee from YCloud users through service agreement with our customers (such as Weijiafu and Changtongfu), depending on the type of service and industry. | |
Service Revenue, Non-related Party | $ 9,734,966 | $ 3,440,312 |
Service Revenue From Ycloud Service | 14,381,295 | 6,271,564 |
Service Revenue, Related Party | $ 4,646,329 | $ 2,831,252 |
CASH (Details)
CASH (Details) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Bank Deposits | $ 616,593 | $ 4,640,603 | $ 6,591,128 |
China [Member] | |||
Bank Deposits | 303,065 | 4,593,943 | |
Singapore [Member] | |||
Bank Deposits | $ 313,528 | $ 46,660 |
CASH (Details Narrative)
CASH (Details Narrative) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
CASH (Details Narrative) | |||
Bank Deposits | $ 616,593 | $ 4,640,603 | $ 6,591,128 |
INTANGIBLE ASSET (Details)
INTANGIBLE ASSET (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Intangible Assets, Gross Carrying Amount | $ 57,143 | |
Intangible Assets, Accumulated Amortization | (25,176) | |
Intangible Assets, Net Carrying Amount | 37,765 | $ 49,029 |
Sotware developments [Member] | ||
Intangible Assets, Gross Carrying Amount | 57,143 | |
Intangible Assets, Accumulated Amortization | (25,176) | |
Intangible Assets, Net Carrying Amount | $ 31,967 | |
Intangible Assets, Weighted Average Useful Lives | 5 years | |
Foreign Currency Translation Adjustment [Member] | ||
Intangible Assets, Net Carrying Amount | $ 5,798 |
INTANGIBLE ASSET (Details 1)
INTANGIBLE ASSET (Details 1) | Dec. 31, 2021USD ($) |
Fiscal Years: | |
Remaining 2022 | $ 25,176 |
2023 | $ 12,588 |
INTANGIBLE ASSET (Details Narra
INTANGIBLE ASSET (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
INTANGIBLE ASSET (Details) | ||
Intangible Assets, Amortization Expense | $ (12,519) | $ (11,696) |
PROPERTY AND EQUIPMENT (Details
PROPERTY AND EQUIPMENT (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Property And Equipment, Gross Carrying Amount, Gross Carrying Amount | $ 418,706 | |
Property And Equipment, Accumulated Depreciation | (23,353) | |
Property And Equipment, Net Carrying Amount | 395,353 | $ 0 |
Office Equipment [Member] | ||
Property And Equipment, Gross Carrying Amount, Gross Carrying Amount | 150,915 | |
Property And Equipment, Accumulated Depreciation | (23,353) | |
Property And Equipment, Net Carrying Amount | $ 127,562 | |
Property And Equipment, Weighted Average Useful Lives | 3 years | |
Leasehold Improvement [Member] | ||
Property And Equipment, Gross Carrying Amount, Gross Carrying Amount | $ 267,791 | |
Property And Equipment, Accumulated Depreciation | 0 | |
Property And Equipment, Net Carrying Amount | $ 267,791 | |
Property And Equipment, Weighted Average Useful Lives | 5 years |
PROPERTY AND EQUIPMENT (Detai_2
PROPERTY AND EQUIPMENT (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
PROPERTY AND EQUIPMENT | ||
Depreciation Expenses | $ 23,353 | $ 0 |
ACCOUNT RECEIVABLES (Details)
ACCOUNT RECEIVABLES (Details) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Accounts Receivable | $ 9,230,865 | $ 2,609,520 |
Services fee receivable- related party [Member] | ||
Accounts Receivable | 3,603,402 | 0 |
Services fee receivable [Member] | ||
Accounts Receivable | $ 5,627,463 | $ 2,609,520 |
ACCOUNT RECEIVABLES (Details Na
ACCOUNT RECEIVABLES (Details Narrative) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
ACCOUNT RECEIVABLES | ||
Accounts Receivable | $ 9,230,865 | $ 2,609,520 |
Total Accounts Receivable | 100.00% | 100.00% |
NOTE RECEIVABLES (Details)
NOTE RECEIVABLES (Details) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Accounts Receivable [Member] | ||
Note Receivables | $ 3,798,130 | $ 3,097,981 |
NOTE RECEIVABLES (Details 1)
