Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2020 | Jul. 20, 2021 | Jun. 30, 2020 | |
Document Information Line Items | |||
Entity Registrant Name | Wave Sync Corp. | ||
Document Type | 10-K | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Common Stock, Shares Outstanding | 31,527,713 | ||
Entity Public Float | $ 13,091,534 | ||
Amendment Flag | false | ||
Entity Central Index Key | 0000860131 | ||
Entity Current Reporting Status | No | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Well-known Seasoned Issuer | No | ||
Document Period End Date | Dec. 31, 2020 | ||
Document Fiscal Year Focus | 2021 | ||
Document Fiscal Period Focus | FY | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | true | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Entity File Number | 001-34113 | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Interactive Data Current | No |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2020 | Dec. 31, 2019 |
Current assets | ||
Cash and cash equivalents | $ 3 | $ 16 |
Other receivable | ||
Advance to suppliers | ||
Prepaid expenses | ||
Prepaid taxes | ||
Due from related parties | ||
Total Current Assets | 3 | 16 |
Non-current assets | ||
Property and Equipment, net | ||
Intangible assets, net | ||
Deferred Tax Assets | ||
Total Assets | 3 | 16 |
Current liabilities | ||
Accounts payable | ||
Other payables | ||
Accrued expenses | 71,044 | 32,006 |
Due to related party | ||
Taxes payable | 800 | 400 |
Total Current Liabilities | 71,844 | 32,406 |
Provision of other liabilities | ||
Deferred tax liabilities | ||
Total Liabilities | 71,844 | 32,406 |
Commitment and contingencies | ||
Shareholders’ equity | ||
Common Stock ($0.001 par value, 100,000,000 shares authorized, 21,027,713 and 21,027,713 shares issued and outstanding at December 31, 2020 and December 31, 2019, respectively) | 21,027 | 21,027 |
Additional paid in capital | 27,297,495 | 27,297,495 |
Accumulated deficits | (27,131,839) | (27,092,388) |
Accumulated other comprehensive loss | (258,524) | (258,524) |
Total Shareholders’ Equity | (71,841) | (32,390) |
Total Liabilities and Shareholders’ Equity | $ 3 | $ 16 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - $ / shares | Dec. 31, 2020 | Dec. 31, 2019 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in Dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 21,027,713 | 21,027,713 |
Common stock, shares outstanding | 21,027,713 | 21,027,713 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Loss - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Income Statement [Abstract] | ||
Revenue | ||
Cost of revenue | ||
Gross profit | ||
Operating expenses | ||
General and administrative expenses | 39,438 | 33,276 |
Financial expenses | 13 | |
Total Operating expenses | 39,451 | 33,276 |
Loss from operations | (39,451) | (33,276) |
Other income (expenses) | ||
Interest income | ||
Interest expense | ||
Other expenses | ||
Other income | ||
Impairment loss | ||
Total other (expenses) income, net | ||
Loss before income tax expenses | (39,451) | (33,276) |
Income tax expenses | ||
Net loss | (39,451) | (33,276) |
Other comprehensive loss | ||
Foreign currency translation (loss) gain | ||
Comprehensive loss | $ (39,451) | $ (33,276) |
Weighted average number of shares, basic and diluted (in Shares) | 21,027,713 | 21,027,713 |
Basic and diluted loss per share (in Dollars per share) | $ (0.00188) | $ (0.00158) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Cash flows from operating activities: | ||
Net loss | $ (39,451) | $ (33,276) |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 584 | |
Stock compensation | ||
Changes in operating assets and liabilities: | ||
Other receivables | ||
Advance to suppliers | ||
Prepaid expenses and taxes | ||
Accounts payable | ||
Accrued expenses | 39,038 | 32,006 |
Other payables | ||
Tax payable | 400 | 400 |
Net cash (used in)/provided by operating activities | (13) | (286) |
Cash flows from investing activities: | ||
Purchases of property and equipment | ||
Net cash (used in)/provided by investing activities | ||
Cash flows from financing activities: | ||
Proceeds from related party | ||
Repayment to a related party | ||
Net cash provided by/ (used in) financing activities | ||
Effect of exchange rate changes on cash | (202) | |
Net increase (decrease) in cash | (13) | (488) |
Cash at beginning of year | 16 | 504 |
Cash at end of year | 3 | 16 |
Supplemental disclosure of cash flow information | ||
Interest received | ||
Interest paid | 13 | |
Income taxes paid | ||
Non- cash financing activities | ||
Forgiveness of loans from related parties | (994,040) | |
Undertaking of assets and liabilities by related parties | $ (414,226) |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders’ Equity/(Deficiency) - USD ($) | Common Stock | Additional paid-in Capital | Accumulated deficit | Accumulated other comprehensive income | Total |
Balance at Dec. 31, 2018 | $ 21,027 | $ 25,889,431 | $ (27,059,112) | $ (258,524) | $ (1,407,178) |
Balance (in Shares) at Dec. 31, 2018 | 21,027,713 | ||||
Net (loss) | (33,276) | (33,276) | |||
Forgiveness of loan from related parties | 994,040 | 994,040 | |||
Undertaking of assets and liabilities by related parties | 414,226 | 414,226 | |||
Foreign currency translation loss | (202) | (202) | |||
Balance at Dec. 31, 2019 | $ 21,027 | 27,297,495 | (27,092,388) | (258,524) | (32,390) |
Balance (in Shares) at Dec. 31, 2019 | 21,027,713 | ||||
Net (loss) | (39,451) | (39,451) | |||
Foreign currency translation loss | |||||
Balance at Dec. 31, 2020 | $ 21,027 | $ 27,297,495 | $ (27,131,839) | $ (258,524) | $ (71,841) |
Balance (in Shares) at Dec. 31, 2020 | 21,027,713 |
Organization and Principal Acti
Organization and Principal Activities | 12 Months Ended |
Dec. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
ORGANIZATION AND PRINCIPAL ACTIVITIES | NOTE 1. ORGANIZATION AND PRINCIPAL ACTIVITIES Wave Sync Corp. formerly known as China Bio-Energy Corp. (the “Company”), and prior to that known as China INSOnline Corp., was incorporated on December 23, 1988 as Lifequest Medical, Inc., a Delaware corporation. In June 2010, the Company ceased all operations conducted by its then subsidiaries: Ever Trend Investment Limited, Run Ze Yong Cheng (Beijing) Technology, San Teng Da Fei Technology, and Guang Hua Insurance Agency (“Ever Trend Group”); on January 27, 2015, the Company announced the completion of the disposition of the aforementioned subsidiaries. Accordingly, the Company has excluded the accounts of Ever Trend Group in these financial statements and the accompanying notes contained herein. On November 12, 2010, the Company entered into a share exchange agreement with Ding Neng Holdings Ltd, an investment holdings company incorporated in the British Virgin Islands (“Ding Neng Holdings”); the share exchange agreement was amended on December 6, 2010, whereby the Company, under the share exchange agreement and its related amendment, would have contemplated acquiring 100% of Ding Neng Holdings in exchange for the issuance of 26,162,505 shares of the Company’s common stock, par value $0.001. Under the share exchange agreement, the Company would have contemplated owning and operating Ding Neng Holdings and Ding Neng Holdings’ directly, and indirectly held subsidiaries: Ding Neng Bio-technology Co., Ltd. (“Ding Neng HK”), Zhangzhou Fuhua Biomass Energy Technology Co., Ltd. (“WOFE”), and Ding Neng Bio-tech. Ding Neng HK was incorporated under the laws of Hong Kong on September 10, 2010. Ding Neng HK did not have any operations. Ding Neng HK has been delinquent with its annual regulatory filings in Hong Kong, and should be considered dormant and defunct. Ding Neng HK was wholly-owned by Ding Neng Holdings. Zhangzhou Fuhua Biomass Energy Technology Co., Ltd.(“WFOE”) was incorporated as a wholly-foreign owned entity under the laws of the People’s Republic of China (“PRC”), on November 2, 2010. WFOE was wholly-owned by Ding Neng HK. Ding Neng Bio-tech was incorporated under the laws of the PRC on December 8, 2006. It was located in Zhangzhou city Fujian Province of PRC. Ding Neng Bio-tech was engaged in theproduction, refinement and distribution of bio-diesel fuel in Southern China. Ding Neng Bio-tech operated a biodiesel manufacturing facility in Zhangzhou city. On October 28, 2010, WFOE and Ding Neng Bio-tech entered into a set of variable interest entity agreements that included: (1) a Consulting Service Agreement with Ding Neng Bio-tech, which entitled WFOE toreceive substantially all of the economic benefits of Ding Neng Bio-tech in consideration for services provided by WFOE to DingNeng Bio-tech, (2) an Option Agreement with Xinfeng Nie, Sanfu Huang, and Shunlong Hu (the shareholders of Ding Neng Bio-tech) allowing the WFOE to acquire all the shares of Ding Neng Bio-tech as permitted by PRC laws, (3) a Voting Rights Proxy Agreement that provides WFOE with the all voting rights of the Ding Neng Bio-tech shareholders, and (4) an Equity Pledge Agreement that pledges the shares in Ding Neng Bio-tech to WFOE (VIE Agreements). These VIE Agreements granted effective control of Ding Neng Bio-tech to WFOE. On June 4, 2015, WFOE filed a civil action in Haicang District People’s Court of Xiamen, Fujian, PRC (the “Court”) against Ding Neng Bio-tech, alleging that the purposes of those certain executed VIE Agreements entered into by WFOE and Ding Neng Bio-Tech on October 28, 2010, had been frustrated, and that these VIE Agreements should be terminated. WFOE alleged that Ding Neng Bio-Tech did not make any payment of service fees to WFOE, and that Ding Neng Bio-Tech failed to perfect the security interest in the pledged stocks. On July 14, 2015, this case was settled via in-court mediation directed by the Court. As a result, WFOE and Ding Neng Bio-Tech entered into binding settlement, among other things, (i) to terminate the VIE Agreements, and (ii) that the litigation fee in the amount of RMB10,000 (approximately$1,610.50) would be borne by Ding Neng Bio-Tech. Ding Neng Holdings is delinquent with its regulatory filings and annual fees to the British Virgin Islands; accordingly, the Ding Neng Holdings should be considered dormant and defunct. Given that the Company has not been able to exercise effective control over Ding Neng Bio-Tech or to access Ding Neng Bio-tech’s financial information since 2011, and the VIE Agreements were terminated, the Company has excluded the accounts of Ding Neng Bio-Tech’s in these financial statements and the accompanying notes contained herein; the exclusion of such accounts is considered as a type two material subsequent event that occurred prior to the issuance of the financial statements but after the balance sheets dates that required material adjustments to the financial statements presented. Ding Neng Holdings is delinquent and defunct; the Company has determined that the Company was never registered as the sole shareholder of Ding Neng Holdings pursuant to the share exchange agreement dated November 12, 2010, and amended December 6, 2010; accordingly, the Company has excluded the accounts of Ding Neng and its subsidiaries in these financial statements and the accompanying notes as contained herein; the exclusion of such accounts is considered as a type two material subsequent event that occurred prior to the issuance of the financial statements but after the balance sheets dates that required material adjustments to the financial statements presented. The Company accounted for the issuance of shares to the shareholders of Ding Neng Holdings under the contemplated share exchange transaction as a recapitalization of the Company under reverse take-over accounting; accordingly, the Company’s historical stockholders’ equity has been retroactively restated to the first period presented; as a result of the Company not being updated to Ding Neng Holdings shareholder register, and that Ding Neng Holdings being defunct, the Company has written off all investments made in Ding Neng as loss on investment in subsidiary. In connection with the share exchange agreement with the shareholders of Ding Neng Holdings that contemplated the acquisition of Ding Neng Holdings and its subsidiaries, the Company elected to adopt the fiscal year used by Ding Neng Holdings, which was a calendar year; accordingly, the Company’s financial statements presented herein have been, and on a go-forward basis, will be prepared using a December 31 year-end date, and each operating period will cover twelve full calendar months. Share Purchase Agreement On October 19, 2015, the Company entered into a Share Purchase Agreement (the “Share Purchase Agreement”) with EGOOS Mobile Technology Company Limited, a British Virgin Islands holding company (“EGOOS BVI”), which owns 100% of EGOOS Mobile Technology Company Limited, a Hong Kong company (“EGOOS HK”), which owns 100% of Move the Purchase Consulting Management (Shenzhen) Co., Ltd. (“WOFE”), a foreign investment enterprise organized under the laws of the PRC, and which has, through various contractual agreements known as variable interest entity (“VIE”) agreements. These VIE agreements provide the WOFE management control and the rights to the profits of Guangzhou Yuzhi Information Technology Co., Ltd., a corporation organized under the laws of the PRC as a variable interest entity (“GZYZ”), which owns 100% of Shenzhen Qianhai Exce-card Technology Co., Ltd., a Chinese corporation (“SQEC”), which owns 100% of Guangzhou Rongsheng Information Technology Co., Ltd., a Chinese corporation (“GZRS”) and the sole shareholder of EGOOS BVI. The VIE agreements include: (1) an Exclusive Service Agreement between WOFE and GZYZ, which entitles WOFE to receive substantially all of the economic benefits of GZYZ in consideration for services provided by WOFE to GZYZ, (2) a Call Option Agreement with the shareholders of GZYZ, Yang Wenbin and Li Ping, allowing the WOFE to acquire all the shares of GZYZ as permitted by PRC laws, (3) a Voting Rights Proxy Agreement that provides WOFE with the all voting rights of the GZYZ’s shareholders, and (4) an Equity Pledge Agreement that pledges the shares in GZYZ to WOFE. Management has assessed the terms of the VIE agreements and determined that the Company is the primary beneficiary of those agreements based on Management’s ability to direct the use and disposition of GZYZ assets including the payment of future profits to the Company. Management also determined the Company has implicitly provided financial support to GYZY; accordingly, Management believes that GZYZ and its subsidiaries should be consolidated as variable interest entities of the Company. SQEC was incorporated on November 11, 2013. The Company is in the business of design, development, and proliferation of next generation debit and credit cards for financial institutions employing innovative secured encryption technology transmitted via audio wave technology; the Company intends to work with China Union Pay and China Construction Bank under a potential pilot program to develop and market to end user bank customers and business operators to adopt these next generation of cards by developing point of sale and commercial interfaces via software and other solutions to generate demand for these cards as a value-added alternative to current generation debit and credit cards. On January 28, 2015, ownership of SQEC’s was transferred from Bao, Shanshan to Xiang, Zuyue for a consideration of approximately $1,629,062 (RMB 10,000,000). Simultaneously, Xiang, Zuyue transferred 40% of ownership to Li, Na for a consideration of $651,625 (RMB 4,000,000). On July 24, 2015, SQEC entire ownership was collectively transferred from Xiang, Zuyue and Li, Na to Guangzhou Yuzhi Information Technology Co. Ltd. (“GZYZ”) for a consideration of approximately$1,629,062 (RMB 10,000,000). On March 16, 2015, the GZRS was incorporated as a wholly-owned subsidiary of SQEC. GZRS has an authorized capital of RMB1,000,000. As of the date of this report, GZRS has not been capitalized. Pursuant to the Share Purchase Agreement the Company issued a convertible note to EGOOS BVI’s sole shareholder for 100%equity interest in EGOOS BVI. The note is convertible into 15,000,000 shares of the Company’s common stock contingent on the following conditions: (i) the Company has effectuated a reverse split of all of the issued and outstanding Common Stock as of the date of the issuance of the note (the “Reverse Split”) and (ii) the average closing price of the common stock for 3 business days within any period of 10 consecutive business days exceeds $1.00 per share (the “Conversion Conditions”). Upon conversion of the note, the existing shareholders of the Registrant will own an aggregate of 24.7% of the post-acquisition entity. The note was issued at Par, it is unsecured, interest free, and is due on the second anniversary of the issuance date of the note. In accounting for the note, the Company has assumed that the note does not carry any discount from face that requires accretion as interest expense to its results of operations, including any potential beneficial conversion features. On January 26, 2016, the reverse split was effectuated, and subsequently, on February 4, 2016, the convertible promissory note was converted into 15 million newly issued shares of the Company’s common stock. The conversion of the promissory note has been recognized retroactively to the first period presented as a component of the reverse takeover transactions detailed below. The consolidated financial statements were prepared assuming that the Company has controlled EGOOS BVI and its intermediary holding companies, operating subsidiaries, and variable interest entities: EGOOS HK, WOFE, GZYZ, SQEC, and GZRS from the first period presented. The transactions detailed above have been accounted for as reverse takeover transactions and are capitalization of the Company, including the conversion of the convertible promissory note; accordingly, the Company (the legal acquirer) is considered the accounting acquiree and EGOOS BVI (the legal acquiree) is considered the accounting acquirer. No goodwill has been recorded. As a result of this transaction, the Company is deemed to be a continuation of the business of EGOOS BVI and SQEC. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES A. Method of Accounting The Company maintains its general ledger and journals with the accrual method of accounting for financial reporting purposes. The financial statements and notes are representations of management. Accounting policies adopted by the Company conform to generally accepted accounting principles in the United States of America and have been consistently applied in the presentation of financial statements. B. Basis of presentation The consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). C. Principles of Consolidation The consolidated financial statements include the financial statements of all the subsidiaries and VIEs of the Company. All transactions and balances between the Company and its subsidiaries and VIEs have been eliminated upon consolidation The consolidated financial statements include the accounts of the Company, its subsidiaries for which the Company is the primary beneficiary. All significant inter-company accounts and transactions have been eliminated. The consolidated financial statements include 100% of assets, liabilities, and net income or loss of those wholly-owned subsidiaries. As of December 31, 2020 and 2019, the detailed identities of the consolidating subsidiaries are as follows: Name of Company Place of incorporation Attributable Registered EGOOS Mobile Technology Company Limited (“EGOOS BVI”) BVI 100% $ 1 EGOOS Mobile Technology Company Limited (“EGOOS HK”) Hong Kong 100% 1,290 Move the Purchase Consulting Management (Shenzhen) Co., Ltd. (“WOFE”) P.R.C 100% - Guangzhou Yuzhi Information Technology Co., Ltd. (“GZYZ”) P.R.C 100% 150,527 Shenzhen Qianhai Exce-card Technology Co., Ltd. (“SQEC”) P.R.C 100% 150,527 Guangzhou Rongsheng Information Technology Co., Ltd. (“GZRS”) P.R.C 100% 1,505,267 D. Use of estimates The preparation of the financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Estimates are used for, but not limited to, the accounting for certain items such as allowance for doubtful accounts, depreciation and amortization, impairment, inventory allowance, taxes and contingencies. E. Contingencies Certain conditions may exist as of the date the financial statements are issued, which may result in a loss to the Company but which will only be resolved when one or more future events occur or fail to occur. The Company’s management assesses such contingent liabilities, and such assessment inherently involves an exercise of judgment. In assessing loss contingencies related to legal proceedings that are pending against the Company or un-asserted claims that may result in such proceedings, the Company’s management evaluates the perceived merits of any legal proceedings or un-asserted claims as well as the perceived merits of the amount of relief sought or expected to be sought. If the assessment of a contingency indicates that it is probable that a material loss has been incurred and the amount of the liability can be estimated, then the estimated liability would be accrued in the Company’s financial statements. If the assessment indicates that a potential material loss contingency is not probable but is reasonably possible, or is probable but cannot be estimated, then the nature of the contingent liability, together with an estimate of the range of possible loss if determinable and material would be disclosed. Loss contingencies considered to be remote by management are generally not disclosed unless they involve guarantees, in which case the guarantee would be disclosed. F. Cash and cash equivalents The Company classifies the following instruments as cash and cash equivalents: cash on hand, unrestricted bank deposits, and all highly liquid investments purchased with original maturities of three months or less. G. Accounts receivable Trade receivables are recognized and carried at the original invoice amount less allowance for any uncollectible amounts. An estimate for doubtful accounts is made when collection of the full amount is no longer probable. Bad debts are written off as incurred. H. Other receivables Other receivables are recognized and carried at the original invoice amount less allowance for any uncollectible amounts. An allowance for doubtful accounts is made when recovery of the full amount is doubtful. I. Property, plant and equipment Plant and equipment are carried at cost less accumulated depreciation. Depreciation is provided over their estimated useful lives, using the straight-line method with a salvage value of 10%. Estimated useful lives of the plant and equipment are as follows: Computer equipment 3 years Office furniture 5 years Motor vehicle 5 years The cost and related accumulated depreciation of assets sold or otherwise retired are eliminated from the accounts and any gain or loss is included in the statement of income. The cost of maintenance and repairs is charged to income as incurred, whereas significant renewals and betterments are capitalized. J. Accounting for the Impairment of Long-lived assets The long-lived assets held by the Company are reviewed in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Subtopic 360-10-35, “Accounting for the Impairment or Disposal of Long-Lived Assets,” for impairment whenever events or changes in circumstances indicate that the carrying amount of assets may not be recoverable. It is reasonably possible that these assets could become impaired as a result of technology or other industry changes. Impairment is present if carrying amount of an asset is less than its undiscounted cash flows to be generated. If an asset is considered impaired, a loss is recognized based on the amount by which the carrying amount exceeds the fair market value of the asset. Assets to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell. The Company believes no impairment has occurred to its assets during 2020 and 2019. K. Income taxes The Company uses the accrual method of accounting to determine income taxes for the year. The Company has implemented FASB ASC 740 Accounting for Income Taxes. Income tax liabilities computed according to the United States, People’s Republic of China (PRC), and Hong Kong tax laws provide for the tax effects of transactions reported in the financial statements and consists of taxes currently due, plus deferred taxes, related primarily to differences arising from the recognition of expenses related to the depreciation of plant and equipment, amortization of intangible assets, and provisions for doubtful accounts between financial and tax reporting. The deferred tax assets and liabilities represent the future tax return consequences of those differences, which will be either taxable or deductible when the assets and liabilities are recovered or settled. Deferred taxes also are recognized for operating losses that are available to offset future income taxes. A valuation allowance is recognized for deferred tax assets if it is more likely than not, that the deferred tax assets will either