NOTE RECEIVABLES (Details 1) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
ACCOUNT RECEIVABLES | ||
Principal | $ 3,630,504 | $ 3,064,336 |
Accrued Interest | 167,626 | 33,645 |
Total | $ 3,798,130 | $ 3,097,981 |
NOTE RECEIVABLES (Details Narra
NOTE RECEIVABLES (Details Narrative) | 12 Months Ended |
Dec. 31, 2021USD ($) | |
PREPAYMENTS | |
Note Receivable From Related Party | $ 3,798,130 |
Annual Interest Percentage | 5.00% |
Maturity Date | November 4, 2022 |
Accrued Interest For The Loan | $ 167,626 |
OTHER RECEIVABLES (Details)
OTHER RECEIVABLES (Details) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
OTHER RECEIVABLE | ||
Prepaid Trademark And System Set Up Fee | $ 0 | $ 3,318 |
Staff Reserve Fund And Others | 19,302 | 0 |
Other | 10,845 | 2,453 |
Other Receivables | $ 30,147 | $ 5,771 |
PREPAYMENTS (Details)
PREPAYMENTS (Details) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Prepayments | $ 2,760,658 | $ 61,707 |
Office furniture [Member] | ||
Prepayments | 1,895,591 | 0 |
Office Rental [Member] | ||
Prepayments | 173,611 | 0 |
Block chain software and annual fee [Member] | ||
Prepayments | 630,291 | 0 |
Software licenses fee and others [Member] | ||
Prepayments | $ 61,165 | $ 61,707 |
PREPAYMENTS (Details Narrative)
PREPAYMENTS (Details Narrative) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Office furniture [Member] | ||
Prepayments | $ 1,895,591 | $ 0 |
Office furniture [Member] | April 2022 [Member] | ||
Prepayments | 1,900,000 | |
Block chain software and annual fee [Member] | ||
Prepayments | $ 630,291 | $ 0 |
RENTAL DEPOSIT (Details Narrati
RENTAL DEPOSIT (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Rental Deposit | $ 272,063 | $ 264,910 |
Tenancy Period | 5 years |
ACCOUNT PAYABLES- RELATED PAR_3
ACCOUNT PAYABLES- RELATED PARTIES (Details) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
ACCOUNT PAYABLES- RELATED PARTIES | ||
Account Payable- Related Party | $ 54,436 | $ 0 |
Total Account Payable- Related Party | $ 54,436 | $ 0 |
ACCOUNT PAYABLES- RELATED PAR_4
ACCOUNT PAYABLES- RELATED PARTIES (Details Narrative) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Account Payable- Related Party | $ 54,436 | $ 0 |
Background System Management Service and Basic Application Training Fees [Member] | ||
Account Payable- Related Party | $ 54,436 |
AMOUNT DUE TO RELATED PARTIES_2
AMOUNT DUE TO RELATED PARTIES (Details) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
AMOUNT DUE TO RELATED PARTIES | ||
Related Parties Payable | $ 745,532 | $ 276,501 |
Related Party Loan | 0 | 140,000 |
Director Fee Payable | 360,000 | 0 |
Amount Due To Related Parties | $ 1,105,532 | $ 416,501 |
AMOUNT DUE TO RELATED PARTIES_3
AMOUNT DUE TO RELATED PARTIES (Details Narrative) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Amount Due To Related Parties | $ 745,532 | |
Related Party Loan | 0 | $ 140,000 |
Related Party Payable | 745,532 | $ 276,501 |
Director [Member] | ||
Related Party Payable | 360,000 | |
Li Zhuo [Member] | ||
Related Party Payable | 42,000 | |
Dai Zheng [Member] | ||
Related Party Loan | 504,297 | |
Liu Pijun [Member] | ||
Related Party Payable | 189,235 | |
Che Kean Tat [Member] | ||
Related Party Payable | $ 10,000 |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
ZNTB [Member] | ||
Office Rental Paid On Behalf Of The Group | $ 189,235 | $ 0 |
BXDT [Member] | ||
System Service Fees | 485,190 | 0 |
HZTC [Member] | ||
System Service Fees | $ 739,016 | $ 0 |
RELATED PARTY TRANSACTIONS (D_2
RELATED PARTY TRANSACTIONS (Details Narrative) | 12 Months Ended |
Dec. 31, 2021 | |
ZNTB [Member] | |
Equity Interest | 77.98% |
BXDT [Member] | |
Equity Interest | 80.00% |
HZTC [Member] | |
Equity Interest | 46.00% |
BZIM [Member] | |
Equity Interest | 56.00% |