expire before the Company is able to realize that tax benefit, or that future realization is uncertain. L. Stock-based compensation The Company has elected to use the Black-Scholes-Merton (“BSM”) pricing model to determine the fair value of stock options on the dates of grant. Also, the Company recognizes stock-based compensation using the straight-line method over the requisite service period. The Company values stock awards using the market price on or around the date the shares were awarded and includes the amount of compensation as a period compensation expense over the requisite service period. For the years ended December 31, 2020 and 2019, $0 and $0 stock-based compensation was recognized. M. Foreign currency translation The accompanying financial statements are presented in United States dollars (USD). The functional currency of the Company is the USD and Renminbi (RMB). The financial statements are translated into USD from RMB at year-end exchange rates as to assets and liabilities and average exchange rates as to revenues and expenses. Capital accounts are translated at their historical exchange rates when the capital transactions occurred. Exchange rates December 31, 2020 December 31, 2019 Year-end/period-end RMB : US$ exchange rate 6.5249 6.9762 Average annual/period RMB : US$ exchange rate 6.9010 6.8944 The RMB is not freely convertible into foreign currency and all foreign exchange transactions must take place through authorized institutions. No representation is made that the RMB amounts could have been, or could be, converted into US Dollar at the rates used in translation. N. Revenue recognition The Company recognizes services revenue when the following criteria have been met: 1.) it has agreed and entered into a contract for service with its customers pursuant to which the Company identifies the contract and determines the transactions price with its customers, 2.) the contract has set forth a fixed fee for the services to be rendered under which the Company has determined the transaction’s price and the allocation of such price to performance obligations with the customers, 3.) the Company has fully rendered service to its customers, and there are no additional obligations that exist that under the terms of the contract that the Company has not fulfilled such that the Company recognizes revenue when the performance obligation is satisfied, and 4.) the Company has either received payment, or reasonably expects payment from the customer in accordance to the payment terms set forth in the contract. O. Earnings per share Basic earnings per share is computed on the basis of the weighted average number of common stock outstanding during the period. Diluted earnings per share is computed on the basis of the weighted average number of common stock and common stock equivalents outstanding. Dilutive securities having an anti-dilutive effect on diluted earnings per share are excluded from the calculation. Dilution is computed by applying the treasury stock method for options and warrants. Under this method, options and warrants are assumed to be exercised at the beginning of the period (or at the time of issuance, if later), and as if funds obtained thereby were used to purchase common stock at the average market price during the period. P. Comprehensive loss Comprehensive income (loss) is defined to include all changes in equity except those resulting from investments by owners and distributions to owners. The Company presents components of comprehensive income with equal prominence to other financial statements. The Company’s current component of other comprehensive income is the foreign currency translation adjustment. Q. Subsequent events The Company evaluates subsequent events that have occurred after the balance sheet date but before the financial statements are issued. There are two types of subsequent events: (1) recognized, or those that provide additional evidence with respect to conditions that existed at the date of the balance sheet, including the estimates inherent in the process of preparing financial statements, and (2) non recognized, or those that provide evidence with respect to conditions that did not exist at the date of the balance sheet but arose subsequent to that date. R. Fair Value of Financial Instruments ASC 825, Financial Instruments, requires that the Company discloses estimated fair values of financial instruments. The carrying amounts reported in the balance sheets for current assets and current liabilities qualifying as financial instruments are a reasonable estimate of fair value. The Company applies the provisions of ASC 820-10, Fair Value Measurements and Disclosures. ASC 820-10 defines fair value, and establishes a three-level valuation hierarchy for disclosures of fair value measurement that enhances disclosure requirements for fair value measures. For certain financial instruments, including cash and cash equivalents, loan receivables and short-term bank loans, the carrying amounts approximate fair value due to their relatively short maturities. The three levels of valuation hierarchy are defined as follows: ● Level 1 inputs to the valuation methodology are quoted prices for identical assets or liabilities in active markets. ● Level 2 inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument. ● Level 3 inputs to the valuation methodology are unobservable and significant to the fair value measurement. The Company analyzes all financial instruments with features of both liabilities and equity under ASC 480, “Distinguishing Liabilities from Equity,” and ASC 815. The following tables present the Company’s financial assets and liabilities at fair value in accordance to ASC 820-10 As of December 31, 2020: Quoted in Active (Level 1) Significant (Level 2) Significant (Level 3) Total Financial assets: Cash $ 3 $ - $ - $ 3 Total financial assets $ 3 $ - $ - $ 3 As of December 31, 2019: Quoted in Active (Level 1) Significant (Level 2) Significant (Level 3) Total Financial assets: Cash $ 16 $ - $ - $ 16 Total financial assets $ 16 $ - $ - $ 16 S. Recently issued accounting standards In June 2016, the FASB issued ASU 2016-13, “Financial Instruments — Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments”, which will be effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. The guidance replaces the incurred loss impairment methodology with an expected credit loss model for which a company recognizes an allowance based on the estimate of expected credit loss. The standard did not have a material impact on our consolidated financial statements. In January 2017, the FASB issued ASU 2017-04, “Intangibles — Goodwill and Other (Topic 350): simplifying the test for goodwill impairment”, the guidance removes Step 2 of the goodwill impairment test, which requires a hypothetical purchase price allocation. Goodwill impairment will now be the amount by which a reporting unit’s carrying value exceeds its fair value, not the difference between the fair value and carrying amount of goodwill which was the step 2 test before. The ASU should be adopted on a prospective basis for the annual or any interim goodwill impairment tests beginning after December 15, 2019. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The standard did not have a material impact on our consolidated financial statements. In August 2018, the FASB issued ASU 2018-13, “Changes to the Disclosure Requirements for Fair Value Measurement.” This standard eliminates the current requirement to disclose the amount or reason for transfers between level 1 and level 2 of the fair value hierarchy and the requirement to disclose the valuation methodology for level 3 fair value measurements. The standard includes additional disclosure requirements for level 3 fair value measurements, including the requirement to disclose the changes in unrealized gains and losses in other comprehensive income during the period and permits the disclosure of other relevant quantitative information for certain unobservable inputs. The new guidance is effective for interim and annual periods beginning after December 15, 2019. The standard did not have a material impact on our consolidated financial statements. In August 2018, the FASB issued ASU 2018-15, “Internal-Use Software — Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement.” This ASU aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement service contract with the guidance to capitalize implementation costs of internal use software. The ASU also requires that the costs for implementation activities during the application development phase be capitalized in a hosting arrangement service contract, and costs during the preliminary and post implementation phase are expensed. The new guidance is effective for interim and annual periods beginning after December 15, 2019. The standard did not have a material impact on our consolidated financial statements. In October 2018, the FASB issued ASU 2018-17, Consolidation (Topic 810): Targeted Improvements to Related Party Guidance for Variable Interest Entities, (“ASU 2018-17”). ASU 2018-17 requires reporting entities to consider indirect interests held through related parties under common control on a proportional basis rather than as the equivalent of a direct interest in its entirety for determining whether a decision-making fee is a variable interest. The standard is effective for all entities for financial statements issued for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. Early adoption is permitted. Entities are required to apply the amendments in ASU 2018-17 retrospectively with a cumulative-effect adjustment to retained earnings at the beginning of the earliest period presented. The standard did not have a material impact on our consolidated financial statements In April 2019, the FASB issued ASU 2019-04, Codification Improvements to Topic 326, Financial Instruments-Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments, (“ASU 2019-04”). ASU 2019-04 clarifies and improves areas of guidance related to the recently issued standards on credit losses (ASU 2016-13), hedging (ASU 2017-12), and recognition and measurement of financial instruments (ASU 2016-01). The amendments generally have the same effective dates as their related standards. If already adopted, the amendments of ASU 2016-01 and ASU 2016-13 are effective for fiscal years beginning after December 15, 2019 and the amendments of ASU 2017-12 are effective as of the beginning of the Company’s next annual reporting period; early adoption is permitted. The standard did not have a material impact on our consolidated financial statements. In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes. ASU 2019-12 will simplify the accounting for income taxes by removing certain exceptions to the general principles in Topic 740. The amendments also improve consistent application of and simplify GAAP for other areas of Topic 740 by clarifying and amending existing guidance. For public business entities, the amendments in this Update are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2020. ASU 2019-12 will be effective for the Company in the first quarter of 2021. The Company does not expect the adoption of the new accounting rules to have a material impact on the Company’s financial condition, results of operations, cash flows or disclosures. In March 2020, the FASB issued ASU 2020-03, Codification Improvements to Financial Instruments, (“ASU 2020-03”). ASU 2020-03 improves various financial instruments topics, including the CECL Standard. ASU 2020-03 includes seven different issues that describe the areas of improvement and the related amendments to GAAP, intended to make the standards easier to understand and apply by eliminating inconsistencies and providing clarifications. The amendments related to Issue 1, Issue 2, Issue 4 and Issue 5 were effective upon issuance of ASU 2020-03. The amendments related to Issue 3, Issue 6 and Issue 7 were effective for the Company beginning on January 1, 2020. The Company does not anticipate that the adoption of the new standard will have a material effect on its consolidated financial statements. In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. ASU 2020-04 provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions affected by reference rate reform. The amendments in this standard can be applied anytime between the first quarter of 2020 and the fourth quarter of 2022. The Company is currently in the process of evaluating the impact of adoption of the new rules on the Company’s financial condition, results of operations, cash flows and disclosures. Other than the above, management does not believe that any of the recently issued, but not yet effective, accounting standards, if currently adopted, would have a material effect on the Company’s consolidated financial statements. T. Going Concern The Company has suffered from losses from operation and significant accumulated deficits. It’s net loss for the year ended December 31, 2020 and 2019 were $39,451 and $33,276, respectively, and the accumulated losses as of December 31, 2020 and 2019 were $27,131,839 and $27,092,388, respectively. As of December 31, 2020 and 2019, the Company has cash and cash equivalents of $3 and $16, respectively and net cash used in operating activities during the year ended December 31, 2020 and 2019 were $13 and $286, respectively. The Company comes to have insufficient cash flows generated from operations and provided for development. In addition, the Company continues to experience negative cash flows from operations. These factors raise substantial doubt about the Company’s ability to continue as a going concern. The management determines that additional effort will be required to improve the operation so that the Company may generate more profits to sustain its continuous. The Company may explore the channels to raise additional capital or any opportunities to improve the cash flow in the years to come. Subsequent to the year ended December 31, 2020, the Company had raised $1,050,000 (gross proceeds) and $1,780,000 (gross proceeds) as of April 23, 2021 and July 29, 2021, respectively, from share placement to improve the financial position and cash flow of the Company. |