ACCRUED EXPENSES (Details)
ACCRUED EXPENSES (Details) - Accrued Payroll [Member] - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Accrued Payroll | $ 217,073 | $ 263,355 |
Accrued Expenses | $ 217,073 | $ 263,355 |
ACCRUED EXPENSES (Details Narra
ACCRUED EXPENSES (Details Narrative) - USD ($) | Dec. 31, 2021 | Dec. 30, 2021 | Dec. 31, 2020 |
ACCRUED EXPENSES | |||
Accrued Expenses | $ 217,073 | $ 217,073 | $ 263,355 |
OTHER PAYABLES (Details)
OTHER PAYABLES (Details) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
ACCOUNT PAYABLES- RELATED PARTIES | ||
Security Account Set Up Fee-staff | $ 306,270 | $ 90,632 |
Other Payables | $ 306,270 | $ 90,632 |
OTHER PAYABLES (Details Narrati
OTHER PAYABLES (Details Narrative) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
ACCOUNT PAYABLES- RELATED PARTIES | ||
Other Payables | $ 306,270 | $ 90,632 |
EQUITY (Details Narrative)
EQUITY (Details Narrative) | Jul. 10, 2020integer$ / sharesshares | Sep. 03, 2019$ / sharesshares | Sep. 21, 2020integer$ / sharesshares | Sep. 15, 2020shares | Feb. 29, 2020integer$ / sharesshares | Mar. 29, 2019integer$ / sharesshares | Dec. 31, 2021$ / sharesshares | Dec. 31, 2020$ / sharesshares | Dec. 31, 2019shares |
Common Stock, Shares Issued | 5,229,498 | ||||||||
Minimum [Member] | |||||||||
Increase In Common Stock Outstanding | 101,766,666 | ||||||||
Maximum [Member] | Certificate Of Amendment [Member] | |||||||||
Increase In Common Stock Outstanding | 305,299,998 | ||||||||
Stock Split, Description | 3 for 1 forward stock split | ||||||||
Shareholders [Member] | |||||||||
Common Stock, Shares Issued | 26,000 | 151,500 | 1,666,666 | 305,451,498 | 305,451,498 | 100,074,000 | |||
Number Of Shareholder | integer | 2 | 303 | 2 | ||||||
Per Share Value | $ / shares | $ 3 | $ 5 | $ 3 | ||||||
Increase In Common Stock Outstanding | 101,766,666 | ||||||||
Founders [Member] | |||||||||
Common Stock No Par Value | $ / shares | $ 0 | $ 0 | $ 0 | ||||||
Common Stock, Shares Issued | 100,000,000 | ||||||||
Number Of Founders | integer | 33 | ||||||||
5 non-US shareholders [Member] | |||||||||
Common Stock, Shares Issued | 74,000 | ||||||||
Per Share Value | $ / shares | $ 3 |
INCOME TAXES (Details)
INCOME TAXES (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Operating Expenses: | ||
Corporate Income Tax | $ 649,032 | $ 709,197 |
Vat, Urban Construction Tax And Levies | 62,129 | 119,498 |
Income Tax, Total | $ 711,841 | $ 828,695 |
INCOME TAXES (Details 1)
INCOME TAXES (Details 1) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Local | $ (537,024) | $ (162,293) |
Foreign | 6,297,958 | 3,837,593 |
China [Member] | ||
Foreign | 6,946,924 | 4,071,879 |
Singapore [Member] | ||
Foreign | (111,942) | (71,993) |
Hong Kong [Member] | ||
Foreign | $ 0 | $ 0 |
INCOME TAXES (Details 2)
INCOME TAXES (Details 2) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Current : | ||
Local | $ 0 | $ 0 |
Foreign (china) | 1,122,283 | 1,162,556 |
Deferred: | ||
Local | 0 | 0 |
Foreign (china) | 0 | 0 |
Income Tax Expense | $ (1,122,283) | $ (1,162,556) |
INCOME TAXES (Details Narrative
INCOME TAXES (Details Narrative ) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Income Tax Expense | $ 1,122,283 | $ 1,162,556 |
Value-added Tax, Percentage | 6.00% | |
Tax Paybale | $ 711,841 | $ 828,695 |
Singapore [Member] | ||
Income Tax Rate | 17.00% | |
Hong Kong [Member] | ||
Income Tax Rate | 16.50% | |
China [Member] | Minimum [Member] | ||
Income Tax Rate | 9.00% | |
China [Member] | Maximum [Member] | ||
Income Tax Rate | 25.00% | |
United States of America [Member] | ||
Income Tax Rate | 21.00% | |
Net Operating Loss Carryforwards | $ 985,317 | |
Net Operating Loss Carryforwards Begin | 2041 |