Cash and Cash Equivalents
Cash and Cash Equivalents | 12 Months Ended |
Dec. 31, 2020 | |
Cash and Cash Equivalents [Abstract] | |
CASH AND CASH EQUIVALENTS | NOTE 3. CASH AND CASH EQUIVALENTS Cash consisted of the following: As of As of Cash on hand $ - $ - Cash in banks 3 16 Total cash $ 3 $ 16 |
Property, Plant and Equipment,
Property, Plant and Equipment, Net | 12 Months Ended |
Dec. 31, 2020 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY, PLANT AND EQUIPMENT, NET | NOTE 4. PROPERTY, PLANT AND EQUIPMENT, NET Property, plant and equipment consisted of the following: As of December 31, As of December 31, Office equipment $ 18,320 $ 18,320 Office furniture 12,723 12,723 Total property and equipment 31,043 31,043 Less: accumulated depreciation (31,043 ) (31,043 ) Less: impairment - - Property, plant and equipment, net $ - $ - Depreciation expense was $0 and $584, respectively for the years ended December 31, 2020 and 2019. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2020 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | NOTE 5. RELATED PARTY TRANSACTIONS For the year ended December 31, 2019, the Company entered into agreements with major shareholders and directors of the subsidiaries of the Company to forgive the Related Party Payables amounting to $994,040 and the details consisted of the followings: December 31, December 31, Beijing Yuxin Shangfang Technology Co., Ltd. $ - $ 285,894 Hainan Xin Jing Yuan Co., Ltd. - 43,627 Xiang, Zuyue, director of SQEC and shareholder - 102,217 Xiang, Lingqing, employee of SQEC - 1,504 Lim, Jehn Ming, shareholder of EGOOS BVI - 1,289 Wang, Yue, director of EGOOS HK - 161,523 Yang, Mei, shareholder - 393,963 Li, Ping, director of WOFE - 4,023 Forgiveness of Related Party Payables $ - $ 994,040 For the year ended December 31, 2019, the Company entered into agreements with major shareholders and directors of the subsidiaries of the Company to assume or receive, as applicable certain assets and liabilities amounting to $414,226 and the details consisted of the followings: December 31, December 31, Other receivable $ - $ 277 Prepaid taxes - 6,422 Accounts payable - (322,368 ) Other payable - (51,806 ) Accrued expenses - (46,751 ) Net liabilities undertaken by related party $ - $ (414,226 ) |
Taxation
Taxation | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
TAXATION | NOTE 6. Taxation a) Corporate Income Taxes The Company was incorporated in the United States of America (“USA”). The Company did not generate any taxable income from its operations for the years ended December 31, 2020 and 2019. The Company was incorporated in the United States (“USA”) and subject to taxes in the United States. The Company did not generate any taxable income from its operations for the years ended December 31, 2020 and 2019. The Company has evaluated their respective income tax positions and has determined that they do not have any uncertain tax positions. The Company will recognize interest and penalties related to any uncertain tax positions through their income tax expense. The Company is subject to franchise tax filing requirements in the State of Delaware. The components of the income tax expense are as follows: Year ended December 31, Year ended Current $ - $ - Deferred - - Total $ - $ - Uncertain Tax Positions Interest associated with unrecognized tax benefits are classified as income tax, and penalties are classified in selling, general and administrative expenses in the statements of operations. For the years ended December 31, 2020, and 2019, the Company had no unrecognized tax benefits and related interest and penalties expenses. Currently, the Company is not subject to examination by major tax jurisdictions. b) Deferred Taxes Deferred income tax benefits arise from temporary differences between the tax basis of assets and liabilities and their reported amounts in the financial statements, which will result in taxable or deductible amounts in the future. In evaluating the Company’s ability to recover the deferred tax assets, the management considers all available positive and negative evidence, including scheduled reversals of deferred tax liabilities, projected future taxable income, tax-planning strategies, and results of recent operations. In projecting future taxable income, the Company begins with historical results adjusted for the results of discontinued operations and incorporate assumptions about the amount of future state, federal, and foreign pretax operating income adjusted for items that do not have tax consequences. The assumptions about future taxable income require the use of significant judgment and are consistent with the plans and estimates that the Company is using to manage the underlying businesses. As of December 31, 2020 and 2019, management was uncertain as to whether or not the Company would be able to utilize the potential deferred tax assets arising from net operating losses’ since the Company is not currently generating any revenue; accordingly, the Company has not recognized a deferred tax asset. c) Taxes Payable Taxes payable consisted of the following: As of December 31, As of December 31, Corporate income tax payable $ - $ - Franchise tax payable 800 400 Other surtaxes payable - - Total $ 800 $ 400 |
Stockholders_ Equity
Stockholders’ Equity | 12 Months Ended |
Dec. 31, 2020 | |
Stockholders' Equity Note [Abstract] | |
STOCKHOLDERS’ EQUITY | NOTE 7. STOCKHOLDERS’ EQUITY Common stock As of December 31, 2020 and 2019, the Company has 100,000,000 shares of common stock authorized, 21,027,713 shares issued and outstanding at par value of $0.001 per share. Stock option compensation On October 20, 2017, the Company issued to Mr. Yang Liu, the option to purchase 1,050,000 shares of the Company’s common stock to be issued upon his exercise of such option. The option vests in three tranches according to the following schedule: 350,000 shares at October 19, 2018, 350,000 shares at October 19, 2019, and 350,000 at October 19, 2020. All three tranches expire on October 19, 2022. The Company has used the widely accepted Black Scholes Merton Option Pricing Model to measure the fair value of these securities, because of their plain vanilla nature of this option. The Company employed the followings assumptions to calculate the fair value of the option: expected forfeiture rate: 0%, risk free rate: 2.03%, expiration date: October 19, 2022, exercise price: $1.00, annualized volatility: 602.71%, dividend yield: 0%, and the Company’s closing stock price at year end. For the years ended December 31, 2018 and 2017, the Company recorded stock option compensation expense of $1,113,217 and $373,509. On August 22, 2018, Mr. Liu resigned from his position as Chief Executive Officer. The stock options were not fully vested since his resignation was before the anniversary of his employment period. For the years ended December 31, 2020 and 2019, no stock option has been issued. |
Loss Per Share
Loss Per Share | 12 Months Ended |
Dec. 31, 2020 | |
Earnings Per Share [Abstract] | |
LOSS PER SHARE | NOTE 8. LOSS PER SHARE The following table presents a reconciliation of basic and diluted earnings per share: For the years ended 2020 2019 Numerator: Net loss $ (39,451 ) $ (33,276 ) Denominator: Weighted average number of common stock outstanding - basic and diluted 21,027,713 21,027,713 Loss per share – Basic and diluted: $ (0.00188 ) $ (0.00158 ) |
Concentration of Risk
Concentration of Risk | 12 Months Ended |
Dec. 31, 2020 | |
Risks and Uncertainties [Abstract] | |
CONCENTRATION OF RISK | NOTE 9. CONCENTRATION OF RISK a) Credit Risk The Company maintains cash balances at several financial institutions located in the United States and the PRC. Accounts located in the United States are insured by the Federal Deposit Insurance Corporation up to $100,000. Accounts located outside of the United States are not insured and may be subject to such risk. |
Going Concern Uncertainties
Going Concern Uncertainties | 12 Months Ended |
Dec. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
GOING CONCERN UNCERTAINTIES | NOTE 10. GOING CONCERN UNCERTAINTIES These financial statements have been prepared assuming that Company will continue as a going concern, which contemplates the realization of assets and the discharge of liabilities in the normal course of business for the foreseeable future. As of December 31, 2020 and 2019, the Company had accumulated deficits of $27,131,839 and $27,092,388, respectively, and working capital deficit of current liabilities exceeding current assets by $71,841 and $32,390, respectively. Management’s plan to support the Company in operations and to maintain its business strategy is to raise funds through public and private offerings and to rely on officers and directors to perform essential functions with minimal compensation. If the Company do not raise all of the money we need from public or private offerings, the Company will have to find alternative sources, such as loans or advances from our officers, directors or others. Such additional financing may not become available on acceptable terms and there can be no assurance that any additional financing that the Company does obtain will be sufficient to meet its needs in the long term. Even if the Company is able to obtain additional financing, it may contain undue restrictions on our operations, in the case of debt financing, or cause substantial dilution for our stockholders, in the case of equity financing. If the Company require additional cash and cannot raise it, the Company will either have to suspend operations or cease business entirely. The accompanying financial statements do not include any adjustments related to the recoverability and classification of assets or the amounts and classifications of liabilities that might be necessary should the Company be unable to continue as a going concern. |
Significant Events
Significant Events | 12 Months Ended |
Dec. 31, 2020 | |
Significant Events Disclosure [Abstract] | |
SIGNIFICANT EVENTS | NOTE 11. SIGNIFICANT EVENTS In December 2019, there was an outbreak of the novel coronavirus (COVID-19) in China that has since spread to many other regions of the world. The outbreak was subsequently labeled as a global pandemic by the World Health Organization in March 2020. It is anticipated that the COVID-19 outbreak may ultimately have a material adverse impact on the Company’s results of operations, financial position and cash flow in 2020 including, but not limited to: Transportation delays and cost increases, more extensive travel restrictions, closures or disruptions of businesses and facilities or social, economic, political or labor instability in the affected areas, may impact the Company’s customers’ operations. Customers may not be able to repay their loans on time due to lack of capital. The extent of the impact of COVID-19 on the Company’s operations and financial results depends on future developments and is highly uncertain due to the unknown duration and severity of the outbreak. The situation is changing rapidly and future impacts may materialize that are not yet known. The Company continues to monitor the situation closely and may implement further measures to provide additional financial flexibility and improve the Company’s cash position and liquidity. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2020 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | NOTE 12. SUBSEQUENT EVENTS On February 25, 2021, the holder of the majority outstanding voting stock of the Company restructured the board of directors (the “Board”) of the Company by removing Mei Yang, Zuyue Xiang and Minqin Tang from the Board and appointing the following individuals to the Board (the “New Board”): Jiang Hui, Hon Man Yun, Hong Chen, Xiaoyue Zhang and Ming Yi, effective immediately. Among the member of the New Board, Ming Yi shall serve as the Chair of the Audit Committee, Hong Chen the Chair of the Compensation Committee and Xiaoyue Zhang the Chair of the Nominating and Corporate Committee. On February 25, 2021, the New Board removed Zuyue Xiang as the Chief Executive Officer (the “CEO”) and Zhenpeng Gao as the Chief Financial Officer (“CFO”) and appointed Jiang Hui as the new CEO and Hon Man Yun as the new CFO, effective immediately. The New Board believes that the new CEO and CFO shall use their best efforts to execute the Board’s vision to change the direction of the Company’s business. On March 31, 2021 (the “Commencement Date”), the Company and Joseph Stone Capital, LLC (“JSC”) entered into an Advisory and Finder Agreement (the “Agreement”). Pursuant to the Agreement, JSC has been engaged to advise the Company on matters related to the Company’s capital market activities. Additionally, at the request of the Company, JSC will help the Company identify one or more investors, business and/or financing opportunities (each a “Target”). Within two business days of the execution of the Agreement, the Company shall pay JSC an initial advisory fee equal to $12,500 plus $5,000 in non-accountable expenses. In addition, the Company shall pay JSC another $9,500 advisory fee, $3,000 escrow expense plus additional $5,000 in non-accountable expenses upon the closing of an initial transaction (if any) with investors identified by the Company. With respect to investors introduced to the Company directly or indirectly by JSC, JSC shall be paid a cash fee equal to ten percent of the gross proceeds raised by the Company from any such investor (the “Commission Fee”). The Agreement shall continue in effect for a period of three (3) months from the Commencement Date and may be terminated upon thirty (30) days of written notice by either party after the three (3) months. Should the Company effectuate a transaction (as defined in the Agreement) with any of the Target(s) identified by Advisor in the eighteen (18)-month period after termination of Agreement, Advisor will be due the Commission Fee. JSC also has a right of first refusal with respect to any financings that the Company decides to commence during the 18-month period following the consummation of a Transaction (as defined in the Agreement”). On April 23, 2021, the Company entered into subscription agreements with five accredited investors for the sale and issuance of 10,500,000 shares of common stock of the Company at a per-share price of $0.10 for aggregate gross proceeds of $1,050,000 (the “Private Placement I”). The Company closed the Private Placement I on April 24, 2021 and intends to use the funds for working capital. No brokers or placement agents was involved. Our Private Placement I is exempt from the registration requirements of Section 5 of the Securities Act of 1933, as amended (the “Securities Act”), in reliance on Section 4(a)(2) thereof and/or Rule 506 of Regulation D and Regulation S thereunder On May 28, 2021, the Company and Hudson Capital USA Inc. (the “Seller”) entered into a vehicle purchase agreement, pursuant to which the Company agreed to buy from the Seller $100,000 worth of motor vehicle. The Company and Seller are related parties because the majority of the board of directors of the Company are the board members of the Seller, constituting the majority of the board of directors of the Seller and Hon Man Yun serves as the Chief Financial Officer of both the Company and Seller. On June 4, 2021, the Company (the “Buyer”) and Hudson Capital USA Inc. (the “Seller”) entered into a share transfer agreement (the “Archax SPA”), pursuant to which the Company agreed to buy from the Seller $500,000 worth of shares (1.74% of ownership) of Archax Holdings Ltd. (“Archax”), a company organized under the laws of England, UK. Archax is a global digital asset trading platform and ecosystem. In addition, on June 4, 2021, the Company and the Seller entered into another share transfer agreement (the “Montis SPA”), pursuant to which the Company agreed to buy from the Seller $250,000 worth of shares (2.63% of ownership) of Montis Digital Limited (“Montis”), a company organized under the laws of Gibraltar. Montis primarily provides marketing and consulting services for digital assets and related entities in the digital asset ecosystems. Each of the Archax SPA and Montis SPA contained customary representations and warranties for transactions of this nature and scale. The Company and Seller are related parties because the majority of the board of directors of the Company are the board members of the Seller, constituting the majority of the board of directors of the Seller and Hon Man Yun serves as the Chief Financial Officer of both the Company and Seller. On June 16, 2021, the Company and Seller closed the stock purchase transaction in accordance with the Montis SPA. On June 17, 2021, the Company and Seller closed the stock purchase transaction in accordance with the Archax SPA. On July 19, 2021, the Company entered into a Consulting Agreement with PX Global Advisors, LLC. for acting as advisor to assist the Company on business combination and listing on a U.S. national stock exchange for a consultancy fee of $1,500,000. On July 29, 2021, the Company entered into subscription agreements with four accredited investors for the sale and issuance of seventeen million and eighty hundred thousand shares (17,800,000) shares of common stock at a per-share price of $0.10 for aggregate gross proceeds of $1,780,000 (the “Private Placement II”). . The Company closed the Private Placement II on July 30, 2021 and intends to use the funds for working capital. No brokers or placement agents was involved. Our Private Placement II is exempt from the registration requirements the Securities Act, in reliance on Section 4(a)(2) thereof and/or Rule 506 of Regulation D and Regulation S thereunder. Except for the above mentioned matters, no other material events are required to be adjusted or disclosed as of the report date of the consolidated financial statements. |
Accounting Policies, by Policy
Accounting Policies, by Policy (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Method of Accounting | A. Method of Accounting The Company maintains its general ledger and journals with the accrual method of accounting for financial reporting purposes. The financial statements and notes are representations of management. Accounting policies adopted by the Company conform to generally accepted accounting principles in the United States of America and have been consistently applied in the presentation of financial statements. |
Basis of presentation | B. Basis of presentation The consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). |
Principles of Consolidation | C. Principles of Consolidation The consolidated financial statements include the financial statements of all the subsidiaries and VIEs of the Company. All transactions and balances between the Company and its subsidiaries and VIEs have been eliminated upon consolidation The consolidated financial statements include the accounts of the Company, its subsidiaries for which the Company is the primary beneficiary. All significant inter-company accounts and transactions have been eliminated. The consolidated financial statements include 100% of assets, liabilities, and net income or loss of those wholly-owned subsidiaries. As of December 31, 2020 and 2019, the detailed identities of the consolidating subsidiaries are as follows: Name of Company Place of incorporation Attributable Registered EGOOS Mobile Technology Company Limited (“EGOOS BVI”) BVI 100% $ 1 EGOOS Mobile Technology Company Limited (“EGOOS HK”) Hong Kong 100% 1,290 Move the Purchase Consulting Management (Shenzhen) Co., Ltd. (“WOFE”) P.R.C 100% - Guangzhou Yuzhi Information Technology Co., Ltd. (“GZYZ”) P.R.C 100% 150,527 Shenzhen Qianhai Exce-card Technology Co., Ltd. (“SQEC”) P.R.C 100% 150,527 Guangzhou Rongsheng Information Technology Co., Ltd. (“GZRS”) P.R.C 100% 1,505,267 |
Use of estimates | D. Use of estimates The preparation of the financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Estimates are used for, but not limited to, the accounting for certain items such as allowance for doubtful accounts, depreciation and amortization, impairment, inventory allowance, taxes and contingencies. |
Contingencies | E. Contingencies Certain conditions may exist as of the date the financial statements are issued, which may result in a loss to the Company but which will only be resolved when one or more future events occur or fail to occur. The Company’s management assesses such contingent liabilities, and such assessment inherently involves an exercise of judgment. In assessing loss contingencies related to legal proceedings that are pending against the Company or un-asserted claims that may result in such proceedings, the Company’s management evaluates the perceived merits of any legal proceedings or un-asserted claims as well as the perceived merits of the amount of relief sought or expected to be sought. If the assessment of a contingency indicates that it is probable that a material loss has been incurred and the amount of the liability can be estimated, then the estimated liability would be accrued in the Company’s financial statements. If the assessment indicates that a potential material loss contingency is not probable but is reasonably possible, or is probable but cannot be estimated, then the nature of the contingent liability, together with an estimate of the range of possible loss if determinable and material would be disclosed. Loss contingencies considered to be remote by management are generally not disclosed unless they involve guarantees, in which case the guarantee would be disclosed. |
Cash and cash equivalents | F. Cash and cash equivalents The Company classifies the following instruments as cash and cash equivalents: cash on hand, unrestricted bank deposits, and all highly liquid investments purchased with original maturities of three months or less. |
Accounts receivable | G. Accounts receivable Trade receivables are recognized and carried at the original invoice amount less allowance for any uncollectible amounts. An estimate for doubtful accounts is made when collection of the full amount is no longer probable. Bad debts are written off as incurred |
Other receivables | H. Other receivables Other receivables are recognized and carried at the original invoice amount less allowance for any uncollectible amounts. An allowance for doubtful accounts is made when recovery of the full amount is doubtful. |
Property, plant and equipment | I. Property, plant and equipment Plant and equipment are carried at cost less accumulated depreciation. Depreciation is provided over their estimated useful lives, using the straight-line method with a salvage value of 10%. Estimated useful lives of the plant and equipment are as follows: Computer equipment 3 years Office furniture 5 years Motor vehicle 5 years The cost and related accumulated depreciation of assets sold or otherwise retired are eliminated from the accounts and any gain or loss is included in the statement of income. The cost of maintenance and repairs is charged to income as incurred, whereas significant renewals and betterments are capitalized. |
Accounting for the Impairment of Long-lived assets | J. Accounting for the Impairment of Long-lived assets The long-lived assets held by the Company are reviewed in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Subtopic 360-10-35, “Accounting for the Impairment or Disposal of Long-Lived Assets,” for impairment whenever events or changes in circumstances indicate that the carrying amount of assets may not be recoverable. It is reasonably possible that these assets could become impaired as a result of technology or other industry changes. Impairment is present if carrying amount of an asset is less than its undiscounted cash flows to be generated. If an asset is considered impaired, a loss is recognized based on the amount by which the carrying amount exceeds the fair market value of the asset. Assets to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell. The Company believes no impairment has occurred to its assets during 2020 and 2019. |
Income taxes | K. Income taxes The Company uses the accrual method of accounting to determine income taxes for the year. The Company has implemented FASB ASC 740 Accounting for Income Taxes. Income tax liabilities computed according to the United States, People’s Republic of China (PRC), and Hong Kong tax laws provide for the tax effects of transactions reported in the financial statements and consists of taxes currently due, plus deferred taxes, related primarily to differences arising from the recognition of expenses related to the depreciation of plant and equipment, amortization of intangible assets, and provisions for doubtful accounts between financial and tax reporting. The deferred tax assets and liabilities represent the future tax return consequences of those differences, which will be either taxable or deductible when the assets and liabilities are recovered or settled. Deferred taxes also are recognized for operating losses that are available to offset future income taxes. A valuation allowance is recognized for deferred tax assets if it is more likely than not, that the deferred tax assets will either expire before the Company is able to realize that tax benefit, or that future realization is uncertain. |
Stock-based compensation | L. Stock-based compensation The Company has elected to use the Black-Scholes-Merton (“BSM”) pricing model to determine the fair value of stock options on the dates of grant. Also, the Company recognizes stock-based compensation using the straight-line method over the requisite service period. The Company values stock awards using the market price on or around the date the shares were awarded and includes the amount of compensation as a period compensation expense over the requisite service period. For the years ended December 31, 2020 and 2019, $0 and $0 stock-based compensation was recognized. |
Foreign currency translation | M. Foreign currency translation The accompanying financial statements are presented in United States dollars (USD). The functional currency of the Company is the USD and Renminbi (RMB). The financial statements are translated into USD from RMB at year-end exchange rates as to assets and liabilities and average exchange rates as to revenues and expenses. Capital accounts are translated at their historical exchange rates when the capital transactions occurred. Exchange rates December 31, 2020 December 31, 2019 Year-end/period-end RMB : US$ exchange rate 6.5249 6.9762 Average annual/period RMB : US$ exchange rate 6.9010 6.8944 The RMB is not freely convertible into foreign currency and all foreign exchange transactions must take place through authorized institutions. No representation is made that the RMB amounts could have been, or could be, converted into US Dollar at the rates used in translation. |
Revenue recognition | N. Revenue recognition The Company recognizes services revenue when the following criteria have been met: 1.) it has agreed and entered into a contract for service with its customers pursuant to which the Company identifies the contract and determines the transactions price with its customers, 2.) the contract has set forth a fixed fee for the services to be rendered under which the Company has determined the transaction’s price and the allocation of such price to performance obligations with the customers, 3.) the Company has fully rendered service to its customers, and there are no additional obligations that exist that under the terms of the contract that the Company has not fulfilled such that the Company recognizes revenue when the performance obligation is satisfied, and 4.) the Company has either received payment, or reasonably expects payment from the customer in accordance to the payment terms set forth in the contract. |
Earnings per share | O. Earnings per share Basic earnings per share is computed on the basis of the weighted average number of common stock outstanding during the period. Diluted earnings per share is computed on the basis of the weighted average number of common stock and common stock equivalents outstanding. Dilutive securities having an anti-dilutive effect on diluted earnings per share are excluded from the calculation. Dilution is computed by applying the treasury stock method for options and warrants. Under this method, options and warrants are assumed to be exercised at the beginning of the period (or at the time of issuance, if later), and as if funds obtained thereby were used to purchase common stock at the average market price during the period. |
Comprehensive loss | P. Comprehensive loss Comprehensive income (loss) is defined to include all changes in equity except those resulting from investments by owners and distributions to owners. The Company presents components of comprehensive income with equal prominence to other financial statements. The Company’s current component of other comprehensive income is the foreign currency translation adjustment. |
Subsequent events | Q. Subsequent events The Company evaluates subsequent events that have occurred after the balance sheet date but before the financial statements are issued. There are two types of subsequent events: (1) recognized, or those that provide additional evidence with respect to conditions that existed at the date of the balance sheet, including the estimates inherent in the process of preparing financial statements, and (2) non recognized, or those that provide evidence with respect to conditions that did not exist at the date of the balance sheet but arose subsequent to that date. |
Fair Value of Financial Instruments | R. Fair Value of Financial Instruments ASC 825, Financial Instruments, requires that the Company discloses estimated fair values of financial instruments. The carrying amounts reported in the balance sheets for current assets and current liabilities qualifying as financial instruments are a reasonable estimate of fair value. The Company applies the provisions of ASC 820-10, Fair Value Measurements and Disclosures. ASC 820-10 defines fair value, and establishes a three-level valuation hierarchy for disclosures of fair value measurement that enhances disclosure requirements for fair value measures. For certain financial instruments, including cash and cash equivalents, loan receivables and short-term bank loans, the carrying amounts approximate fair value due to their relatively short maturities. The three levels of valuation hierarchy are defined as follows: ● Level 1 inputs to the valuation methodology are quoted prices for identical assets or liabilities in active markets. ● Level 2 inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument. ● Level 3 inputs to the valuation methodology are unobservable and significant to the fair value measurement. The Company analyzes all financial instruments with features of both liabilities and equity under ASC 480, “Distinguishing Liabilities from Equity,” and ASC 815. The following tables present the Company’s financial assets and liabilities at fair value in accordance to ASC 820-10 As of December 31, 2020: Quoted in Active (Level 1) Significant (Level 2) Significant (Level 3) Total Financial assets: Cash $ 3 $ - $ - $ 3 Total financial assets $ 3 $ - $ - $ 3 As of December 31, 2019: Quoted in Active (Level 1) Significant (Level 2) Significant (Level 3) Total Financial assets: Cash $ 16 $ - $ - $ 16 Total financial assets $ 16 $ - $ - $ 16 |
Recently issued accounting standards | S. Recently issued accounting standards In June 2016, the FASB issued ASU 2016-13, “Financial Instruments — Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments”, which will be effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. The guidance replaces the incurred loss impairment methodology with an expected credit loss model for which a company recognizes an allowance based on the estimate of expected credit loss. The standard did not have a material impact on our consolidated financial statements. In January 2017, the FASB issued ASU 2017-04, “Intangibles — Goodwill and Other (Topic 350): simplifying the test for goodwill impairment”, the guidance removes Step 2 of the goodwill impairment test, which requires a hypothetical purchase price allocation. Goodwill impairment will now be the amount by which a reporting unit’s carrying value exceeds its fair value, not the difference between the fair value and carrying amount of goodwill which was the step 2 test before. The ASU should be adopted on a prospective basis for the annual or any interim goodwill impairment tests beginning after December 15, 2019. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The standard did not have a material impact on our consolidated financial statements. In August 2018, the FASB issued ASU 2018-13, “Changes to the Disclosure Requirements for Fair Value Measurement.” This standard eliminates the current requirement to disclose the amount or reason for transfers between level 1 and level 2 of the fair value hierarchy and the requirement to disclose the valuation methodology for level 3 fair value measurements. The standard includes additional disclosure requirements for level 3 fair value measurements, including the requirement to disclose the changes in unrealized gains and losses in other comprehensive income during the period and permits the disclosure of other relevant quantitative information for certain unobservable inputs. The new guidance is effective for interim and annual periods beginning after December 15, 2019. The standard did not have a material impact on our consolidated financial statements. In August 2018, the FASB issued ASU 2018-15, “Internal-Use Software — Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement.” This ASU aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement service contract with the guidance to capitalize implementation costs of internal use software. The ASU also requires that the costs for implementation activities during the application development phase be capitalized in a hosting arrangement service contract, and costs during the preliminary and post implementation phase are expensed. The new guidance is effective for interim and annual periods beginning after December 15, 2019. The standard did not have a material impact on our consolidated financial statements. In October 2018, the FASB issued ASU 2018-17, Consolidation (Topic 810): Targeted Improvements to Related Party Guidance for Variable Interest Entities, (“ASU 2018-17”). ASU 2018-17 requires reporting entities to consider indirect interests held through related parties under common control on a proportional basis rather than as the equivalent of a direct interest in its entirety for determining whether a decision-making fee is a variable interest. The standard is effective for all entities for financial statements issued for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. Early adoption is permitted. Entities are required to apply the amendments in ASU 2018-17 retrospectively with a cumulative-effect adjustment to retained earnings at the beginning of the earliest period presented. The standard did not have a material impact on our consolidated financial statements In April 2019, the FASB issued ASU 2019-04, Codification Improvements to Topic 326, Financial Instruments-Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments, (“ASU 2019-04”). ASU 2019-04 clarifies and improves areas of guidance related to the recently issued standards on credit losses (ASU 2016-13), hedging (ASU 2017-12), and recognition and measurement of financial instruments (ASU 2016-01). The amendments generally have the same effective dates as their related standards. If already adopted, the amendments of ASU 2016-01 and ASU 2016-13 are effective for fiscal years beginning after December 15, 2019 and the amendments of ASU 2017-12 are effective as of the beginning of the Company’s next annual reporting period; early adoption is permitted. The standard did not have a material impact on our consolidated financial statements. In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes. ASU 2019-12 will simplify the accounting for income taxes by removing certain exceptions to the general principles in Topic 740. The amendments also improve consistent application of and simplify GAAP for other areas of Topic 740 by clarifying and amending existing guidance. For public business entities, the amendments in this Update are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2020. ASU 2019-12 will be effective for the Company in the first quarter of 2021. The Company does not expect the adoption of the new accounting rules to have a material impact on the Company’s financial condition, results of operations, cash flows or disclosures. In March 2020, the FASB issued ASU 2020-03, Codification Improvements to Financial Instruments, (“ASU 2020-03”). ASU 2020-03 improves various financial instruments topics, including the CECL Standard. ASU 2020-03 includes seven different issues that describe the areas of improvement and the related amendments to GAAP, intended to make the standards easier to understand and apply by eliminating inconsistencies and providing clarifications. The amendments related to Issue 1, Issue 2, Issue 4 and Issue 5 were effective upon issuance of ASU 2020-03. The amendments related to Issue 3, Issue 6 and Issue 7 were effective for the Company beginning on January 1, 2020. The Company does not anticipate that the adoption of the new standard will have a material effect on its consolidated financial statements. In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. ASU 2020-04 provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions affected by reference rate reform. The amendments in this standard can be applied anytime between the first quarter of 2020 and the fourth quarter of 2022. The Company is currently in the process of evaluating the impact of adoption of the new rules on the Company’s financial condition, results of operations, cash flows and disclosures. Other than the above, management does not believe that any of the recently issued, but not yet effective, accounting standards, if currently adopted, would have a material effect on the Company’s consolidated financial statements. |
Going Concern | T. Going Concern The Company has suffered from losses from operation and significant accumulated deficits. It’s net loss for the year ended December 31, 2020 and 2019 were $39,451 and $33,276, respectively, and the accumulated losses as of December 31, 2020 and 2019 were $27,131,839 and $27,092,388, respectively. As of December 31, 2020 and 2019, the Company has cash and cash equivalents of $3 and $16, respectively and net cash used in operating activities during the year ended December 31, 2020 and 2019 were $13 and $286, respectively. The Company comes to have insufficient cash flows generated from operations and provided for development. In addition, the Company continues to experience negative cash flows from operations. These factors raise substantial doubt about the Company’s ability to continue as a going concern. The management determines that additional effort will be required to improve the operation so that the Company may generate more profits to sustain its continuous. The Company may explore the channels to raise additional capital or any opportunities to improve the cash flow in the years to come. Subsequent to the year ended December 31, 2020, the Company had raised $1,050,000 (gross proceeds) and $1,780,000 (gross proceeds) as of April 23, 2021 and July 29, 2021, respectively, from share placement to improve the financial position and cash flow of the Company. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Schedule of consolidating subsidiaries | Name of Company Place of incorporation Attributable Registered EGOOS Mobile Technology Company Limited (“EGOOS BVI”) BVI 100% $ 1 EGOOS Mobile Technology Company Limited (“EGOOS HK”) Hong Kong 100% 1,290 Move the Purchase Consulting Management (Shenzhen) Co., Ltd. (“WOFE”) P.R.C 100% - Guangzhou Yuzhi Information Technology Co., Ltd. (“GZYZ”) P.R.C 100% 150,527 Shenzhen Qianhai Exce-card Technology Co., Ltd. (“SQEC”) P.R.C 100% 150,527 Guangzhou Rongsheng Information Technology Co., Ltd. (“GZRS”) P.R.C 100% 1,505,267 |
Schedule of estimated useful lives of plant and equipment | Computer equipment 3 years Office furniture 5 years Motor vehicle 5 years |
Schedule of foreign currency translation exchange rates to assets and liabilities | Exchange rates December 31, 2020 December 31, 2019 Year-end/period-end RMB : US$ exchange rate 6.5249 6.9762 Average annual/period RMB : US$ exchange rate 6.9010 6.8944 |
Schedule of financial assets and liabilities at fair value | Quoted in Active (Level 1) Significant (Level 2) Significant (Level 3) Total Financial assets: Cash $ 3 $ - $ - $ 3 Total financial assets $ 3 $ - $ - $ 3 Quoted in Active (Level 1) Significant (Level 2) Significant (Level 3) Total Financial assets: Cash $ 16 $ - $ - $ 16 Total financial assets $ 16 $ - $ - $ 16 |
Cash and Cash Equivalents (Tabl
Cash and Cash Equivalents (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Cash and Cash Equivalents [Abstract] | |
Schedule of cash and cash equivalents | As of As of Cash on hand $ - $ - Cash in banks 3 16 Total cash $ 3 $ 16 |
Property, Plant and Equipment_2
Property, Plant and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property, plant and equipment | As of December 31, As of December 31, Office equipment $ 18,320 $ 18,320 Office furniture 12,723 12,723 Total property and equipment 31,043 31,043 Less: accumulated depreciation (31,043 ) (31,043 ) Less: impairment - - Property, plant and equipment, net $ - $ - |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Related Party Transactions [Abstract] | |
Schedule of related party payable | December 31, December 31, Beijing Yuxin Shangfang Technology Co., Ltd. $ - $ 285,894 Hainan Xin Jing Yuan Co., Ltd. - 43,627 Xiang, Zuyue, director of SQEC and shareholder - 102,217 Xiang, Lingqing, employee of SQEC - 1,504 Lim, Jehn Ming, shareholder of EGOOS BVI - 1,289 Wang, Yue, director of EGOOS HK - 161,523 Yang, Mei, shareholder - 393,963 Li, Ping, director of WOFE - 4,023 Forgiveness of Related Party Payables $ - $ 994,040 |
Schedule of related party assets and liabilities | December 31, December 31, Other receivable $ - $ 277 Prepaid taxes - 6,422 Accounts payable - (322,368 ) Other payable - (51,806 ) Accrued expenses - (46,751 ) Net liabilities undertaken by related party $ - $ (414,226 ) |
Taxation (Tables)
Taxation (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Schedule of income tax expense | Year ended December 31, Year ended Current $ - $ - Deferred - - Total $ - $ - |
Schedule of taxes payable | As of December 31, As of December 31, Corporate income tax payable $ - $ - Franchise tax payable 800 400 Other surtaxes payable - - Total $ 800 $ 400 |
Loss Per Share (Tables)
Loss Per Share (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Earnings Per Share [Abstract] | |
Schedule of reconciliation of basic and diluted earnings per share | For the years ended 2020 2019 Numerator: Net loss $ (39,451 ) $ (33,276 ) Denominator: Weighted average number of common stock outstanding - basic and diluted 21,027,713 21,027,713 Loss per share – Basic and diluted: $ (0.00188 ) $ (0.00158 ) |
Organization and Principal Ac_2
Organization and Principal Activities (Details) | Feb. 04, 2016shares | Jul. 14, 2015USD ($) | Jul. 14, 2015CNY (¥) | Dec. 06, 2010$ / sharesshares | Oct. 19, 2015 | Jul. 24, 2015USD ($) | Jul. 24, 2015CNY (¥) | Jan. 28, 2015USD ($) | Jan. 28, 2015CNY (¥) | Oct. 28, 2010 | Dec. 31, 2020shares | Mar. 16, 2015CNY (¥) |
Organization and Principal Activities (Details) [Line Items] | ||||||||||||
Equity method investment, description | the Company entered into a Share Purchase Agreement (the “Share Purchase Agreement”) with EGOOS Mobile Technology Company Limited, a British Virgin Islands holding company (“EGOOS BVI”), which owns 100% of EGOOS Mobile Technology Company Limited, a Hong Kong company (“EGOOS HK”), which owns 100% of Move the Purchase Consulting Management (Shenzhen) Co., Ltd. (“WOFE”), a foreign investment enterprise organized under the laws of the PRC, and which has, through various contractual agreements known as variable interest entity (“VIE”) agreements. These VIE agreements provide the WOFE management control and the rights to the profits of Guangzhou Yuzhi Information Technology Co., Ltd., a corporation organized under the laws of the PRC as a variable interest entity (“GZYZ”), which owns 100% of Shenzhen Qianhai Exce-card Technology Co., Ltd., a Chinese corporation (“SQEC”), which owns 100% of Guangzhou Rongsheng Information Technology Co., Ltd., a Chinese corporation (“GZRS”) and the sole shareholder of EGOOS BVI. | |||||||||||
Business combination, consideration transferred description | (i) the Company has effectuated a reverse split of all of the issued and outstanding Common Stock as of the date of the issuance of the note (the “Reverse Split”) and (ii) the average closing price of the common stock for 3 business days within any period of 10 consecutive business days exceeds $1.00 per share (the “Conversion Conditions”). Upon conversion of the note, the existing shareholders of the Registrant will own an aggregate of 24.7% of the post-acquisition entity. | |||||||||||
Ding Neng Holdings [Member] | ||||||||||||
Organization and Principal Activities (Details) [Line Items] | ||||||||||||
Acquired interest from investment holdings company | 100.00% | |||||||||||
Issuance of common stock for acquisition (in Shares) | 26,162,505 | |||||||||||
Common stock par value (in Dollars per share) | $ / shares | $ 0.001 | |||||||||||
Litigation settlement fee | $ 1,610.50 | ¥ 10,000 | ||||||||||
Ding Neng Holdings [Member] | Subsidiary of Common Parent [Member] | ||||||||||||
Organization and Principal Activities (Details) [Line Items] | ||||||||||||
Entity agreements, description | WFOE and Ding Neng Bio-tech entered into a set of variable interest entity agreements that included: (1) a Consulting Service Agreement with Ding Neng Bio-tech, which entitled WFOE toreceive substantially all of the economic benefits of Ding Neng Bio-tech in consideration for services provided by WFOE to DingNeng Bio-tech, (2) an Option Agreement with Xinfeng Nie, Sanfu Huang, and Shunlong Hu (the shareholders of Ding Neng Bio-tech) allowing the WFOE to acquire all the shares of Ding Neng Bio-tech as permitted by PRC laws, (3) a Voting Rights Proxy Agreement that provides WFOE with the all voting rights of the Ding Neng Bio-tech shareholders, and (4) an Equity Pledge Agreement that pledges the shares in Ding Neng Bio-tech to WFOE (VIE Agreements). | |||||||||||
Shenzhen Qianhai Exce-card Technology Co., Ltd. [Member] | ||||||||||||
Organization and Principal Activities (Details) [Line Items] | ||||||||||||
Business combination, consideration transferred | $ 1,629,062 | ¥ 10,000,000 | $ 1,629,062 | ¥ 10,000,000 | ||||||||
Xiang Zuyue [Member] | ||||||||||||
Organization and Principal Activities (Details) [Line Items] | ||||||||||||
Acquired interest from investment holdings company | 40.00% | 40.00% | ||||||||||
Business combination, consideration transferred | $ 651,625 | ¥ 4,000,000 | ||||||||||
Guangzhou Rongsheng Information Technology Co., Ltd. [Member] | ||||||||||||
Organization and Principal Activities (Details) [Line Items] | ||||||||||||
Authorized capital | ¥ | ¥ 1,000,000 | |||||||||||
EGOOS Mobile Technology Company Limited [Member] | ||||||||||||
Organization and Principal Activities (Details) [Line Items] | ||||||||||||
Acquired interest from investment holdings company | 100.00% | |||||||||||
Note converted into share (in Shares) | 15,000,000 | |||||||||||
EGOOS Mobile Technology Company Limited [Member] | ||||||||||||
Organization and Principal Activities (Details) [Line Items] | ||||||||||||
Note converted into share (in Shares) | 15,000,000 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) - USD ($) | 1 Months Ended | 12 Months Ended | |||
Jul. 29, 2021 | Apr. 23, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Accounting Policies [Abstract] | |||||
The straight-line method with a salvage value | 10.00% | ||||
Stock based compensation (in Shares) | 0 | 0 | |||
Net loss | $ (39,451) | $ (33,276) | |||
Accumulated losses | (27,131,839) | (27,092,388) | |||
Cash and cash equivalents | 3 | 16 | $ 504 | ||
Net cash used In operating activities | $ (13) | $ (286) | |||
Gross proceeds | $ 1,780,000 | $ 1,050,000 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details) - Schedule of consolidating subsidiaries | 12 Months Ended |
Dec. 31, 2020USD ($) | |
EGOOS Mobile Technology Company Limited (“EGOOS BVI”) [Member] | |
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | |
Name of Company | EGOOS Mobile Technology Company Limited ("EGOOS BVI") |
Place of Incorporation | BVI |
Attributable equity interest % | 100.00% |
Registered capital | $ 1 |
EGOOS Mobile Technology Company Limited (“EGOOS HK”) [Member] | |
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | |
Name of Company | EGOOS Mobile Technology Company Limited ("EGOOS HK") |
Place of Incorporation | Hong Kong |
Attributable equity interest % | 100.00% |
Registered capital | $ 1,290 |
Move the Purchase Consulting Management (Shenzhen) Co., Ltd. (“WOFE”) [Member] | |
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | |
Name of Company | Move the Purchase Consulting Management (Shenzhen) Co., Ltd. ("WOFE") |
Place of Incorporation | P.R.C |
Attributable equity interest % | 100.00% |
Guangzhou Yuzhi Information Technology Co., Ltd. (“GZYZ”) [Member] | |
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | |
Name of Company | Guangzhou Yuzhi Information Technology Co., Ltd. ("GZYZ") |
Place of Incorporation | P.R.C |
Attributable equity interest % | 100.00% |
Registered capital | $ 150,527 |
Shenzhen Qianhai Exce-card Technology Co., Ltd. (“SQEC”) [Member] | |
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | |
Name of Company | Shenzhen Qianhai Exce-card Technology Co., Ltd. ("SQEC") |
Place of Incorporation | P.R.C |
Attributable equity interest % | 100.00% |
Registered capital | $ 150,527 |
Guangzhou Rongsheng Information Technology Co., Ltd. (“GZRS”) [Member] | |
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | |
Name of Company | Guangzhou Rongsheng Information Technology Co., Ltd. ("GZRS") |
Place of Incorporation | P.R.C |
Attributable equity interest % | 100.00% |
Registered capital | $ 1,505,267 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Details) - Schedule of estimated useful lives of plant and equipment | 12 Months Ended |
Dec. 31, 2020 | |
Computer equipment [Member] | |
Public Utility, Property, Plant and Equipment [Line Items] | |
Estimated useful lives of plant and equipment | 3 years |
Office furniture [Member] | |
Public Utility, Property, Plant and Equipment [Line Items] | |
Estimated useful lives of plant and equipment | 5 years |
Motor vehicle [Member] | |
Public Utility, Property, Plant and Equipment [Line Items] | |
Estimated useful lives of plant and equipment | 5 years |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies (Details) - Schedule of foreign currency translation exchange rates to assets and liabilities | Dec. 31, 2020 | Dec. 31, 2019 |
Year-end/period-end RMB : US$ exchange rate [Member] | ||
Financial Statement Line Items with Differences in Reported Amount and Reporting Currency Denominated Amounts [Line Items] | ||
Foreign currency translation, exchange rates | 6.5249 | 6.9762 |
Average annual/period RMB : US$ exchange rate [Member] | ||
Financial Statement Line Items with Differences in Reported Amount and Reporting Currency Denominated Amounts [Line Items] | ||
Foreign currency translation, exchange rates | 6.9010 | 6.8944 |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies (Details) - Schedule of financial assets and liabilities at fair value - USD ($) | Dec. 31, 2020 | Dec. 31, 2019 |
Summary of Significant Accounting Policies (Details) - Schedule of financial assets and liabilities at fair value [Line Items] | ||
Cash | $ 3 | $ 16 |
Total financial assets | 3 | 16 |
Quoted in Active Markets for Identical Assets (Level 1) [Member] | ||
Summary of Significant Accounting Policies (Details) - Schedule of financial assets and liabilities at fair value [Line Items] | ||
Cash | 3 | 16 |
Total financial assets | 3 | 16 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Summary of Significant Accounting Policies (Details) - Schedule of financial assets and liabilities at fair value [Line Items] | ||
Cash | ||
Total financial assets | ||
Significant Unobservable Inputs (Level 3) [Member] | ||
Summary of Significant Accounting Policies (Details) - Schedule of financial assets and liabilities at fair value [Line Items] | ||
Cash | ||
Total financial assets |
Cash and Cash Equivalents (Deta
Cash and Cash Equivalents (Details) - Schedule of cash and cash equivalents - USD ($) | Dec. 31, 2020 | Dec. 31, 2019 |
Schedule of cash and cash equivalents [Abstract] | ||
Cash on hand | ||
Cash in banks | 3 | 16 |
Total cash | $ 3 | $ 16 |
Property, Plant and Equipment_3
Property, Plant and Equipment, Net (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | ||
Depreciation expense | $ 0 | $ 584 |
Property, Plant and Equipment_4
Property, Plant and Equipment, Net (Details) - Schedule of Property, plant and equipment - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Property, Plant and Equipment [Line Items] | ||
Property, plant, and equipment, gross | $ 31,043 | $ 31,043 |
Less: accumulated depreciation | (31,043) | (31,043) |
Less: impairment | ||
Property, plant and equipment, net | ||
Office Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant, and equipment, gross | 18,320 | 18,320 |
Office Furniture [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant, and equipment, gross | $ 12,723 | $ 12,723 |
Related Party Transactions (Det
Related Party Transactions (Details) | Dec. 31, 2019USD ($) |
Related Party Transactions [Abstract] | |
Related party payables | $ 994,040 |
Net liabilities undertaken | $ 414,226 |
Related Party Transactions (D_2
Related Party Transactions (Details) - Schedule of related party payable - USD ($) | Dec. 31, 2020 | Dec. 31, 2019 |
Related Party Transaction [Line Items] | ||
Related party payable | $ 994,040 | |
Beijing Yuxin Shangfang Technology Co., Ltd. [Member] | ||
Related Party Transaction [Line Items] | ||
Related party payable | 285,894 | |
Hainan Xin Jing Yuan Co., Ltd. [Member] | ||
Related Party Transaction [Line Items] | ||
Related party payable | 43,627 | |
Xiang, Zuyue, director of SQEC and shareholder [Member] | ||
Related Party Transaction [Line Items] | ||
Related party payable | 102,217 | |
Xiang, Lingqing, employee of SQEC [Member] | ||
Related Party Transaction [Line Items] | ||
Related party payable | 1,504 | |
Lim, Jehn Ming, shareholder of EGOOS BVI [Member] | ||
Related Party Transaction [Line Items] | ||
Related party payable | 1,289 | |
Wang, Yue, director of EGOOS HK [Member] | ||
Related Party Transaction [Line Items] | ||
Related party payable | 161,523 | |
Yang, Mei, shareholder [Member] | ||
Related Party Transaction [Line Items] | ||
Related party payable | 393,963 | |
Li, Ping, director of WOFE [Member] | ||
Related Party Transaction [Line Items] | ||
Related party payable | $ 4,023 |
Related Party Transactions (D_3
Related Party Transactions (Details) - Schedule of related party assets and liabilities - USD ($) | Dec. 31, 2020 | Dec. 31, 2019 |
Schedule of related party assets and liabilities [Abstract] | ||
Other receivable | $ 277 | |
Prepaid taxes | 6,422 | |
Accounts payable | (322,368) | |
Other payable | (51,806) | |
Accrued expenses | (46,751) | |
Net liabilities undertaken by related party | $ (414,226) |
Taxation (Details) - Schedule o
Taxation (Details) - Schedule of income tax expense - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Schedule of income tax expense [Abstract] | ||
Current | ||
Deferred | ||
Total |
Taxation (Details) - Schedule_2
Taxation (Details) - Schedule of taxes payable - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Schedule of taxes payable [Abstract] | ||
Corporate income tax payable | ||
Franchise tax payable | 800 | 400 |
Other surtaxes payable | ||
Total | $ 800 | $ 400 |
Stockholders_ Equity (Details)
Stockholders’ Equity (Details) - USD ($) | 1 Months Ended | 12 Months Ended | |||
Oct. 20, 2017 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Stockholders’ Equity (Details) [Line Items] | |||||
Common stock, shares authorized | 100,000,000 | 100,000,000 | |||
Common stock, shares issued | 21,027,713 | 21,027,713 | |||
Common stock, shares outstanding | 21,027,713 | 21,027,713 | |||
Common stock, par value (in Dollars per share) | $ 0.001 | $ 0.001 | |||
Option issued to purchase common stock | 1,050,000 | ||||
Tranches expire, date | Oct. 19, 2022 | ||||
risk free rate | 0.00% | ||||
Risk free rate | 2.03% | ||||
Exercise price (in Dollars per share) | $ 1 | ||||
Annualized volatility | 602.71% | ||||
Dividend yield | 0.00% | ||||
Stock option compensation expense (in Dollars) | $ 1,113,217 | $ 373,509 | |||
Common Stock [Member] | |||||
Stockholders’ Equity (Details) [Line Items] | |||||
Common stock, shares authorized | 100,000,000 | 100,000,000 | |||
Common stock, shares issued | 21,027,713 | 21,027,713 | |||
Common stock, shares outstanding | 21,027,713 | 21,027,713 | |||
Common stock, par value (in Dollars per share) | $ 0.001 | $ 0.001 | |||
October 19, 2018 [Member] | |||||
Stockholders’ Equity (Details) [Line Items] | |||||
Option vests, shares | 350,000 | ||||
October 19, 2019 [Member] | |||||
Stockholders’ Equity (Details) [Line Items] | |||||
Option vests, shares | 350,000 | ||||
October 19, 2020 [Member] | |||||
Stockholders’ Equity (Details) [Line Items] | |||||
Option vests, shares | 350,000 |
Loss Per Share (Details) - Sche
Loss Per Share (Details) - Schedule of reconciliation of basic and diluted earnings per share - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Numerator: | ||
Net loss | $ (39,451) | $ (33,276) |
Denominator: | ||
Weighted average number of common stock outstanding - basic and diluted | 21,027,713 | 21,027,713 |
Loss per share – Basic and diluted: | $ (0.00188) | $ (0.00158) |
Concentration of Risk (Details)
Concentration of Risk (Details) | Dec. 31, 2020USD ($) |
United States [Member] | |
Concentration of Risk (Details) [Line Items] | |
Federal deposit insurance amount | $ 100,000 |
Going Concern Uncertainties (De
Going Concern Uncertainties (Details) - USD ($) | Dec. 31, 2020 | Dec. 31, 2019 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Accumulated deficits | $ (27,131,839) | $ (27,092,388) |
Working capital deficit | $ (71,841) | $ (32,390) |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) | Jun. 04, 2021 | Jul. 29, 2021 | May 28, 2021 | May 17, 2021 | Apr. 23, 2021 | Mar. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Subsequent Events (Details) [Line Items] | ||||||||
Purchase agreement seller | $ 100,000 | $ (202) | ||||||
Consultancy fee | $ 1,500,000 | |||||||
Subsequent Event [Member] | ||||||||
Subsequent Events (Details) [Line Items] | ||||||||
Advisory fee | $ 12,500 | |||||||
Non-accountable expenses | 5,000 | |||||||
Aggregate gross proceeds, description | the Company entered into subscription agreements with four accredited investors for the sale and issuance of seventeen million and eighty hundred thousand shares (17,800,000) shares of common stock at a per-share price of $0.10 for aggregate gross proceeds of $1,780,000 (the “Private Placement II”). . The Company closed the Private Placement II on July 30, 2021 and intends to use the funds for working capital. No brokers or placement agents was involved. Our Private Placement II is exempt from the registration requirements the Securities Act, in reliance on Section 4(a)(2) thereof and/or Rule 506 of Regulation D and Regulation S thereunder. | |||||||
Joseph Stone Capital [Member] | Subsequent Event [Member] | ||||||||
Subsequent Events (Details) [Line Items] | ||||||||
Advisory fee | 9,500 | |||||||
Escrow expense | 3,000 | |||||||
Additional non-accountable expenses | $ 5,000 | |||||||
Forecast [Member] | ||||||||
Subsequent Events (Details) [Line Items] | ||||||||
Share price (in Dollars per share) | $ 0.10 | |||||||
Seller share transfer agreement | $ 1,050,000 | |||||||
Forecast [Member] | Subsequent Event [Member] | ||||||||
Subsequent Events (Details) [Line Items] | ||||||||
Subscription agreements description | the Company entered into subscription agreements with five accredited investors for the sale and issuance of 10,500,000 shares of common stock of the Company at a per-share price of $0.10 for aggregate gross proceeds of $1,050,000 (the “Private Placement I”). | |||||||
Forecast [Member] | Archax SPA [Member] | ||||||||
Subsequent Events (Details) [Line Items] | ||||||||
Seller share transfer agreement | $ 500,000 | |||||||
Ownership percentage | 1.74% | |||||||
Forecast [Member] | Montis SPA [Member] | ||||||||
Subsequent Events (Details) [Line Items] | ||||||||
Ownership percentage | 2.63% | |||||||
Pro Forma [Member] | Montis SPA [Member] | ||||||||
Subsequent Events (Details) [Line Items] | ||||||||
Seller share transfer agreement | $ 250,000 |